Bittrex exchange gets $300M worth of insurance cover for its cold storage system

U.S.-based crypto exchange Bittrex has secured insurance coverage of up to $300 million.

The coverage will help protect crypto assets held in Bittrex’s cold storage system, according to an announcement Wednesday. Cold storage refers to keeping private keys on a hardware device, disconnected from the internet.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

Bittrex’s policy was placed through insurance brokerage giant Marsh and was led by Lloyd's Arch Syndicate 2012, per the announcement. Bittrex said it was approved for the coverage “after successfully demonstrating the exchange’s extensive internal security and compliance protocols.”

“We worked closely with Bittrex to create a tailored insurance solution to fit their specific cryptocurrency needs,” said Sarah Downey, co-leader of Marsh’s Digital Asset Risk Transfer (DART) team.

Bittrex’s extent of coverage is possibly record-breaking. Earlier this month Gemini exchange created its own insurance company with coverage of $200 million for its cold storage. Coinbase, on the other hand, has $255 million in coverage for assets held in hot or online wallets.

About Author

Yogita Khatri is a senior reporter at The Block, covering all things crypto. As one of the earliest team members, Yogita has played a pivotal role in breaking numerous stories, exclusives and scoops. With nearly 3,000 articles under her belt, Yogita holds the records as The Block's most-published and most-read author of all time. Prior to joining The Block, Yogita worked at crypto publication CoinDesk and The Economic Times, where she wrote on personal finance. To contact her, email: [email protected]. For her latest work, follow her on X @Yogita_Khatri5.