Crypto Assets Security and Insurance

The safety of clients funds is the first priority for Nexo. Cold storage Nexo Wallets are provided by the leader in multi-signature encryption technology BitGo. These custodial assets are covered for up to $100,000,000.00 by the London-based insurance company Lloyd’s with its syndicate of underwriters which act under its umbrella. And this premium service comes in at no additional cost ( details can be found here and here).

Custodial crypto assets are insured against commercial crime. In the unlikely event that Nexo’s custodian should suffer a security breach, insurance procedures are triggered so as to compensate any losses resulting from physical and/or cybersecurity breach, and/or employee theft. It is the account holders’ responsibility to safeguard their accounts by means including but not limited to using a strong password, enabling two-factor authentication and controlling all login credential to Nexo.

Clients remain owners of the crypto assets placed into Nexo Wallets. Nexo partners with the largest and world-renowned custodian BitGo to secure all crypto assets. This is the Enterprise Solution of world-renowned crypto custodian BitGo, backed by Goldman Sachs and incorporates Cryptocurrency Security Standard Level 3 which is SOC 2 compliant. The CCSS Level 3 requires multiple actors for the all-critical actions. Advanced authentication mechanisms are employed to ensure the authenticity of data, and assets are distributed geographically and organisationally.

We have adopted the best industry practices which make up the security protocols of other market leaders using BitGo such as UPbit, Pantera Capital, CME Group, Kraken, Genesis, SBI, Ripple and many more.

Additionally, Nexo is a founding member of the Collateral Protection Insurance (CPI) consortium which brings collateral insurance into the blockchain space. Nexo - the largest crypto lender, is excited at the prospects of securitization & institutional adoption that insurance for collateral brings. Find out more here.

To underpin the robustness of the enterprise, Nexo is making use of BitGo’s Enterprise Solution which incorporates the Cryptocurrency Security Standard Level 3 and is SOC 2 compliant. The CCSS Level 3 requires multiple actors for the all-critical actions, as advanced authentication mechanisms are employed to ensure the authenticity of data, while assets are distributed geographically and organizationally.

Furthermore, all Nexo systems are audited by top IT specialists and ensure 24/7/365 fraud monitoring mechanism, around the clock customer support, military-grade encryption that guarantees both the security of clients’ funds and their privacy.