Insiders: Hong Kong cryptocurrency exchanges and custodians seek to cover the risk of hacking and theft

According to the South China Morning Post, Hong Kong cryptocurrency exchanges and custodians are seeking insurance to cover the risks of hacking and theft in order to comply with the regulatory requirements introduced by the Hong Kong Securities and Futures Commission to fully protect customer assets. However, industry insiders say compliance with Hong Kong's new insurance rules is a costly challenge for cryptocurrency exchanges and custodians. Murray Wood, head of Asia finance at Aon Group, said: “The number of insurance companies and reinsurers that are willing to take on the security risks of cryptocurrency networks is extremely limited. Currently, the available coverage of each transaction is less than $1 billion.”