A South African underwriter has joined forces with a UK-based cybersecurity specialist to introduce cryptocurrency insurance services locally. The UK company at the center of this initiative is Digimune, which has partnered with Revolute Underwriting Agency to launch a crypto insurance product aimed at safeguarding individual investors and cryptocurrency exchanges.

Known as CryptoShield, this insurance offering provides comprehensive coverage for individuals against the loss of funds resulting from hacks or illicit activities specifically targeting approved cryptocurrency exchanges or wallets. Digimune has clarified that the policy extends its coverage to encompass the top 20 major cryptocurrencies, including Bitcoin, Bitcoin Cash, Ethereum, Ripple, Litecoin, Solana, and Polygon. Additionally, CryptoShield comes with a maximum coverage limit of $100,000. For cold or hard wallets, the maximum coverage limit can be set as high as $500,000, according to Digimune.

In a press release, Digimune stated, “Premiums are very affordable and include Digimune’s risk mitigation tools. As an entry-level solution, the insured will pay approximately $25 per month for $5,000 in coverage.”

Simon Campbell-Young, VP of Global Sales and co-founder of Digimune, emphasized the significance of CryptoShield, saying, “CryptoShield addresses the specific risks and needs of crypto-investors and fills a significant gap in the insurance market. We use proactive measures to lower the chances of individuals being defrauded and closely monitor the dark web for any activities related to our customers’ digital identities, ensuring their online security. In the event of losses suffered, our insurance policy offers coverage to safeguard our customers’ financial interests.”

Considering the volatility and complexity associated with cryptocurrency investments, the availability of insurance tailored specifically for digital currencies represents a sensible and much-needed development.