Canadian Crypto Custodian Firm To Offer Full Insurance Coverage Of Client Assets
Canadian crypto custodian provider KNØX officially launched in this Tuesday at support investment firm Fidelity. Previously the company raised $ 6.2 million from Initialized Capital, iNovia and others investors.
how reported KNØX, its own investment round they are closed in June 2018 of the year and since then they have provided the service in a non-public mode. Now services company may take advantage of third party financial institutions, including asset managers, suppliers liquidity and exchanges.
“A client with $ 100 million in digital assets can decide provide your funds to the custodian who holds $ 1 billion and offers an insurance policy for $ 100 million. Custodian is insured on 10%, and the client has a false sense of security, because he thinks that the insurance fully covers him assets. In fact, in the event of a complete loss funds the client will be reimbursed only $ 10 million, and his loss will be $ 90 million. General the limit is usually distributed to all clients, ”the company explained.
When this KNØX acknowledges that opportunities insurer also not limitless, but ready to accept deposits from clients in excess of $ 100 million, with coverage which no problems, promises it. Before of this the moment the largest amount of insurance coverage of of all famous crypto companies owned by the exchange Coinbase – her assets were insured for $ 255 million.