“We are pleased to announce the introduction of insurance coverage. This is an important step in attracting users who require strong security guarantees for their assets,” GBX Executive Director, Nick Cowan, said.
According to him, the exchange aims to create a platform focused on high regulatory standards and rigorous verification processes.
“Insurance coverage ensures that assets stored by GBX are insured. It also means that the digital currency of the investors owned by the exchange will be covered. This will provide additional security and transparency to a wide range of traders,” Cowan said.
According to American company Ciphertrace, this year, as a result of hacker attacks, the alleged losses of cryptocurrency exchanges exceeded $930 million. As thefts have become more frequent, some platforms realized the need not only to improve their security to protect investors' funds, but also to acquire insurance to cover potential losses. This is especially important in an industry that has attracted unqualified investors who dream of the possibility of quick enrichment.
Cases of fraud and theft of funds can damage the market, which is trying to build confidence in the absence of the need for regulatory oversight. In the event of a hack, the exchanges will have to worry about the costs associated with the investigation, the loss of business, as well as public relations to restore confidence and other problems. Given these factors, it is not surprising that GBX decided to invest in cyber insurance.
“In the framework of cooperation with GBX, we will provide clients with the necessary protection. This will help advance the blockchain technology - an initiative that authorities and companies are taking to develop technologies in Gibraltar,” Bruno Callaghan, Managing Director of Callaghan Insurance Brokers, said.
Let us recall that last month, GBX obtained a license from the Gibraltar Financial Services Commission (GFSC), which, according to the exchange, made it the world's first national regulated market for digital assets and the blockchain ecosystem.
Now, let's move to the technical analysis of Bitcoin (BTC):
Over the past day, Bitcoin dropped to $3,290, almost reaching the support level of $3,270. We expect a reversal of the price of bitcoin and its subsequent rise. In addition, the Williams indicator shows that the asset is oversold. The nearest resistance levels are $3,420, $3,510. The nearest support levels are $3,270, $3,190.
Technical analysis of Ethereum (ETH):
Ethereum broke through the trend level in the “narrowing triangle”, and reached $84. We expect a reversal and a strong upward movement. The nearest resistance levels are $85.90, $93. The nearest support levels are $84, $79.
Technical analysis of Ripple (XRP):
Over the past day, ripple broke through the upper trend line, passing the resistance levels of $0.2850 and $0.2930, reaching the mark of $0.30. Now, the price of a ripple has rolled back to a technical correction to the level of $0.2850. We expect its further upward movement. The nearest resistance levels are $0.2930, $0.2970. The nearest support levels are $0.2850, $0.2660.
Russian version
The entrance of insurance companies into the market is not a good sign.
Historically, insurance companies are the leading advocacy of regulation.
The way insurance works is the insurance company takes a speculative play against a risk and writes a policy. If damages occur; there will be an insurance claim.
A claim is a legal action that is overseen by a court. The court and insurance company then oversees the settling of a claim.
The claims adjustment system creates a de facto regulatory mechanism.
Quite, a bulk of the regulation that one sees in modern business comes from the court system and insurance companies.
That a crypto-company just bought insurance is a sign that court regulation is on the way.
cryptocurrency & money is the main goal of this word. But it is not right.