Custodian Copper.co and “trusted” third party Nemean Services announce that they have upgraded their insurance protection for digital assets in cold storage.
Building on the $500m of cover already in place, one of the largest limits in existence, cover has now been extended to include the risk of collusion– “a crucial concern when utilizing trusted third parties for private key security – in this case between Copper.co and Nemean Services.”
Cover has been arranged “by Aon, a global professional services firm.”
In what is believed to be the first arrangement of this kind, Copper and Nemean Services’ insurance policies “have been interlinked.”
This means that clients using Copper’s MPC-enabled segregated vaults “are safeguarded against collusion risks involving any combination of Copper, Nemean Services, and their institutional clients.”
Dmitry Tokarev, CEO of Copper.co said:
“Client security is paramount, and interlinking our cold storage insurance coverage with Nemean Services, is another step to further bolster the safeguards that we have in place for our clients when it comes to strengthening the protection of their digital assets. Copper is committed to proactively working with the insurance market, and our trusted third parties, to implement these novel policies, and welcome the enhancements this significant collaboration brings when it comes to mitigating risk.”
Jonathon Wynniatt-Husey of Nemean Services, commercial director, commented:
“This enhancement to our insurance programme addresses the vital issue of collusion when trusted third parties are utilised for private key security. We’ve mitigated risk while preserving the benefits of Multi-Party Computation technology.”
Ed Pugh, Development Director of Aon’s Financial Services Group, said:
“This is a great example of how Aon is helping the insurance market deliver solutions needed by digital assets clients.”
The cold storage insurance provides “cover for employee collusion, third party theft and physical loss or damage to digital assets held in hard drives.”
Copper’s new policy is in addition “to its existing bespoke Aon-brokered crime insurance policy, thus strengthening the custodian’s security proposition for its clients.”
Nemean Services Integrates Military-Grade Protocols “with Financial Expertise for Enhanced Digital Asset Security and Compliance.”
This distinctive blend ensures not “only comprehensive disaster recovery and robust defensive measures but also proactive threat identification.”
Boasting a seasoned team with a track record in digital asset storage, Nemean Services stands out in its commitment “to safeguarding digital assets.”
With extensive expertise spanning both military and financial domains, the company “excels in the creation, storage, security, audit and recovery of digital assets.”