NYDIG, the bitcoin trading and custodian subsidiary of Stone Ridge, announced that it had raised another $100 million from its strategic partners, on top of $200 million earlier last month.
The most exciting thing about this is the company's partners include insurance companies.
Property and casualty (P&C)-focused insurers Starr Insurance, Liberty Mutual Insurance, and other P&C insurers joined NYDIG's existing life insurance and annuity-focused strategic partners New York Life and MassMutual.
NYDIG further announced that Mike Sapnar, CEO of TransRe, one of the world's largest reinsurers, would be joining the firm to oversee its insurance activities and focus on accelerating bitcoin-driven innovation in the global property and casualty industry.
Mike is then joined by Matt Carey, NYDIG's U.S. Head of Insurance Solutions, who is focused on bitcoin-powered solutions for U.S.-based life insurance and annuity providers.
Both Mike and Matt are to basically help NYDIG “lead the way in bringing bitcoin to the insurance industry” and “enable new bitcoin-denominated products for global insureds.”
According to Anthony Scaramucci, founder of SkyBridge Capital, this is a huge deal, and the market isn’t appreciating just how significant it is that insurance companies are buying bitcoin. He said,
“Insurance companies have large balance sheets and are long-term holders of Bitcoin.”
Similar extremely bullish sentiments are shared by Saifedean Ammous, the author of The Bitcoin Standard, who pointed out that the global insurance industry is worth $6 trillion per year and “it hasn't even dipped its toes in bitcoin yet.”
“Possibly the most underrated trend in bitcoin is NYDIG's expansion into offering bitcoin solutions to the insurance industry. Bitcoin's appreciation makes it a far better asset for insurers and their clients than depreciating fiat.”
NYDIG co-founder and CEO Robert Gutmann tried to convey the same sentiments in the official announcement as he said the global property & casualty industry is huge, with $1 trillion claims paid out annually. Ross Stevens, CEO of Stone Ridge and Executive Chairman of NYDIG said,
“Fiat depreciation causes inflation in fiat premiums while collapsing the purchasing power of claims. We see a brighter bitcoin-powered future for the billions who depend on the insurance industry every year.”
The post NYDIG Raises 0M to Bring Bitcoin to the Untapped Trillion Dollar Insurance Industry first appeared on BitcoinExchangeGuide.