Japanese insurance giant Mitsui Sumitomo Insurance, as revealed by Nikkei Asian Review, will be launching insurance coverage for cryptocurrency exchanges, designed to insure against damages and losses resulting from cyber attacks and operational issues.
The new insurance product is being developed in partnership with Tokyo-based bitcoin exchange bitFlyer, aimed at protecting both exchanges and their customers against losses. The coverage will range from ¥10 million to ¥1 billion and will insure against hacks and other unauthorized accesses as well as operational errors, such as mistakes or embezzlement by exchange employees.
The insurance premium for the policy will be calculated based on the cryptocurrency exchange’s revenue numbers and will lie between several hundred thousand to several million Japanese Yen.
Bitcoin exchanges have a long history of being targeted by cyber criminals. As large bitcoin exchanges hold millions of dollars