KODA Signs 'Virtual Asset Insurance' Contract with Samsung Fire & Marine Insurance…"Up to $20 Million in Compensation"

Korea Digital Asset Co., Ltd. (KODA), a virtual asset custody (trust) company, announced on the 23rd that it has signed a dedicated virtual asset insurance contract with Samsung Fire & Marine Insurance Co., Ltd., offering coverage of up to $20 million.

This is the first time in Korea that a custody company has signed a dedicated virtual asset insurance contract with an insurance company. KODA explained that, as a result of this contract, it has become the industry’s first to simultaneously establish internal control and insurance coverage systems on par with those of the financial sector.

KODA entered into the agreement with Samsung Fire & Marine Insurance in response to rising institutional demand for custody. A KODA representative said, "With corporate real-name virtual asset accounts set to be allowed later this year, institutional demand for custody—such as from investment firms—is also expected to grow."

The initial insurance coverage amount is $20 million. KODA plans to discuss gradually raising the compensation limit with Samsung Fire & Marine Insurance in line with the increase in custody assets.

Jin-seok Cho, CEO of KODA, stated, "This insurance, which we signed to proactively respond to the opening of the ETF and corporate markets, represents a turning point in raising client asset protection to the level of the traditional financial sector," adding, "Through our dedicated virtual asset insurance contract with Samsung Fire & Marine Insurance, we have further strengthened the safety and reliability of our custody service."