Onedegree: The first insurer in Asia to acquire insurance policies for crypto

Onedegree: The first insurer in Asia to acquire insurance policies for crypto

BUSINESS | Nov 14, 2021 | WOZINGA NEWS

Onedegree: The first insurer in Asia to acquire insurance policies for crypto

  • Onedegree, will currently present to Hkbitex.
  • The two firms collaborated to protect clients’ digital money from robbery and hacking.

By Elah Mae Ariate Wozinga Staff

In Hong Kong, there are a few virtual insurance service providers. One of which, Onedegree, will currently present to Hkbitex.

It is a crypto trading platform operating on a global financial hub, $100 million in guarantees. The two firms collaborated to protect clients’ digital money from robbery and hacking.

According to the report, the cost of accessible inclusion is less than $1 billion each exchange.

Onedegree and Hkbitex worked together to protect clients' digital money from theft and hackers

At the same time, “less than 1% of organizations interested in purchasing bitcoin insurance plans would be eligible for such coverage,” according to Becky Tam, Onedegree’s chief risk officer.

Her organization must now share its risk management framework and underwriting requirements with others in the industry. Also, the authorities for crypto insurance options to improve and appeal to reinsurers.

Based on the report, Onedegree became the first insurer in Asia to buy insurance policies for crypto assets. Also, there are only a few organizations worldwide provide such coverage.

Regulators are increasingly emphasizing security as a best practice

The announcement by Onedegree and Hkbitex comes after bitcoin (BTC), the cryptocurrency with the highest market cap, reached an all-time high (ATH) of over $68,500 per coin this week. It boosts the total value of the crypto economy to more than $3 trillion.

Since then, a new ATH of $69K has been set. The partners will target institutional purchasers who are hesitant to enter the area due to the risks associated with digital property.

Dealing with cyber risks has been a major worry for crypto firms. It has been subjected to several hacking attacks resulting in the theft of cash. “Clients of custodians and exchanges want to decrease their risk profile.

Insurance is a useful hedge against those risks,” Murray Wood, Asia head of economic specialties at global insurance provider Aon, said. He also mentioned that regulators are increasingly emphasizing security as a best practice. Ken Lo, co-founder of Hkbitex, stated that the crypto industry in China’s special administrative region should now try to attract more firms into crypto property.

“With over 1,800 licensed asset managers, Hong Kong manages about $3 trillion in assets.” “We want to assist asset managers in entering this market. Also, to allow them to fulfill their fiduciary duties to their end investors,” the entrepreneur explained.

Do you like the idea of the two firms to worked together to protect clients' digital money from theft and hackers?

Created with Perfect Survey

Statistics - View the results

Leave a Reply

Your email address will not be published. Required fields are marked *