Evertas Acquires Crypto Mining Special Insurance Company

Liputan6.com, Jakarta Evertas, a cryptocurrency insurance provider that works closely with Lloyd’s of London market, has officially acquired Bitsure, an insurance company specializing in Bitcoin mining operations. However, the acquisition value is still a secret.

As part of the deal, Bitsure co-founder and president, Thomas Shewchuck, joined Evertas as chief underwriter.

Crypto companies have found insurance products in the field in recent years as underwriters and issuers struggle to understand the unique characteristics of digital assets.

Bucking that trend, Evertas, which asked Bitsure to become underwriter of a specific mining policy earlier this year, has received authorization from Bermuda-based Arch Insurance to offer crypto mining policies of up to USD 200 million per location. Bitsure previously had the authority to write policies for only $5 million per location.

Back in December, bitcoin mining and hosting company Compass Mining said it had put out a $75 million insurance policy on mining equipment

Providing insurance for specific equipment used to mine bitcoins may seem akin to a direct type of property risk protection for data centers and the like, says Evertas CEO J. Gdanski.

But the inherent fear of crypto generally, combined with the multiple variables that affect the value of mining rigs, makes it a poorly understood risk, said Gdanski.

“Of all the crypto risks, this is probably the one the conventional insurance market is most familiar with,” Gdanski told CoinDesk.