Blockchain Deposit Insurance Corporation (BDIC), a cryptocurrency insurer, has introduced a new insurance platform designed to protect digital currency wallet holders against exchange failures and cyber threats. This initiative aims to bring a new level of security to the cryptocurrency ecosystem by offering various coverage tiers based on a comprehensive risk assessment model.
The platform’s risk assessment framework considers wallet holdings, account longevity, and implemented security measures to determine appropriate coverage. BDIC seeks to implement institutional-grade security protocols to enhance the reliability of digital asset protection.
Leveraging blockchain technology, BDIC streamlines claims processing and risk assessment through the use of smart contracts. This method enables coverage for qualified cryptocurrency wallets and digital assets, ensuring greater transparency and efficiency.
BDIC plans to launch its insurance underwriting infrastructure in Q2 2025, beginning with key Asian markets such as Hong Kong, Singapore, Japan, Taiwan, and South Korea. Expansion into Southeast Asia is scheduled for Q4 2025, with broader Asia-Pacific coverage anticipated by 2026. In the near term, Hong Kong will serve as the primary focus of operations.
In addition to its insurance services, BDIC will introduce its native token, BDIC Coin, in Q2 2025. This token will support the BDIC Foundation Reserve Fund and will be used for premium payments, governance voting, and claim settlements. To ensure a secure and solvent tokenomics structure, BDIC has established a whitelist and compliance protocols.
To support its expanding operations, BDIC will set up regional offices in each market it serves, with managing directors overseeing operations in their respective locations.
BDIC CEO Jeffrey Glusman emphasized the importance of institutional-grade insurance solutions in the evolving cryptocurrency market. He stated, “The cryptocurrency market has reached a critical inflection point where institutional-grade insurance solutions are essential for mainstream adoption. BDIC introduces a new paradigm in digital asset protection, using advanced risk assessment algorithms and real-time monitoring to safeguard users’ holdings.”
He further highlighted that BDIC’s insurance framework is built to scale alongside market growth, providing essential protection to foster confidence among both institutional and retail investors in cryptocurrency adoption for daily transactions and long-term asset ownership.
BDIC, which launched earlier this month, operates as the international division of the US-based Blockchain Deposit Insurance Consultant Group. With its innovative approach, BDIC aims to set a new standard in cryptocurrency insurance, promoting greater security and stability within the digital asset sector.