Hong Kong firm offers insurance for Asian crypto holds. A large insurance company in Asia has ventured into Bitcoin (BTC) to provide a model for other companies in the industry.
Multiline insurer OneDegree announced on Thursday that it is partnering with the Hong Kong Bitcoin Exchange (HKbitEX) to protect its ON1ON custody platform. OneDegree claims to be Asia’s first digital asset insurance provider as it has insured $ 100 million in digital assets under the supervision of HKbitEX.
Insurance demand for digital assets is growing, according to OneDegree, and insurance and risk management for digital assets will build investor confidence and help the market grow.
Liability insurance covers physical damage to wallets due to natural disasters, cybersecurity risks such as external attacks or malware, and willful or fraudulent behavior by employees.
Following the announcement, Ken Lo, co-founder of HKbitEX, stated that he would like to make additional institutional investments in crypto. He continued:
“With over 1,800 licensed asset managers, Hong Kong is home to over $ 3 trillion in assets under management. We want to help asset managers participate in this market in such a way that they also fulfill their fiduciary duties towards their end investors. “
The company says it is developing more technology solutions to help crypto market participants avoid risk. In addition to Cymetrics’ internal cybersecurity platform, these tools will help customers assess and manage their cyber risk, according to the company.
As reported, Hong Kong’s Securities and Futures Commission is currently reviewing the rules for exchanging cryptocurrencies, including whether individuals can invest in exchange-traded funds.
Hong Kong is one of the most famous and important financial centers in the world. It had a significant impact on crypto innovation. For example, the city-state has spawned some of the best-known and most successful crypto companies, including the FTX crypto derivatives exchange and the digital asset platform Crypto.com.