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Business Insurance for Web3

As a hypernative Web3 business owner, you will face significant risks that require specialized insurance coverage to protect your digital assets. At Founder Shield, we understand the challenges of starting and growing a business, which is why we offer tailored insurance solutions to protect against potential risks awaiting cover in the Web3 economy.

web3 Insurance

Risks in the Web3 Industry

Risks in the Web3 Industry

Science

Security Breaches

Web3 applications are often built on top of decentralized networks, which can make them more vulnerable to security breaches. Mostly because decentralized networks are more complex and difficult to secure than centralized networks. Additionally, smart contracts, which are the underlying code of many Web3 applications, are often written by inexperienced developers and can contain security vulnerabilities.

Regulatory Risk

Regulatory Changes

The regulatory landscape for Web3 is still evolving, and this can create uncertainty for businesses and investors. Governments are still trying to figure out how to regulate this new technology. Plus, regulatory changes can have a significant impact on the value of cryptocurrencies and other digital assets.

Clinical Trials

Operational Disruptions

Decentralized networks can also be vulnerable to operational disruptions, such as outages. Networks are often reliant on a small number of nodes, and if these nodes go down, the entire network can be affected. Additionally, natural disasters or other unforeseen events can also cause operational disruptions.

Patent

Fraud and Theft

The decentralized nature of Web3 also makes it more susceptible to fraud and theft. In short, there is no central authority to regulate or monitor transactions on the blockchain. Additionally, the anonymity of many Web3 users makes it difficult to track down and prosecute fraudsters.

Web3 Risk Management Guides

At Founder Shield, we offer insurance coverage for a variety of Web3 startups. Some of the types of startups we specialize in include:

 

Biotech

Cryptocurrency Risk Management Guide

This guide is for crypto leaders to learn about the legal climate, risk management, and the insurance policies you need.

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Virtual Care

Blockchain Risk Management Guide

Our experts have compiled a streamlined risk management playbook to protect rapidly scaling blockchain companies.

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Web3 Insurance

Getting suitable insurance is indispensable in shielding against potential financial losses, establishing trust, complying with regulations, managing risks, maintaining business continuity, and promoting innovation in the Web3 sphere.

 

 

 

Directors and Officers (D&O) Insurance

Directors and Officers (D&O) insurance protects a company’s executives and the organization itself against specific claims brought against them. This insurance safeguards the personal assets of directors and officers when they are sued by shareholders, competitors, and investors, among others, for alleged wrongful acts in their company management.

 

 

 

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Directors and Officers (D&O) insurance protects a company’s executives and the organization itself against specific claims brought against them. This insurance safeguards the personal assets of directors and officers when they are sued by shareholders, competitors, and investors, among others, for alleged wrongful acts in their company management.

 

 

 

errors and omissions

Errors and Omissions (E&O) Insurance

Also known as professional liability, E&O insurance covers Web3 businesses against third-party lawsuits alleging subpar work or service. This type of insurance is particularly valuable for Web3 companies to protect against the financial implications of human mistakes or negligence, budget overruns, or incorrect advice — all of which can lead to expensive legal cases. E&O insurance serves as a safety net in response to these unfortunate incidents.

 

 

 

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Also known as professional liability, E&O insurance covers Web3 businesses against third-party lawsuits alleging subpar work or service. This type of insurance is particularly valuable for Web3 companies to protect against the financial implications of human mistakes or negligence, budget overruns, or incorrect advice — all of which can lead to expensive legal cases. E&O insurance serves as a safety net in response to these unfortunate incidents.

 

 

 

cyber insurance

Cyber Liability Insurance

Cyber liability insurance protects Web3 businesses against lawsuits from electronic activities, such as cyberattacks and data breaches (i.e., ransomware, social engineering, phishing, etc.). In addition to providing a legal defense, it offers numerous recovery benefits. These include assistance with data recovery, compensation for lost income, and expended payroll related to the incident.

 

 

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Cyber liability insurance protects Web3 businesses against lawsuits from electronic activities, such as cyberattacks and data breaches (i.e., ransomware, social engineering, phishing, etc.). In addition to providing a legal defense, it offers numerous recovery benefits. These include assistance with data recovery, compensation for lost income, and expended payroll related to the incident.

 

 

crime insurance

Crime Insurance

Crime insurance is a type of insurance that covers losses resulting from theft, robbery, and other criminal acts. It is vital for web3 companies because they are often targeted by criminals due to the high value of the digital assets they deal with. Crime insurance can help cover the costs of stolen or damaged property, as well as the costs of legal fees and other expenses associated with a criminal investigation.

