- Standard Chartered and SBI expand investment in crypto insurance
- Soter Insure provides insurance coverage denominated in BTC and ETH
- Crypto insurance demand grows as institutions face hacking and custody risks
- Soter expands regulated insurance operations in Bermuda and Dubai
- AI agents create new questions for digital asset insurers
Abu Dhabi-based digital asset insurer Soter Insure has secured new investment from Standard Chartered’s venture arm SC Ventures and Japan’s SBI Group, expanding a Series B financing round led by Galaxy.
Token Bay Capital, an investor since Soter’s Series A, also participated in the latest financing close. Coinbase Ventures, Franklin Templeton and Brevan Howard Digital joined the initial Series B close in July 2026.
- Standard Chartered’s SC Ventures and Japan’s SBI Group joined Soter Insure’s Galaxy-led Series B financing round alongside existing investor Token Bay Capital.
- Soter reported approximately $23.5 mn in cash funding, plus more than 500 BTC and 2,000 ETH, valuing its combined financial backing at around $66 mn at prices cited in early November.
- The insurer offers cryptocurrency-denominated coverage for institutional digital asset risks, with the capacity to insure losses of up to $5 mn, 200 BTC or 2,000 ETH using its own assets.
The company has reported approximately $23.5 mn in cash backing alongside more than 500 bitcoin and 2,000 ether. Based on cryptocurrency prices cited in early November, the combined value was approximately $66 mn.
Soter did not disclose the amount contributed by individual investors or its valuation.
Standard Chartered and SBI expand investment in crypto insurance
The investment brings together traditional financial institutions and cryptocurrency-focused investors as demand grows for insurance covering institutional digital asset holdings.
SC Ventures operates as Standard Chartered’s innovation and venture investment platform, while SBI Group has established investments across financial services and digital assets.
Galaxy is leading the Series B financing, with additional participation from Coinbase Ventures, Franklin Templeton, Brevan Howard Digital and Token Bay Capital.
Soter founder and CEO Henson Orser said institutional adoption of digital assets requires insurance protection comparable to the coverage available in conventional financial markets.
The company intends to use the additional backing to expand underwriting capacity and develop operations across Asia, Europe and the United States.
Soter Insure provides insurance coverage denominated in BTC and ETH
Soter specializes in insurance products for financial institutions and companies operating with digital assets. Its coverage includes theft, custody risks, professional indemnity, directors and officers liability, smart contract failures and cryptocurrency staking penalties.
Unlike conventional insurance policies that typically settle claims in fiat currencies, Soter can issue policies and pay claims directly in bitcoin or ether.
The insurer maintains dedicated reserves in the same cryptocurrencies used to denominate its insurance obligations.
Orser said cryptocurrency capital raised by the company is allocated to the corresponding BTC- and ETH-denominated insurance programs rather than used as general operating funds.
According to the company, these assets are maintained in segregated accounts and cold storage with regulated custodians.
Soter can underwrite losses of up to $5 mn, 200 BTC or 2,000 ETH using its own assets. Larger risks are shared with other insurers.
Crypto insurance demand grows as institutions face hacking and custody risks
Financial institutions expanding into cryptocurrencies face potential losses from cyberattacks, theft, software vulnerabilities and failures involving digital asset custody.
Soter’s insurance products are designed to address risks that conventional commercial insurance policies may not adequately cover.
The company offers specialized protection for smart contract failures, including losses arising when blockchain-based software does not operate as intended. Its slashing coverage addresses penalties imposed on validators participating in proof-of-stake blockchain networks.
Recent cryptocurrency security incidents have increased attention on digital asset insurance, particularly coverage for crime and theft.
Orser said pricing conditions for cryptocurrency crime insurance have tightened following recent losses, although the market continues to develop.
Soter expands regulated insurance operations in Bermuda and Dubai
Soter is headquartered in Abu Dhabi and operates under a Bermuda insurance license that permits coverage denominated in cryptocurrencies and traditional currencies.
The company has also received full license approval from the Dubai Financial Services Authority, expanding its regulated presence. Its international operations include offices in London, New York and Dubai.
The insurer was incubated by Further Ventures and WebN Group and focuses primarily on institutional clients rather than individual cryptocurrency holders.
AI agents create new questions for digital asset insurers
Soter is also evaluating how insurance policies should respond to losses involving autonomous AI agents. These systems can initiate transactions and execute financial instructions without direct human involvement in every decision.
Insurers must determine whether losses caused by such systems qualify as covered operational or technology incidents or should be treated as operator errors.
Orser said the classification of incidents involving autonomous agents remains an unresolved issue for the industry.
The company’s expansion comes as banks, asset managers and cryptocurrency businesses seek more insurance capacity for digital asset operations, including theft, custody failures and emerging technology risks.
