3 years ago
135 Digital asset custody firm BitGo has now expanded its cold storage insurance program, raising its insurance capacity by a staggering $600 million. This move comes since the institutional customers have shown strong demand for airtight and insured custody options.
BitGo introduced its crypto-insurance program via global insurance and reinsurance market Lloyd’s of London in 2019. The strategy enabled BitGo customers to get insurance for their digital assets that are held on BitGo’s Business Wallet service and Custodial offering for nearly $100 million.
The company announced on Wednesday that its “Dedicated Customer Excess Specie” insurance program has increased to cover assets valued at more than $700 million. This expansion comes to respond to strong demand from institutional custody clients.
Notably, the excess insurance program was introduced in conjunction with insurance brokers called Woodruff-Sawyer and Paragon International Insurance Brokers of London.
As reported previously, major cryptocurrency payment platform Crypto.com became one of the first clients to sign up for BitGo’s services aiming to benefit from the dedicated customer excess limits policy. BitGo CEO Mike Belshe said:
“Due to BitGo’s technology and scale, we’re able to offer a lower cost Dedicated Customer insurance program on top of BitGo’s secure cold storage system. This milestone demonstrates that the offering has been very popular with clients seeking the ultimate secure and insured storage.”
Supported by banking institutions like Goldman Sachs and major crypto companies like Mike Novogratz’s Galaxy Digital, BitGo is a large crypto security company and cold wallet service. Amid the ever-growing cryptocurrency market, the firm saw its digital assets under custody exceed $16 billion in late 2021.
