Insurance Giant AXA XL Unveils Crowdfunding & Security Token Insurance Service March 16, 2019 March 16, 2019 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Market NewsMarch 16, 2019 by Kelly Cromley

Insurance Giant AXA XL Unveils Crowdfunding & Security Token Insurance Service

AXA XL, the global insurer, and Assurely, which provides technology for insurance firms, have partnered to launch a unique insurance product encompassing Security Token Offerings (STOs) and equity crowd funding.

The latest product offering, named CrowdProtector, has been structured keeping in mind investors and issuers, and supposedly safeguards fresh online capital raising methods like STOs and crowdfunding. The insurance product also intends to raise faith, assertiveness and security to likely investors promising that the issuer is protected.

Ty Sagalow, CEO of Assurely, has stated that the groups have accomplished to boost underwriting. The press release states:

“CrowdProtector provides Issuers protection against investor complaints and lawsuits as well as serve as a communication to investors that they may get their principal investment returned should the issuer misuse the funds, purposefully misrepresent information in their offering documents, or steal the money.”

The press release also points out that so far acquiring a stake in private firms was possible only to accredited investors who have a net worth of more than $1 million, or generated income of over $200,000, sidelining an ocean of potential retail investors who can fund a project on a lower scale.

AXA XL, the second largest insurance firm in Europe, also offers risk management and reinsurance services to insurance firms worldwide. Back in 2018, the firm’s net profit was supposedly €2.14 billion ($2.42 billion), having declined by 66% from the previous year. The company’s earnings increased by 3% in 2018, while dividends grew 6% to €1.34 ($1.52) per share.

Three years ago, AXA XL divulged plans to utilize Bitcoin (BTC) for simplifying remittances across the world. The firm, at that time, opined that all real-world cases of Bitcoin have not been studied.

In February, BitGo, a blockchain security and crypto wallet service provider, announced its intention to offer insurance for cryptocurrencies via London-based Lloyd’s. Clients of BitGo will supposedly be able to insure their cryptocurrencies stored in BitGo’s Custodial offering and Business Wallet service.

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.