Crypto Firm Copper Taps UK Giant Aon For $500M Insurance Deal
- UK-based crypto custodian Copper has announced its partnership with Aon (AON), the largest UK insurer by market cap, and the latter has arranged $500 million of insurance cover for digital assets in cold storage.
- The $500 million worth of insurance cover for Copper was arranged by Aon which brought a panel of insurers led by Canopius, a Lloyd’s of London syndicate.
- Copper has stated that it has partnered with Aon because of the surge in institutional adoption of cryptocurrencies despite the regulatory uncertainity surrounding the space.
Popular crypto custodian based in London, Copper, has announced its partnership with Aon (AON), the largest U.K. insurer by market cap, and as a part of the deal between the two corporates, the latter has arranged $500 million of insurance cover for digital assets in cold storage, making this one of the biggest insurance deals ever seen in the industry. This can be viewed as a move to attract users’ trust when the broader crypto industry has seen some of the biggest firms fail to ensure the safety of funds.
As per a report, the $500 million worth of insurance cover for Copper was arranged by Aon which brought a panel of insurers led by Canopius, a Lloyd’s of London syndicate. The crypto custodian reported that there has been an increase in the demand for crypto custody and as a result, it has become crucial to insure digital assets stored in cold wallets to ensure increased security of the funds.
Copper has stated that it has partnered with Aon because of the surge in institutional adoption of cryptocurrencies despite the regulatory uncertainity surrounding the space and the presence of a large number of bad actors in the space which is called the Wild Wild West of the financial world since it remains mostly unregulated.
“Safeguarding digital assets is the central goal of our business, and now we have an extra level of security to reassure our clients,” said Greg Hall, Copper’s chief of staff. “Copper will continue to work closely with the insurance market to ensure we have the most appropriate market-leading policies to support the growth of our business.”
The London-based crypto custodian has had a positive 2022 as recently, Copper raised around $196 million in a Series C funding round although it had reported a loss of $16 million last year, when the crypto market experienced a bull ran and almost every crypto coin made new all-time highs and broke major resistances. The valuation of the firm remains unknown and as per SEC filings, over $181 million came from new and existing shareholders, with the rest coming from a convertible loan note.
Copper also welcomed Tim Neill as chief risk officer in September this year and he will report to Chief Operating Officer Sabrina Wilson. Neill was earlier positioned as chief risk officer at payment services giant Mastercard where he was a part of its new payments platforms division, and head of risk for product and engineering, responsible for covering new payments platforms, digital banking and central bank digital currencies (CBDC).
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
