Insurance for the Cryptocurrency Industry Today I saw many friends discussing this topic, and most of them believe that it is difficult to determine whether it is really stolen. However, this situation also exists in the traditional world. The simplest ones are car insurance fraud and personal accident fraud. In fact, I think it has little to do with whether it is "really" happening, but rather has a direct relationship with "who will supervise". Simply put, whether it's vehicle insurance or personal insurance, experienced friends know that the first step is not insurance, but reporting to the police. Professional law enforcement agencies will determine the situation, and then the insurance company will intervene. In the field of cryptocurrency, why can't law enforcement agencies access it? The biggest issue is compliance. This compliance does not mean that I can conduct transactions with a license in a certain region, but rather the compliance of enforcement power. For example, if a Shanghai resident drives and collides with someone in Singapore, is the car insurance purchased in Shanghai applicable to compensate the victims in Singapore? In fact, most vehicle insurance does not cover the global scope, so drivers need to ensure that they have purchased insurance in the country where they are driving and that the insurance company will only provide coverage in the event of an accident through local law enforcement agencies. For cryptocurrencies with almost no entities or unclear country of origin, this is a problem. But that's not the biggest trouble, the bigger problem is how to calculate the value of the cryptocurrency industry. This is the biggest trouble and the reason why it is difficult to push forward. Let me give another example. For example, on March 1, 2025 Beijing time, the price of Bitcoin was $100000. On March 2 Beijing time, the price of BTC became $200000, and on March 3 Beijing time, the price of BTC became $1.5 billion. So, what kind of insurance company can price BTC as a basis for compensation? Of course, in reality, it is not impossible to do it. Banks themselves have insurance, and gold also has insurance. Banks' assets are not fixed every day, and the price of gold fluctuates. Therefore, a fixed price can be given as insurance. For example, if a bank determines through auditing that its assets are currently worth $1 billion, one or more insurance companies can underwrite the bank for $1 billion. The same applies to gold, which is based on a credible auditing company and small price fluctuations. This is the biggest and most fundamental issue. Well, speaking of people, it depends on both the recognition of law enforcement agencies and the recognition of auditing agencies. In fact, Coinbase has its own hot money package to buy insurance, with a coverage of approximately $255 million. And there is another hidden element in auditing and law enforcement, which is the compliance of funds, including KYC and AML. How many cryptocurrency companies can do this now? This tweet is sponsored by @ ApeXProtocolCN | Dex With Apex