Gemini’s Head of Risk, Yusuf Hussain, made an announcement that the Winklevoss twins’ Gemini cryptocurrency exchange has secured the insurance coverage to safely hold on Gemini’s hot wallet, digital assets.
Hussain stated that clients now have extra security on the platform to trade and store cryptocurrencies. This news coincides with the coverage in conjunction with the deposit insurance for Gemini’s fiat funds under the Federal Deposit Insurance Corporation (FDIC).
According to Hussain, this added level of security is the goal of the company to “build the future of money”.
Hussain went on to explain how the new coverage will be a boon for the cryptocurrency industry as a whole:
“Not only is this a tremendous win for Gemini customers but this is also a win for the broader crypto industry in furthering consumer protection.”
This news compliments the newly launched stablecoin, Gemini dollar, a cryptographic token built on the Ethereum Network according to the ERC20 standard for tokens that is backed by the exchange. The tokens are pegged to the US dollar, which allows it the dual nature of maintaining a cryptocurrency’s ability to remain borderless while at the same time having the stability of the US’s fiat currency. The Gemini Dollar is under the oversight of the New York State Department of Financial Services (NYDFS).
The cryptocurrency exchange Gemini, supports Bitcoin, Ethereum, as well as other altcoins, their new digital asset was created to be utilized as a currency used in exchange for services as opposed to having an intrinsic value such as gold which is used to store wealth.