Digital Asset & Crypto Insurance
Protecting New Innovation in a Rapidly Evolving Sector
Business Insurance | Digital Asset & Crypto Insurance
Protection for Digital and Crypto Assets
The digital asset economy is transforming economies, sectors and businesses at great pace.
As businesses embrace blockchain, cryptocurrencies, tokenisation, new assets and technology platforms, they face an entirely new set of risks that traditional insurance doesn’t cover, and in most cases traditional insurance brokers are not capable of supporting.
At Jensten, we understand that succeeding in this dynamic environment requires more, it demands a partner with deep sector expertise and global reach.
Why Digital Asset Insurance Matters
Digital assets introduce risks that traditional cover cannot address:
- Custody vulnerabilities (hot/warm/cold wallets, key compromise).
- Trading dependencies (exchange downtime, oracle/API failures).
- Technology complexity (smart-contract exploits, protocol bugs).
- Governance exposures (D&O claims, regulatory investigations).
- Deal risk (crypto used in M&A transactions).
Just like blockchain’s growth, insurance innovations are evolving to meet the demand of decentralized finance (DeFi) protocols, helping to solve longstanding trust issues in asset security.
Trusted Advisor
Every Step Of The Way
What Does Digital Asset Insurance Cover?
We place programmes through London market and international capacity, working with specialist underwriters and facilities, pairing exclusive wordings with strong claims capability and pragmatic security requirements.
Cyber & Incident Response
Protection for the cost of data breaches caused by mistakes, hacking, ransomware attacks, business interruption, and denial of service attacks.
Crime (incl. hot-wallet)
Protection from employee theft, forgery, and fraud, for example of the private keys that you hold for yourself or others, including social engineering cover.
Specie/Custody & Key Material
Insures physical loss or theft of private keys and digital assets held in secure storage.
Technology Errors & Omissions (E&O) / Professional Indemnity
Protects against platform technology failures, professional negligence, and contract disputes.
Smart Contract Insurance
Protects against the risk that smart contracts do not function as intended (whether as a result of a bug, hack, external dependency failure or something else) – permeates the on-chain economy.
Directors & Officers (D&O)
Shields senior leaders from claims of mismanagement, regulatory investigations, and investor lawsuits.
Slashing Insurance
Slashing insurance provides cover for Proof of Stake (PoS) blockchains in the event of financial losses resulting from penalties imposed on validators by the network for violating the rules of the blockchain. Importantly, the cover will react in the event of an errors & omissions type incident rather than actions of an intentional bad actor.
Property & Data Centre/mining Insurance
Property insurance for crypto miners is a type of insurance cover designed the physical assets and property of businesses engaged in cryptocurrency mining activities. It aims financial protection in case these assets are damaged, destroyed, or lost due to covered perils.
Exchange Default Insurance
Exchange Default Insurance, often called Credit Default Swaps (CDS) or Non-Payment Insurance, is a financial tool protecting against losses if a borrower (like a company or sovereign entity) defaults on debt, or if a trading platform (like a crypto exchange) becomes insolvent, enabling financial institutions to manage investment risk.
Questions?
Ready to protect your business with insurance that matches your ambition? Contact us today to start a conversation. Let’s build an insurance roadmap that powers your growth and reflects your values.
Why choose Jensten for Digital Asset and Crypto and Insurance?
Our Approach is built on short sprints to capture control maturity; benchmark against market norms; update wordings and limits as your operations evolve.
Global
Expertise
Access through London Market and International Capacity with proven financial strength.
Flexible, Scalable Solutions
Scalable cover tailored to your needs, wherever you operate.
Forward-Thinking Risk Management
A forward-thinking Risk Management First approach.
Trusted Relationships
Access through London Market and International Capacity with proven financial strength.
Who Needs Digital Asset Insurance?
Our solutions cater to a diverse range of Start-up and Scaling enterprises, including:
- Digital asset owners & creators: Foundations, token teams, DAOs, treasuries.
- Service providers: Exchanges (CEX/DEX), custodians, OTC desks, wallet/payments, market‑makers.
- Software & infrastructure providers: Core devs, validators, oracle/MPC vendors, SaaS/PaaS.
- Traders & funds: HFT/proprietary desks, hedge/venture funds, corporates with digital‑asset treasuries.
What are the key areas of exposure businesses in cyrpto and blockchain face?
Key to safeguarding digital assets within the specialised frameworks with pronounced unique risks, is the knowledge and understanding of the risk domains, and a risk management first approach with consideration to:
- Custody & keys: Hot/warm/cold design, MPC/HSM, segregation of duties.
- Trading & venues: Exchange downtime, oracle/API dependencies, settlement flows.
- Technology & code: Smart‑contract defects, protocol integration failures, data integrity.
- Management & governance: D&O exposures, disclosures, board oversight.
- Transactions & M&A: Digital‑asset use in acquisitions; diligence on cyber/IP/data posture.
Risk management First
Insurance is the safety net that is built upon on strong controls. We help you:
- Implement secure architecture (MPC/HSM, hot wallet limits, approvals).
- Validate code and smart contracts with independent audits.
- Build operational resilience (incident playbooks, venue failover, KYC/AML).
- Evidence governance may unlock better pricing and broader cover.
What Our Clients Say...
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Digital Asset & Crypto Insurance FAQs
Like all companies, you will face risks that are unique to your business. Typically, you can categorise these risks into;
- those that are pertinent to the operations and services you provide to your clients,
- business risks that are common to any businesses, for example property risks (flood, fire, theft), employee risks (dishonesty, theft, or workplace/employment allegations of discrimination, harassment, or wrongful termination,
- Personal risks, so protecting the personal assets of individuals running the company.
There are many different types of insurance that businesses in the digital assets industry need to think about. Each business is different, we typically start from the point of view of protection for your management, operational risks and the services provided to clients:
- Technology Professional Indemnity / Errors and Omissions – Protection for when a mistake in your product or service causes a financial loss to a customer or partner.
- Cyber – Protection for the cost of data breaches caused by mistakes, hacking, ransomware attacks, business interruption and denial of service attacks.
- Directors’ and Officers’ Liability – Protects the personal assets of your founders, officers and board members, and protects you from any legals costs and judgements for alleged circumstances associated with their decisions.
- Crime/Specie – Protection from employee theft, forgery and fraud for example of the private keys that you hold for yourself or others, including Social engineering cover.
In addition to the above we can also talk to you about Property Insurance, Slashing Insurance, Specie/Custody Insurance, Smart Contract Insurance, and our Employee Benefits schemes.
Cryptocurrency insurance plays a critical role in safeguarding digital assets in an ecosystem prone to unique risks that traditional financial systems often mitigate through regulations and built-in protections. Unlike bank deposits, which are typically insured by government-backed schemes, cryptocurrencies are decentralized and vulnerable to irreversible losses from hacks, theft, or operational failures.
This type of insurance helps bridge that gap by providing cover for exposures such as cyberattacks, fraud, private key loss, and even regulatory investigations, making it essential for both individuals and businesses handling crypto.
Platforms that custody customer assets are frequent targets for hackers. Insurance is vital for these entities to maintain trust, comply with emerging regulations, and ensure operational continuity after breaches.