Those crypto currencies and NFTs are all the rage now, with governments mulling over the advantages of digital money replacing paper notes and coins. It offers total control over the population’s spending habits, the freedom to punish dissidents with fines, or freeze their assets oligarch style – even if they’re just poor vax pass refuseniks. It’s all good news for globalists. Some individuals are also sharp enough to store digital assets and encoded coins in portable wallets, far beyond the reach of localised tax regimes or ESG/compliance departments. Nice. But that online mining/trading nirvana also needs secure systems, for digital assets need insurance just like physical ones.
Here’s some news from the future;
Binance Custody, an institutional-grade digital asset custody solution, has secured insurance to further strengthen investor protection. Assets in segregated and cold storage are covered against physical loss, damage, theft, or internal collusion. The insurance is underwritten by Arch Syndicate 2012 at Lloyd’s of London, and brokered by the world’s largest independent insurance brokerage Lockton Companies’ specialist team LEAP (Lockton’s Emerging Asset Protection).
Cost-efficient insurance is a key part of any robust custody solution for institutional clients but cryptocurrency’s rapid development can pose difficulties for underwriters in assessing risk and pricing. Therefore, the underwriting of digital assets signals greater corporate institutional acceptance.
Binance Custody successfully passed the risk profile evaluation by demonstrating its industry-leading security standards, including multi-party computation, MultiSig for withdrawal requests, and added hardware isolation.
“Insurance plays an important role in the success of any business, including those in the blockchain technology and digital asset spaces,” said Sarah Downey, Senior VP and head of Lockton’s LEAP team. “We are honored to have had the opportunity to create an innovative insurance solution that fits Binance Custody’s specific needs. It exemplifies Lockton’s commitment to helping the blockchain/digital asset industry continue to grow.”
Market observers expect institutional and corporate interest to continue to rise in 2022 and beyond, and adoption accelerates when there is a greater range of products.
“Binance Custody is focused on helping users manage their journey into digital assets securely. We are pleased to work with LEAP to provide additional protection for assets in our care. Users can take comfort in knowing that our custody solution is protected even in the unlikely event of physical loss or damage,” said Cathy Yu, Head of Binance Custody. “We can further customize insurance solutions to meet requirements.”
To learn more about Binance Custody, visit: www.binanceinstitutional.com and @BinanceCustody.