PwC Warns Lack of Insurance Access Is Hindering Crypto Businesses

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Cryptocurrency businesses find it “almost impossible” to get
insurance and this is deterring investors, Big Four auditor
PricewaterhouseCoopers (PwC) told Reuters Dec. 20.
In comments focusing on the global fintech market, Henri
Arslanian — the firm’s fintech and crypto leader for Asia —
highlighted the contradictory status quo industry businesses face
trying to attract funding.
“Most institutionally-minded crypto firms want to buy proper
insurance, and in many cases, getting adequate insurance
coverage is a regulatory or legal requirement,” he told the
publication, continuing:

“However, getting such coverage is almost impossible,
despite their best efforts.”

The paradox is made more painful by investors’ persisting high
levels of interest in getting into the space, Reuters adds, quoting a
September survey that placed such interest at 72 percent among
institutional investors.
Following a year of heavy losses for participants and issuers of
initial coin offerings (ICOs ) in particular, investment and long-term
prospects of crypto operators has come under the spotlight once
more.
Mining giant Bitmain — whose reported plans to conduct an initial
public offering (IPO) in Hong Kong were revealed in June — has
faced multiple reports of misgivings on the part of both local
regulators and prospective host, the Hong Kong Stock Exchange
(HKEX).
At the same time, those involved in funding crypto businesses,
such as cryptocurrency merchant bank Galaxy Digital, maintain
that the entry of institutional investors is both guaranteed and a
major step to legitimizing the market.

https://cointelegraph.com/