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Crime insurance is a type of insurance that covers losses resulting from theft, robbery, and other criminal acts. It is vital for web3 companies because they are often targeted by criminals due to the high value of the digital assets they deal with. Crime insurance can help cover the costs of stolen or damaged property, as well as the costs of legal fees and other expenses associated with a criminal investigation.

Digital Asset Insurance

Digital Asset Insurance

Digital Asset Insurance offers comprehensive coverage, designed to secure your digital investments against theft, hacking, and other cyber threats. Embrace the digital revolution with confidence, knowing that your valuable assets are protected with our tailored insurance solutions.

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Digital Asset Insurance offers comprehensive coverage, designed to secure your digital investments against theft, hacking, and other cyber threats. Embrace the digital revolution with confidence, knowing that your valuable assets are protected with our tailored insurance solutions.

Intellectual Property

Intellectual Property Insurance

Intellectual property insurance covers the costs of defending against and/or pursuing claims of intellectual property infringement and the costs of lost profits and other damages. Web3 companies need this coverage because they are often developing and using new and innovative technologies that are more likely to be the subject of intellectual property disputes.

 

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Intellectual property insurance covers the costs of defending against and/or pursuing claims of intellectual property infringement and the costs of lost profits and other damages. Web3 companies need this coverage because they are often developing and using new and innovative technologies that are more likely to be the subject of intellectual property disputes.

 

Employment Practices Liability Insurance

Employment practices liability (EPL) insurance covers the costs of defending against and settling claims of employment discrimination, harassment, and wrongful termination. This coverage is vital for Web3 companies since they often deal with a remote workforce and may be subject to different employment laws than traditional companies.

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Employment practices liability (EPL) insurance covers the costs of defending against and settling claims of employment discrimination, harassment, and wrongful termination. This coverage is vital for Web3 companies since they often deal with a remote workforce and may be subject to different employment laws than traditional companies.

Tailored for the needs of Web3 companies

Founder Shield protects Web3 companies of all sizes with a range of insurance coverage options. We understand that that antiquated one-size-fits-all approach doesn’t cut it for Web3, so we tailor to the unique risks faced by this industry. Our policies are designed to scale with your business and keep you protected.

Fast and attentive service. Always there to help with my questions and make sure we get the right coverage. Highly recommend!

Demetri Karagas Co-Founder

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ebook

Risk Management Guide for Cryptocurrency

This playbook is for leaders in the Web3 space to learn about the legal climate, risk management and the insurance policies you need.

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Why Choose Founder Shield?

Founder Shield is committed to helping Web3 companies succeed by providing them with the insurance coverage they need and the customer service they deserve. Here are just a few of the reasons why our clients trust us:

1
Bespoke Insurance Solutions

Founder Shield understands the unique risks faced by Web3 companies and can often design insurance policies that specifically address those risks. This is in contrast to traditional insurance companies, which often offer one-size-fits-all policies that may not be tailored to the specific needs of Web3 companies.

2
Top Carrier Access

Founder Shield has access to top insurance carriers, which gives us the ability to negotiate the best possible rates for their clients. This is in contrast to traditional insurance companies, which may only have access to a limited number of carriers.

3
Niche Expertise

Founder Shield has a team of experts who are knowledgeable about the Web3 industry and the risks that Web3 companies face. This expertise allows them to provide their clients with the best possible advice and support.

Web3 Startup Insurance FAQ

How does Web3 Insurance Work?

We create coverage unique to your company’s business challenges to protect against unforeseen circumstances.

We create coverage unique to your company’s business challenges to protect against unforeseen circumstances.

Why is Web3 Insurance Important?

It is crucial in mitigating the risks associated with digital assets and blockchain technology. It offers protection against losses from hacks, fraud, and other cyber threats in the rapidly evolving Web3 space.

It is crucial in mitigating the risks associated with digital assets and blockchain technology. It offers protection against losses from hacks, fraud, and other cyber threats in the rapidly evolving Web3 space.

Who needs Web3 Insurance?

This insurance is essential for business models involved in the Web3 economy. This can include cryptocurrency investors, blockchain developers, DeFi platforms, NFT creators, and any entities participating in decentralized networks.

This insurance is essential for business models involved in the Web3 economy. This can include cryptocurrency investors, blockchain developers, DeFi platforms, NFT creators, and any entities participating in decentralized networks.

What risks does Web3 Insurance cover?

We cover a range of risks, including smart contract failure, exchange exploits, loss of digital assets due to hacking or fraud, operational errors, and regulatory risks.

We cover a range of risks, including smart contract failure, exchange exploits, loss of digital assets due to hacking or fraud, operational errors, and regulatory risks.

Get A Quote For Web3 Insurance

Don’t wait until it’s too late to protect your Web3 hypernative startup. Get a quote today and see how Founder Shield can help mitigate risks and protect your company’s future.