Bitgo Secures a $100M Insurance for Crypto Assets
The cryptocurrency service provider Bitgo, has recently secured a $100 million policy through Lloyd’s insurance services to cover crypto assets that are under company’s control, including those held in its business wallets and custody offerings. The policy covers problems such as insider theft by employees, loss of damage of private keys and hacks.
Bitgo’s Insurance Policy Will Cover Theft, Hacks, and Loss of Keys
On February 19, Bitgo, a company that provides custodial service for more than $2 billion in digital assets, released a statement, which indicates that its business wallet customers will now be able to purchase insurance against theft insurance and a key recovery service named Lost Key Cover.
These services will be available through the Digital Asset Authority, the U.K financial service regulator. Whereas, the key recovery service will be sold either as an annual subscription or when required, the company informed.
Custodial assets held entirely by either Bitgo, Inc or Bitgo Trust Company are covered under an insurance worth up to $100 million through the insurance group Lloyd’s. The insurance covers third-party hacks, physical loss, and damage of private keys, insider theft by employees and other hazards.
Lloyd’s had about $44 billion in gross written premiums, as 2017 ended. The insurance company has been widely known, having its presence in almost 200 countries and confirming the fact that it is one of the world’s largest insurance and reinsurance marketplaces.
The CEO of Bitgo, Mike Belshe claimed the cover to be the “most complete insurance offering in the industry, further saying:
“It is not always easy for some clients to understand under what circumstances their investments are insured and to what extent their loss would be covered. We are changing that by being more transparent than any other company about the terms of our coverage. Transparency and accuracy is essential for building trust in the market.”