Insurance Coverage for Blockchain and Cryptocurrency Risks

Blockchain usage has become a reality for enough businesses -- whether through the use of a cryptocurrency such as Bitcoin or otherwise -- that it is critical savvy counsel consider the risks associated with the technology and the applicability of insurance to those unique risks.

Indeed, because Bitcoin is the most prominent use of blockchain technology, the insurance issues it presents can illuminate risks associated with the underlying technology in general.

Courts and regulators continue to grapple with the nature of Bitcoin.  And as the technology matures, insurance policies will adapt to address the risk.  For now, coverage lawyers and clients are faced with blue waters and some uncertainty.  But coverage will still be determined by traditional rules of policy interpretation, using tools in all coverage insurance attorneys' tool kits.