Two Bitcoin exchanges in Japan are working with insurers to launch insurance products aimed at preventing losses from failed transactions involving the cryptocurrency.
Japanese Bitcoin exchange bitFlyer is partnering with Mitsui Sumitomo Insurance to offer merchants a way to receive compensation for failed Bitcoin transactions. The insurance package is the first of its kind in Japan.
The offering from the Tokyo cryptocurrency exchange and the MS&AD Insurance Holdings Group unit will cover damages if a customer payment does not go through correctly due to system problems or other issues, reported The Nikkei.
Coincheck, another Tokyo virtual currency exchange operator, is also gearing up to offer a similar insurance product by teaming up with Tokio Marine & Nichido Fire Insurance, a Tokio Marine Holdings group subsidiary.
The hope is that more stores will adopt Bitcoin as a payment instrument if they are not forced to bear losses from failed payments.