Elevating Multi-Institution Custody with Tailored Insurance
“Onramp Bitcoin Secures $100 Million Insurance Facility from Lloyd’s of London Through Partnership with Native”
Multi-institution custody (MIC) has emerged as a leading approach for safeguarding bitcoin, distributing risk across multiple regulated entities—none of which can unilaterally control assets.While this framework already offers strong defenses—as the best form of ‘insurance’ is the manner in which private keys are managed—Onramp strives to make its solutions fully resilient against any potential vulnerabilities, including those stemming from human or internal factors.
To reinforce this goal, Onramp has secured a $100 million insurance facility from Lloyd’s of London (Canopius, a syndicate at Lloyd’s), facilitated by its partnership with Native. This coverage is specifically designed to neutralize the remote tail risks that could theoretically arise within MIC—ensuring that both individual and institutional investors can engage with confidence.
By proactively addressing human-oriented threat vectors—such as collusion —Onramp fortifies an already robust security architecture, underscoring its commitment to delivering both reliability and peace of mind for its clients.
This new facility extends broad protection without imposing incremental fees on our clients, while enabling larger and more innovative policies that are only possible through the architecture and resilience of multi-institution custody. Securing coverage from Lloyd’s of London is a testament to the low-risk profile of Onramp’s custody solution, underscoring that our security architecture stands out in an industry where trust and reliability are paramount.
Advancing Segregated On-Chain Vaults
A notable aspect of this coverage is the emphasis on segregated on-chain vaults. Rather than extending a uniform blanket policy to a collective pool of assets, coverage is specifically structured to reflect the security measures inherent to each multi-institution custody vault. This approach offers a more transparent and targeted model for asset protection, ensuring that policy terms align closely with Onramp’s custody framework. The result is greater clarity and long-term confidence for clients, who can see exactly how their holdings are safeguarded.
This level of granularity is uniquely enabled by our multi-institution custody design. With multiple regulated entities providing consensus-driven transaction authorization, no single participant can act unilaterally—minimizing the chance of collusion or other internal threats that might undermine asset safety.
Balancing Coverage and Cost
One of the central benefits of Onramp’s approach is its economic feasibility. Typically, expanded insurance coverage translates into elevated fees, making it prohibitive for individuals or small-scale entities. In contrast, our custody architecture allows us to integrate robust coverage into the standard service at no additional cost to clients.
Starting from $150 per month (i.e., $1,800 annually), clients receive institutional-grade protection via MIC bolstered by a comprehensive insurance policy.
For those requiring dedicated limits, we offer a facility (through Native’s US broking partner, IMA insurance) for purchasing higher limits specifically for your holdings. This ensures ultimate peace of mind without sacrificing cost-effectiveness.
These pricing advantages arise from the fundamental security of our system: the stronger the custody design, the more competitive and sustainable the insurance rates become. Onramp merges technical governance through bitcoin-native multisig with legal governance via each key holder’s fiduciary duties, enabling tailored permissions such as timelocks initiated by the client—without relying on proprietary or untested wallet infrastructure.
Recognizing that no single custodian’s balance sheet or insurance policy can fully absorb catastrophic losses, Onramp’s multi-institution custody (MIC) model alleviates investor hesitations by providing a more scalable and cost-effective path toward comprehensive coverage.
Looking Ahead
By proactively addressing human-oriented threat vectors, Onramp has introduced a truly resilient custody environment—one where even the most remote threats are thoughtfully mitigated against and transferred. Our MIC framework, combined with segregated on-chain vault insurance, not only meets the rigorous standards expected by today’s investors but also pioneers a new level of accountability and cost-efficiency in bitcoin protection.
Whether you’re an individual or institutional allocator, Onramp’s model ensures industry-leading security underwritten by a globally recognized name in insurance—without burdening you with extra fees. For those seeking additional layers of protection, we stand ready to customize coverage that aligns precisely with your risk profile.
Onramp invites you to learn more about its multi-institution custody approach and the new insurance facility by scheduling a consultation. There is much more on the horizon, as Onramp continues to innovate around MIC-driven solutions—ranging from bitcoin-denominated policies to mutual structures that reflect the evolving landscape.
