- Cryptocurrency is difficult to insure so it is expensive for businesses to get insurance.
- Technology exists that can significantly reduce some of the risks associated with cryptocurrency.
- Instantly cryptocurrency anti-theft technology it can prevent unauthorized transactions by integrating with business processes to add the required measurement before being broadcast to the blockchain.
- Our anti-theft technology is insured by Lloyd’s of London, so we will compensate customers for losses that our technology does not prevent as defined in our contracts.
- Cryptocurrency disaster recovery The technology stores private keys without revealing them to anyone (including us), so you can still have options even if you lose the key.
- Download it The Definitive Guide to Crypto Security for more information.
It’s no secret that getting cryptocurrency insurance is difficult and expensive. Fortunately, new technology is here to help solve this problem. Not only to solve it, but to make insurance a footnote in what anyone who wants to take a cryptocurrency risk should look at.
First, let’s look at this from an insurance point of view and see why it is difficult to insure cryptocurrency.
Insurers I don’t like to change the policy value as prices fluctuate because it makes it difficult to know how much risk they have. This also makes it difficult for regulators to ensure that insurers are liquid enough to pay.
The rule of thumb for middle platforms would be hard to press, as many infrastructures exist in the cloud and teams are spread across the globe. This is difficult to see from a risk perspective.
In addition, there is little similarity between different cryptocurrencies so it is very difficult to control the entire market. Add to that the inevitable education gap and negative cryptocurrency stories like “the method of choice for supporting ransomware payments” then it is clear that insurance companies and cryptocurrency have a lot to do to bridge the gap between them.
And I love that – but your property is at risk NOW.
So what can you do?
The answer is obvious, at least in theory – do whatever we can to reduce the risk so that insurance is cheap and easy to get (or obsolete).
In fact, all problems with cryptocurrency insurance come from the fact that it is advanced technology, so it makes sense to look to technology to solve everything we can control.
And there’s more…
The two main sources of cryptocurrency losses fall on hacking and human error.
We want everyone to know that there are things you can do to protect yourself and your customers from all of these things, today. If you want to read the whole book, just download it The Definitive Guide to Crypto Security on the contrary.
How To Protect Your Cryptocurrency Business From Theft
Hacks are on the rise, from Binance $40 million that was stolen due in part to action. intelligently designed to provide internal protection in 2019, up to $650 million were lost private keys experience with the Ronin Network in 2022.
Ours cryptocurrency theft protection The technology provides a real-time solution, logging in before the blockchain is broadcast and could have stopped all of the hacks mentioned above (and more).
Plus, we have it insured our technology at Lloyd’s of Londonso if someone steals money using a scheme designed to protect them, we will compensate customers for any damages that our technology failed to prevent as described in our agreements.
How to Secure Your Cryptocurrency Business for Yourself (and Your Team!)
It is often labeled as a network problem, but the human error that leads to the loss is well publicized. He says 20% of all BTC is lost forever and, in the case of James Howells (who is at home with us, fortunately) there are extreme ideas, supported to try to find some of them.
Disaster recovery technology stores private keys without exposing them to third parties (including us), so you can still have options even if you lose a key. This would have kept the lost billions of BTC safe and recoverable.
If you want to know more, just download it The Definitive Guide to Crypto Security today!
About the Author:
Benjamin J Church
Digital Theme, Coincover
Ben became involved in cryptocurrencies in mid-2017 and is excited about the potential it has to improve the world. He oversees all of Coincover’s digital assets, especially the website. His main expertise is search engine optimization where he finds great satisfaction in designing and developing methods with Python. Ben is always looking to learn and try new things and, when not looking after his two children or playing the guitar, he can often be found reading or trying to get better at chess.