Coincover is on a mission to bring the safety and confidence that will enable cryptocurrency to reach its full potential as the global financial standard. Raising $9.2 million in Series A financing is a significant step towards achieving this goal.
This funding enables us to:
- Accelerate development to quickly deliver to market more cryptocurrency safety products.
- Support our partners to activate and maximise the adoption of crypto safety products amongst their customers through new tools and resources.
- Raise consumer awareness of the options now available to safely hold and trade cryptocurrency.
London’s Element Ventures led the round with participation from DRW Venture Capital, CMT Digital, Avon Ventures, Valor, Fintech Collective, Susquehanna, Volt Capital and the founding investors, Insurtech Gateway Fund and Development Bank of Wales.
The backing of multinational investment firms will help bring much needed protection to the cryptocurrency industry
With 122 confirmed attacks worth $3.78 billion in 2020 and estimates that 20% of all Bitcoin is lost due to human error, this protection is much needed to bring certainty to the market.
There are over 100 million cryptocurrency users with funds vulnerable to attack, user error and business failure. Coincover exists to protect users against these threats by ensuring that everyone can use and hold cryptocurrency safely from the point of purchase.
Through a unique combination of military-grade technology and insurance-backed theft cover underwritten by Lloyd’s of London, we provide our partners and their end customers with guaranteed protection from loss of access to and theft of cryptocurrency funds.
David Janczewski, Co-founder and CEO at Coincover, said: “Crypto can be complex and confusing and people have valid fears around the safety of their funds. With Coincover, we are providing a fundamental building block for a rapidly maturing market by ensuring that people can be protected against making a mistake that can end up costing them thousands. This investment means we can rapidly scale our growth to market and consumer demands, and in doing so ensure more people can invest in crypto safely.”
Investors are investing in Coincover as the industry solution
Michael McFadgen, Partner at Element Ventures, said: “More and more people are investing in cryptocurrencies, but the industry needs infrastructure and safeguards to make it more consumer-friendly. People don’t want to be losing their laptops and having millions go missing. Coincover is building the infrastructure that will allow crypto to reach mass adoption, with a fantastic management team that can tackle this problem in a way that no one else can. We’re delighted to be supporting David and the team and can’t wait to be a part of their growth journey.”
Coincover already work with companies including BitGo, Curv and Fireblocks to provide innovative solutions to millions of potential end users, including:
• World-first hot wallet theft cover underwritten by Lloyd’s of London.
• Emergency private key backups that are never exposed to a network and enable the recovery of funds in the event of lost keys.
• The Deposit Protection Guarantee that protects cryptocurrency funds up to $1 million in the event of business or catastrophic systems failure.
Cryptocurrency companies – such as exchanges, custodians and wallet providers – can simply embed Coincover’s platform into their offering to provide customers with the peace of mind that their funds are protected.
This plug-and-play platform supports over 200 different cryptocurrencies and has been created by specialists across government, military and law enforcement. It gives companies access to expertise in creating and securely storing private keys, Government-standard security protocols and access control, along with business continuity and disaster recovery protection for crypto assets.
Kim Trautmann, Head of DRW Venture Capital, said: “As an early investor in cryptoassets, it’s been clear to us that there would be tremendous opportunities for smart, forward-thinking start-ups to develop products that support the evolution of the ecosystem. Coincover has positioned itself to take the lead in solving one of the most prevalent problems: how to protect wallet access and the funds within them. We’re excited to make this investment and work alongside Coincover’s world-class leadership team to raise additional awareness around these issues.”