While this is the first company to offer Bitcoin insurance, it is definitely not the first company or firm in the world to provide encrypted cold storage and the like. In fact, American users will be relieved to know that Coinbase also follows such cold storage procedures.
In this writer’s opinion: Bitcoin insurance is better provided by the individual. While certain investors might find solace in a fiat denominated and insurance underwritten “guarantee” to the fiat value of his or her Bitcoins, the 2% fee for the simple cold storage services is a little hefty. There is no added security that an individual could not take upon themselves, and in fact the only innovation is the fiat denominated coverage.
This Alert was provided by Jan Wylie