‘Nakamoto’ Rolls Out Record-Breaking Crypto Insurance With $200 Million in Coverage
Leading crypto exchange and custodian Gemini is now offering insurance on digital assets through its new entity, Nakamoto, giving traders coverage that’s comparable to what’s available in traditional financial markets.
Gemini launched Nakamoto, Ltd. earlier today, named after Satoshi Nakamoto, the pseudonymous inventor of Bitcoin. The company is licensed by the Bermuda Monetary Authority to insure Gemini Custody.
According to the announcement, Gemini Custody now has $200 million in coverage – the largest limit of insurance coverage purchased by any crypto custodian in the world – through its collaboration with two of the world’s largest insurance brokers, Aon and Marsh.
Says Cameron Winklevoss, president of Gemini,
“Insurance is one of the main barriers to crypto mass adoption. Gemini has created a captive insurance company to address this.”
A captive insurance company, wholly owned by a parent company, is a form of corporate self-insurance and is typically implemented by larger corporations.
“Obtaining meaningful insurance in the crypto industry remains a challenge, and our captive will help to increase our insurance capacity and move the industry forward.”