How the insurance thing works
Is it just about giving us the private keys of our accounts?
Or about paying the people if something happens to their assets?
BitCoinage believes one of the things that has to be done in order to provide easier access to cryptocurrencies for greater numbers of people is to plug the security gap. The biggest threats to security in cryptocurrencies are:
- Hacking and/or stolen storage devices
- Forgotten passwords or PINs and
- Damage done to storage devices/media
Homeowner policies are already starting to state if your home burns down they will not be responsible for any crypto you may lose. People must be made to feel much more secure in our space.
We at BitCoinage cannot stop any of these things from happening but we can insure you when they do. BitCoinage will be the first company to offer individuals (not just exchanges) insurance on their holdings.
Never has a company insured individual holdings for both hot and cold storage. We intend to be the first company to insure against hacking, stolen or lost storage devices and forgotten passwords or PINs.
How can BitCoinage do this?
1. BitCoinage will create an affordable multi-level pricing program to best meet the need of our clients based upon the amount of crypto they expect to insure.
Our initial programs will insure against hacking up to $500,000.2. BitCoinage will secure the services of several security professionals in an effort to establish clearly defined safety/security guidelines. These guidelines will instruct our customers on how to best avoid the most common cryptocurrency security pitfalls.
3. We will have a structure in place to house people's passwords and PINs for later retrieval should they choose to take advantage of that service. Clients may also hold their own passwords according to our predefined guidelines.
If you still have additional questions let us know and we'll make sure this is clear.
I think there is huge demand for such service - cryptocurrency assets insurance - and it will be even much much bigger when big companies and investors start buying bitcoins.
I was wondering, how can you insure against hacking in fiat value? I mean if I pay for your service, I send 20 bitcoins to you to keep them safe, and then you get hacked, are you going to refund the value of those 20 bitcoins at the time when I signed insurance contract, or you will calculate how much those 20 bitcoins are worth on the day of hack and refund me the new potentially much higher amount in fiat?