Insured Staking Solution To Counteract Slashing Risks Brings Two Companies Together

Zinger Key Points
  • The collaboration aims to provide a secure staking platform for institutional investors by 2024.
  • Dr. Oliver Vins emphasizes the growing interest of institutional investors in the staking sector.

Boerse Stuttgart Digital is joining forces with insurance company Munich Re Group to introduce an insured staking solution.

This collaboration aims to set a new benchmark for staking security in Europe, catering primarily to institutional investors.

The upcoming Benzinga's Future of Digital Assets conference on Nov. 14 will likely spotlight such innovative ventures, emphasizing the rapid evolution of the digital asset landscape.

Munich Re Group crafted a staking risk insurance to counteract "slashing" risks, ensuring Boerse Stuttgart Digital's staking remains secure.

This initiative builds upon their existing partnership, which began with crypto custody insurance in 2022.

Dr. Oliver Vins of Boerse Stuttgart Digital expressed enthusiasm about deepening ties with Munich Re, emphasizing the growing institutional interest in secure staking solutions.

Meanwhile, Dr. Andre Knoerchen from Munich Re highlighted the synergy between the two entities, aiming to accelerate and secure institutional digital asset adoption.

Also Read: Hong Kong Legislator Challenges Ethereum Founder To Visit City: Here's Why

The term "slashing" pertains to potential losses validators might face on the Ethereum ETH/USD blockchain's Proof-of-Stake mechanism.

To mitigate such risks, Munich Re, in collaboration with Staking Facilities GmbH, has devised an insurance model to cover potential slashing events.

The primary goal is to offer institutional clients a reliable gateway to staking, while also exploring new income avenues in proprietary trading.

Read Next: Mantle EcoFund's $200M Fund To Propel Web3 Innovation

Meet and engage with transformative Digital Asset and Crypto business leaders and investors at Benzinga's exclusive event, Future of Digital Assets. Tickets are flying: Get yours!

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Posted In: CryptocurrencyNewsMarketsBaFinBoerse Stuttgart DigitalBoerse Stuttgart Digital CustodyCrypto StakingDigital AssetsEuropeInstitutional InvestorsMunich Re GroupProprietary Trading
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