| Parting is all we know of heaven, and all we need of hell.
-Emily Dickinson | | Your providers do the best they can to keep spam out, but sometimes the systems they use mistakenly catch good mail along with it. So, we ask that you add us to your trusted list of senders. | | | THE WINKLEVOSS' BROTHERS ARE INSURED | | | The Winklevoss' brothers' Gemini Trust has obtained insurance coverage for its digital asset custody business from a consortium of insurers (Source).
What do we think? | | One of the joys of holding cryptocurrency is being your own bank.
This is also the biggest risk.
If you hold cryptocurrency you're a pioneer in this space.
You think Marco Polo, or Jacque Cousteau, or Lewis & Clark had insurance?
No? You goddam right (I actually don't know, I'm not a historian, but let's leave it for emphasis).
Securing ones private keys is the responsibility of the owner and this comes with a set of advantages and disadvantageous.
If you think about it, it almost seems silly to blend the notion of "insurance" and "digital peep-to-peer asset."
At what point does insurance begin to undermine the reason cryptocurrencies were created for in the first place?
That's what the angel on my shoulder who keeps whispering "in it for the technology" is saying.
His buddy in the red is saying you can't have moon lambos without insured on-ramps for big money.
TL;DR - Just some casual bullish signaling, not that big a deal. | | | Follow Dmitriy on Twitter at @Dmitriysz | | One more layer of private insurance on top its existing FDIC coverage is good news for users of Gemini's exchange and custodian services.
Meanwhile, I'm only cautiously optimistic about how big of a step forward this is for driving institutional adoption.
The money management industry is ultra-conservative and moves at a glacial pace. For most of the traditional players I talk to, only names like BNY Mellon or State Street stepping into the game would get them over the hurdle to deploy into crypto.
Without a doubt these behemoth custodian banks are not ignoring the potential revenue from this new asset class and are making serious moves. I'm not a a fan of the logic of the "supply creates its own demand" saying but I think it's how it will play out in institutional crypto.
As for how it would happen, don't be surprised when you read about an acquisition or a joint venture between a Gemini or Kingdom Trust with a traditional behemoth -- and more insurance or better fraud detection is just one more step towards that outcome. | | | Follow Kunyi on Twitter at @kunyi11 | | | That's tight I guess...but Coinbase has had hot wallet insurance for years so idk what all the hullabaloo is about. | | | Follow Arjun on Twitter at @arjunblj | | How do you guys like this format?
Reply with your thoughts and/or topics you might want us to cover. | | BACK IN NYC (Dmitriy).
Flying next week to SF for that Blockchain Week.
Very good stuff. Much approve. Wow.
If you're interested in learning more about the goings on: http://sfblockchainweek.io/ | | | Help Raise The Tide Of Crypto | | | | | |
