Gemini announced its coverage service for platform customers to ensure digital assets against the risk of fraud, theft or system bug. This coverage was launched on October 1, 2018 in partnership with numerous insurers and other professional risk management services such as AON.
Insure the customer of crypto-currencies
In recent times, the price of crypto-currencies and particularly Bitcoin does not act in favor of investors. At thesame time, insecurity of platforms and lack of support from institutions (lack of regulation) undermine the general status of digital money in general, stereotyped as insecure and unstable platforms . These are the reasons that led Gemini to think the insurance question for its clients , just like the usual financial hedging services.
Yusuf Hussain, Risk Manager at Gemini, shared his opinion:
“Consumers are looking for the same level of protection as traditional financial institutions. The training of our insurers allows us not only to offer such protections to our customers, but it also defines consumer protection expectations in crypto-industry. “
Coverage service commits platform to improve security
Announced as an administrative transplant of insurers’ insurance and risk management services in the cryptocurrency ecosystem, Gemini’s service will focus on many aspects. On the other hand, the implementation of this kind of system will only increase the profits of insurers, which will not fail to motivate platforms to strengthen their protection services like multi-signature features . To this end, Gemini declares:
“This enhances our mission to build the future of money by strengthening our commitment to provide you with a secure platform to buy, sell and store your digital assets. This new coverage complements deposit insurance through the existing FDIC to which your trust funds are eligible. “
Recently, Gemini leaked ink when it was discovered that users’ GUSD stablecoin accounts could be frozen by the platform.
What do you think of the Gemini Cover System? Comment in the comments section