The crypto insurance market is growing with decentralized and centralized options
Crypto insurance is becoming increasingly important as crypto investors and companies seek to secure their digital assets.
Analysis
Insurance is essential to secure financially important assets. Still, the cryptocurrency industry—expected to reach a global market size of $4.94 billion by 2030—may be lagging behind when it comes to insuring digital assets.
For example, it has been noted that less than 1% of all crypto investments are currently insured. This statistic is alarming, given the rapid growth and high-risk profile associated with today's cryptocurrency market.
Ben Davis, team leader for digital assets at Superscript – a UK startup and Lloyd's of London licensed insurance broker – told Cointelegraph that crypto has been marginalized when it comes to insurance solutions.
“Superscript has spent years focusing on insurance for emerging technology areas. I lead a team that is specifically focused on crypto and never in my career have I seen a more marginalized industry,” said he said. While the cryptocurrency industry is progressing, Davis feels it continues to lack insurance solutions due to the industry's high financial concentration. He said:
“Crypto is about something very fundamental, which is money. But, as a society, we tend to avoid that topic. value and the exchange of money, insurance underwriters tend to walk away from this conversation."
Growing need for crypto insuranceWhile this may be the case, the need for insurance solutions within the crypto industry is becoming greater than ever. In order to bridge this gap, Davis explained that Superscript is taking a centralized approach to bridging the gap between traditional insurance providers and crypto companies. "We translate the risks associated with digital as...
Crypto insurance is becoming increasingly important as crypto investors and companies seek to secure their digital assets.
Analysis
Insurance is essential to secure financially important assets. Still, the cryptocurrency industry—expected to reach a global market size of $4.94 billion by 2030—may be lagging behind when it comes to insuring digital assets.
For example, it has been noted that less than 1% of all crypto investments are currently insured. This statistic is alarming, given the rapid growth and high-risk profile associated with today's cryptocurrency market.
Ben Davis, team leader for digital assets at Superscript – a UK startup and Lloyd's of London licensed insurance broker – told Cointelegraph that crypto has been marginalized when it comes to insurance solutions.
“Superscript has spent years focusing on insurance for emerging technology areas. I lead a team that is specifically focused on crypto and never in my career have I seen a more marginalized industry,” said he said. While the cryptocurrency industry is progressing, Davis feels it continues to lack insurance solutions due to the industry's high financial concentration. He said:
“Crypto is about something very fundamental, which is money. But, as a society, we tend to avoid that topic. value and the exchange of money, insurance underwriters tend to walk away from this conversation."
Growing need for crypto insuranceWhile this may be the case, the need for insurance solutions within the crypto industry is becoming greater than ever. In order to bridge this gap, Davis explained that Superscript is taking a centralized approach to bridging the gap between traditional insurance providers and crypto companies. "We translate the risks associated with digital as...
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