The famous crypto and digital asset firm BitGo has recently expanded its crypto-insurance cover by $600 million. This big announcement came on Wednesday, April 21, 2021.
This recent adjustment was made to suit large financial institutions that store their crypto assets in with the company. The extra $600 million increase in insurance cover offered by BitGo benefits large investors.
Prior to the increase in insurance cover, large institutions that collaborated with the company were unsatisfied with the limited insurance cover BitGo offered. Several requests have been tendered requesting a much better allowance in insurance cover.
The CEO of BitGo stated that the full cover insurance for digital assets offered by the company is the most cost-effective program available in the digital insurance market today.
Two Insurance brokers have jointly collaborated with BitGo to make this new upgrade a success.
Crypto.com has reportedly started benefitting from this recent policy. It has become the first investor to take advantage of the excess insurance cover.
The insurance program offers its clients adjustable limits for their funds and assets. Also, the cover ensures that clients only pay for the period of protection. These features have attracted more institutional investors to the asset firm.
BitGo’s Competitive Advantage
The assured safety of digital assets placed in the company’s watch has attracted a lot of institutional investors to the crypto firm. Its policies also protect both the investors and the company and this has served as a competitive advantage.
BitGo’s advanced technology has made it possible to offer a cost-effective insurance program to institutional investors. The company was founded in 2019 and has since then grown to become one of the largest in its niche.
Late last year, following the crypto market boom, BitGo recorded a new peak of its digital assets under custody. The firm had recorded $16 billion worth of digital assets in its custody.
Given the massive success achieved by the company in the past few years, Institutional investors can expect a lot of positive implementations in the coming years.