Insurance coverage for digital currency comes to the UK
Digital currency has been making slow progress with consumers and businesses alike for several years. The idea of digital currency is quite attractive, especially as mobile technology becomes more important in daily life. The idea, however, is also problematic in that digital currency is susceptible to a wide range of problems as well as being very attractive to hackers. Bitcoin could be considered the premier digital currency and its history has been marked by volatility, theft, and exploitation. Now, however, Bitcoin insurance may help put some of the issues to rest.
Service offers to protect digital currency from accidental loss and theft
A new Bitcoin storage service has opened in the United Kingdom. The service is called “Elliptic Vault” and offers to keep a person’s Bitcoins safe from theft and exploitation. The digital currency stored by the service is protected with insurance coverage. In the event of theft or accidental loss, this insurance coverage kicks in, compensating those that have been targeted by malicious activity or other protected instances of loss.
Bitcoin insurance may be similar to that offered by banks
This form of insurance coverage is similar to that offered by banks. Financial institutions use this insurance coverage to allay the fears associated with money. In the event of an unforeseeable problem, such as a bank robbery or the sudden closure of a bank, this insurance coverage ensures that consumers can keep their money. Bitcoin insurance could work in the same way while also providing some stability to the currency’s notorious volatility.
Insurance may bring stability to Bitcoin
The actual value of a single Bitcoin can vary greatly depending on the time of day or certain market trends. One Bitcoin is currently valued at over $1,000, but that value is constantly being influenced by numerous factors. This digital currency is not regulated in any way, which also adds to its volatility. The value of digital currency could be stabilized through the use of insurance coverage. Bitcoin insurance may not be able to solve all of the problems of this digital currency, but it could make Bitcoin more viable in terms of commerce by offering those that use it with some peace of mind.