The Winklevoss twins are constantly trying to improve the cryptocurrency market. First, it was their Bitcoin ETF which failed to prosper. However, their next initiative for their own cryptocurrency exchange Gemini seems to be successful.
Gemini Exchange will now offer insurance coverage on customer’s cryptocurrencies. The insurance will be provided by a group of insurance companies with the guidance of noted professional service company Aon.
Gemini Exchange has proved to underwriters that it is a leading cryptocurrency exchange and custodian, which led to the successful insurance coverage by Aon.
The insurance comes on top of the Federal Deposit Insurance Corporation-insured dollar deposits that Gemini holds.
Gemini’s Head of Risk, Yusuf Hussain spoke about the need of insurance for cryptocurrencies
“Consumers are looking for the same levels of insured protection they’re used to being afforded by traditional financial institutions. Educating our insurers not only allows us to provide such protections to our customers, but it also sets the expectation for consumer protection across the crypto industry.”
Gemini cryptocurrency exchange was founded in 2014 by the famous Winklevoss twins. Aon is a leading global professional services firm that provides solutions to risk, retirement and health solutions.
Gemini’s approach to insurance coverage will lead to a broader acceptance of insurance companies wanting to cover crypto related activities. As a result, many non-crypto users will engage in cryptocurrency trading as they will feel protected.
Cryptocurrencies will now become more of a prime focus for institutional investors given that custody and insurance were the most significant problems they faced. The step by Gemini will prove to be a game changer in the cryptocurrency market. A report in July 2018 already released details of insurance giants creating ways to cover the crypto industry. Aon claims to hold 50% of the crypto insurance market.
Gemini is staying competitive in the cryptocurrency exchange race with new features being announced this year. From a crypto block trading service for institutional investors who want to buy or sell a large number of digital assets to its dollar-pegged stable coin called Gemini Dollar, Gemini is proving to be a crypto exchange leader and not a follower.
Image Source: InvestAdvocate
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