Coincover, a service that protects and insures digital assets, has raised $30 million in a round led by Foundation Capital.
🚨 STOP THE CLOCK
In defiance of the #cryptowinter, we’re pleased to announce $30M in funding with the support of @FoundationCap , adding fuel to our mission to make #crypto safe for everyone to hold and use. 🔒
Read more here: https://t.co/RQdgwXWf9z pic.twitter.com/0PC2BDN3iA
— Coincover (@Coincoverglobal) February 9, 2023
The names of the other investors were not disclosed. According to Coincover, the funds raised will help grow the client base and expand the range of services.
“This new funding will accelerate hiring, product updates, and partnerships to protect the crypto ecosystem. Given that last year $3 billion was stolen in hacker attacks, and with crypto regulation expected in 2023, the opportunities are enormous,” said Charles Moldow, General Partner at Foundation Capital.
The British startup provides protection and insurance coverage for crypto investors and companies.
In 2021, Coincover raised $9.2 million in a Series A round. The funds were provided by Valor Equity Partners, Susquehanna Private Equity Investments, LLLP and DRW Venture Capital.
“I would say we are seeing a substantial uptick in demand from a broad range of clients who, when I speak with any of them, are eager to take the initiative when thinking about protecting client assets,” said Coincover co-founder David Yanchevski in an interview with The Block.
In March 2020, the crypto custody service BitGo offered additional insurance coverage for “cold” wallets. For “hot” wallets, protection could be purchased through Coincover.
In December 2022, insurers limited risk coverage for clients involved in FTX’s bankruptcy proceedings.