From cyber attacks to rug pulls, the cryptocurrency world remains a rather exposed industry and therefore, investors are increasingly looking at ways to protect their assets from being stolen. While there are several methods to do this, one particular way to get your money back even if an unfortunate incident takes place is through crypto insurance, which promises the protection the investors seek.
In this week’s column, we delve into the world of crypto insurance and explain the types of insurance available for your digital assets.
The basics
Crypto insurance is a policy designed to protect investors against any losses associated with crypto scams and cyber attacks. Most exchanges like Coinbase, Binance, etc., already have some insurance to protect the digital assets they hold for their customers.
“Like any other valuable physical assets, there is no reason that digital assets should not be insured. However, in a digital world, there are possibilities of cybersecurity breaches, but with adequate precautions such as crypto insurance, one can protect themselves from such incidents. They provide owners with a certain degree of insurance to protect digital assets from breaches and theft,” Rajan Navani, Managing Director at JetSynthesys says.
Cryptocurrency isn’t a legal tender. So, crypto insurance is different from that you can avail for your stocks, bonds or any other bank insurance. In short, it is not protected…
