BITTREX exchange secures $300 million of insurance
Bittrex, a US based cryptocurrency exchange, announced on 30 January 2020 that it has obtained insurance to secure named cryptocurrency assets in cold storage. The insurance coverage is provided by Arch Syndicate 2020 (supported by various syndicates of Lloyd's of London) through the insurance broker Marsh.
The insurance policy is reported to cover up to $300 million (presumably USD) in assets in case of external theft and internal collusion.
Bill Shihara, CEO of Bittrex said:
Bittrex focuses on doing the right thing by our customers with security at the top of our mind. This insurance coverage provides another layer of peace of mind ...
Given Marsh has also established a Digital Asset Risk Transfer team, it is likely that we will see more insurance products offered to cryptocurrency exchanges globally, hopefully leading to increased maturity and sophistication in the industry. It is understood that the team at Marsh specialises in insurance needs of companies operating in the blockchain technology and digital asset space.
This announcement follows Independent Reserve being the first Australian cryptocurrency exchange to obtain insurance coverage over its cryptocurrency assets in 2019 by international insurance underwriters.