New Platform Provides Insurance for Blockchain Companies

iXledger, a company founded in early 2017 in London, U.K., has launched Blockchain Insurance, a platform that enables blockchain companies to obtain business insurance quotes based on a risk assessment. The platform presents exposures in metrics relevant to the underwriters, insurers and reinsurers.

The company says that the team has launched the platform in partnership with experts in London's insurance markets. It is specifically tailored to protect blockchain businesses from risks associated with legal threats, financial exposure, cyber risk and crime.

The iXledger platform provides a number of features that support brokers and underwriters through the insurance process. The risk assessment assists underwriters in their risk evaluation with a detailed model, which gives a score across seven key factors — including a company overview, finance, technology, security, people and management.

The system then presents the applications to the marketplace and, once the insurance is in place by using the platform, it publishes the record of the policy on the Ethereum blockchain. “This record can be used to show potential investors and other interested third parties that the insurance is in place, increasing the legitimacy of the business and mitigating risk,” the platform’s website states.

According to the company, the project is using blockchain technology to offer data transparency and data normalization to service the market, which is estimated to raise $7 billion in 2018. International Data Corp. suggests that the amount of funds that will be spent on blockchain adoption worldwide is around $2.1 billion in 2018, up from $945 million in 2017. The blockchain technology market is predicted to grow to $2.3 billion by 2021.

The platform’s IXT utility token gives users access to iXledger services. The company intends to make it available for use in other insurance ecosystems, including SelfInsuranceMarket, the InsChain insurance project and the fidentiaX marketplace, as well as to continue evolving their collaboration with other service providers within the insurance industry.