Nydig Raises $100 Million – Details Bitcoin-powered Insurance Strategy
NYDIG has announced a $100 million raise of growth capital with strategic partnerships and hires for a bitcoin-powered insurance strategy.
Among the list of partners for this fundraise are Starr, Liberty Mutual Insurance, and other property and casualty insurers, joining NYDIG’s existing partnership with New York’s MassMutual. This marks notable investment in a bitcoin-focused group by traditionally conservative companies.
NYDIG also announced that Mike Sapnar, the CEO of major reinsurer TransRE, would become its global head of insurance solutions and oversee all NYDIG insurance activities. Sapnar will be joined by NYDIG U.S. Head of Insurance Solutions Matt Carey, who will be “focused on bitcoin-powered solutions for U.S.-based life insurance and annuity providers,” per the announcement.
Robert Gutmann, co-founder and CEO of NYDIG, said, “The global property & casualty (P&C) industry is huge, paying out over $1 trillion in claims annually. I am excited to welcome Starr and Liberty Mutual to NYDIG, as part of our expansion of bitcoin into new areas of insurance.” Robert continued, “The team and I are also thrilled to welcome Mike and Matt to NYDIG. Mike has been a close collaborator with Stone Ridge since 2014, primarily with our catastrophe reinsurance asset management franchise and our non-catastrophe reinsurer, Longtail Re. Mike’s more than 30 years of experience will help NYDIG lead the way in bringing bitcoin to the insurance industry.”
Hank Greenberg, Chairman and CEO of Starr said, “We’ve been broadly and successfully investing with Ross and the Stone Ridge team across their various initiatives for years, including as a founding NYDIG investor in 2017. We are excited to continue our tradition of co-investment with them. We’ve also worked closely with Mike Sapnar for more than 25 years and congratulate Mike and NYDIG on his joining, and further propelling, the Stone Ridge ecosystem.”
Ross Stevens, CEO of Stone Ridge and Executive Chairman of NYDIG, continued, “Fiat depreciation causes inflation in fiat premiums, while collapsing the purchasing power of claims. We see a brighter bitcoin-powered future for the billions who depend on the insurance industry every year. With the addition of Mike Sapnar, a trusted partner for years, and now with Starr, Liberty Mutual, New York Life, and MassMutual as shareholders of NYDIG, we will be working tirelessly to enable new bitcoin-denominated products for global insureds.”
