Relm Insurance (‘Relm’), the specialty insurance carrier supporting emerging and innovative industries, today announced the launch of FALTAWEB3, a bespoke risk transfer solution that asset managers, broker/dealers or custodians can purchase to give their customers peace of mind in the event that they are unable to withdraw funds from exchanges due to an ‘exchange default’.
With this offering, asset managers, broker-dealers, and custodians can assure clients that they will be covered if an exchange default prevents fund withdrawals.
Relm Insurance is a Bermuda-domiciled specialty insurance carrier supporting emerging industries that spur innovation and next generation technologies. Launched in 2019 to address the scarcity of insurance capacity available to these high growth markets, Relm plays an active role in bolstering the resilience of these innovative industries.
Relm states that this is the first insurance product specifically built to protect against insolvency, liquidation, bankruptcy, or withdrawal suspensions (see about FDIC Deposit Insurance for Crypto Assets: Products, Risks, Coverage).

This product responds to the increasing frequency of such events, aiming to strengthen confidence among commercial users of crypto exchanges. Relm’s underwriting team, with five years of experience in Web3 insurance, leverages extensive risk data tailored to digital assets.
FALTAWEB3 applies proprietary data and insights from Agio Ratings, a credit rating firm specializing in exchange default risk. Agio’s quantitative model identified high risks at FTX and other exchanges before they failed.
With over five years of experience insuring companies across the Web3 ecosystem, Relm’s underwriting team has developed a robust repository of underwriting and risk data specific to digital assets. For FALTAWEB3, Relm will harness its proprietary data alongside insights from Agio Ratings, a credit rating firm with an established record of assessing exchange default risk.
Agio Ratings’ rigorous quantitative approach flagged high risk at FTX and several other exchanges that subsequently defaulted. “Exchange risk is notoriously difficult to hedge, even for the most sophisticated risk managers. We’re excited to support Relm’s vision to broaden access to coverage in the event of an exchange default,” said Ana de Sousa, CEO of Agio Ratings.
This new solution further solidifies our alignment with innovators in the digital asset space. Insurance should be an enabling force for the maturing crypto economy. FALTAWEB3 was built from deep industry engagement, ensuring that we meet the unique needs of market participants handling significant volumes of fiat and crypto across exchanges.
Joseph Ziolkowski, Relm’s CEO and founder
Relm enables clients to self-insure through its reinsurance platform. By securing third-party capital, it can underwrite higher coverage limits, providing flexibility to address these exposures.
The company also offers a bankruptcy-protected captive insurance option for businesses reliant on exchanges, allowing them to share in underwriting profits. Additionally, Relm can establish reinsurance sidecars, deploying third-party capital—denominated in fiat or digital assets—to create regulated reinsurance capacity, which is currently limited in traditional markets.
“Through engagement with stakeholders and technology partners, Relm continues to redefine risk transfer,” said Claire Davey, Head of Product Innovation and Emerging Risk.
He added, “FALTAWEB3 reflects our focus on emerging risks, data-driven insights, and regulated insurance infrastructure to fill gaps in traditional coverage and support the expanding digital asset market.”
This news comes after Relm announced the launch of its US MGA, licensed in 50 states, and the hiring of industry veteran Keith Lavigne as Head of Underwriting – US.