BTC Custodians Worth $12B in Assets Obtain Lloyds Insurance
Lloyds of London, the top insurance provider in the world, has agreed to underwrite digital currencies after Kingdom Trust struck up a new insurance deal.
As one of the oldest banking services in the world, Lloyds found its origins in the year 1765 after John Taylor and Samson Lloyd went into business together. Now, another monumental page has been turned after entering an agreement with Kingdom Trust, a custodial company offering solutions to clients in the virtual currency industry.
It seems to be an upwards trend as more insurance agencies are giving custodial digital investments more consideration, as giants like AIG, Chubb, and others began pondering opportunities in the crypto insurance sector.
Until recently, insurance agencies have avoided the digital currency industry, with many refusing to reveal whether or not they have allowed coverage for assets related to cryptocurrency. This is mainly due to high risks of illegitimate accounts following issues of fraud or computer errors.
Regardless of the risks, however, the industry has begun to open up more than ever before. An Allianz spokesperson said that storage for crypto is a blossoming opportunity, and that the industry is transforming and becoming more and more popular in the current economy.
It is being reported that the $12 billion company, Kingdom Trust, has secured the deal alongside LLoyds due to their secure method for cold storage as the crypto is not stored online. SDBIC, the broker based in Illinois, USA, stated that Kingdom Trust receive a discount due to their consistently high level of safety and security.
The president of the SDBIC, Jerry Pluard, mentioned that Lloyds feel positive about the company’s path, and that more firms have begun to set their sites on cryptocurrencies.
Kingdom Trust is reported to store around 30 various digital assets such as BTC, ETH, XMR, and more.