Insurance Giant AXA XL Launches Security Token and Crowdfunding Insurance Service - Cryptonic News

Insurance Giant AXA XL Launches Security Token and Crowdfunding Insurance Service


Insurance Giant AXA XL partnered with insurance technology startup Assurely to jointly launch a new insurance product covering equity crowdfunding and security token offerings.
Insurance giant AXA XL and insurance technology startup Assurely have jointly launched a new insurance product covering equity crowdfunding and Security Token Offerings (STOs), according to a press release published on March 6.
The new product dubbed CrowdProtector is designed for issuers and investors, and purportedly protects new online capital formation strategies like equity crowdfunding and STOs. The product also aims increase trust, confidence and safety to potential investors guaranteeing that the issuer is insured. According to Ty Sagalow, CEO of Assurely, the parties have managed to increase underwriting. The releases 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.”
In the release, it is noted that until recently, investing in private companies has been available to accredited investors, — having a net worth of higher than $1 million, or earned income exceeding $200,000 — leaving a large amount of potential investors on the sidelines.
AXA XL is reportedly the second largest insurer in Europe, also providing risk management and reinsurance services to insurance companies globally. In 2018, the company’s net profit was reportedly 2.14 billion euro ($2.42 billion), having fallen by 66 percent from a year earlier. At the same time, the company’s earnings in 2018 rose by three percent, with dividends up by six percent to 1.34 euro ($1.52) per share.
Back in 2015, AXA XL revealed its plans to use Bitcoin (BTC) for remittances in order to streamline payments around the world. At the time, the company stated that many use cases related to Bitcoin had not yet been explored.
As Cointelegraph reported in February, blockchain security firm and crypto wallet service BitGo announced plans to offer crypto insurance through Lloyd's of London. BitGo Business Wallet clients will purportedly be able to acquire insurance for their digital assets held on BitGo’s Business Wallet service and Custodial offering.
Additional reporting by Adrian Zmudzinski
Insurance Giant AXA XL Launches Security Token and Crowdfunding Insurance Service Insurance Giant AXA XL Launches Security Token and Crowdfunding Insurance Service Reviewed by Admin on March 16, 2019 Rating: 5

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