9 Oct, 2019

Cryptocurrency Exchange Gemini Secures Insurance Coverage

Cryptocurrency exchange Gemini announced on Thursday that the company has secured insurance coverage for custodied digital assets. The insurance has been made possible by a consortium of  industry-leading insurers and arranged by a global professional services firm, Aon.

The clearance came about when the company demonstrated  to underwriters, that it ” is a leading, best-in-class exchange and custodian,” an official press release stated.

Commenting on the development, Gemini’s Head of Risk, Yusuf Hussain said, “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.”

Last week, there was a tizzy in the global cryptocurrency community, when there were whispers that the exchange may be contemplating entering the United Kingdom in a bid to compete with another US-based cryptocurrency exchange, Coinbase.

However, when we reached out to Gemini at the time, the exchange told Crypto-News India, “Gemini continues to explore potential jurisdictions around the globe to provide a best-in-class digital asset exchange and custodian which will enable growth and infrastructure to the entire digital asset community. Although we have no immediate plans, we continue our mission to build the future of money and will always evaluate opportunities that allow the global economy to buy, sell, and store digital assets in a regulated, secure and compliant manner.”

Apart from that, the exchange was also in the news, when it announced that it was launching an Ethereum Token tied to the U.S. dollars which will be called as Gemini Dollar (GUSD), a stable coin. The launch of the undertaking was endorsed by the New York Department of Finance. The NYDFS will monitor the activities of GUSD and act as the regulatory authority.

We reached out to Gemini for more details. We will update the story, when they respond.