IMA Financial sells NFT insurance in Metaverse

A futuristic NFT (Non-Fungible Token) background.

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IMA Financial Group, a US insurance broker and wealth management company, recently announced the launch of IMA Web3 Labs. This is what the company considers to be Metaverse’s premier insurance and risk management R & D center. The company said it will also be installed in Decentraland, following in the footsteps of JP Morgan, the first bank to enter the Metaverse.

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IMA Web3Labs recognizes that there is a gap between NFT growth and the basic risk transfer and management strategies to protect NFTs, so the company initially seeks to mitigate NFT-specific risks, the company said. ..

Justin Jacobs, Senior Vice President of Marketing at IMA Financial Group and Architect at IMA Web3 Labs, said, “IMA’s goal is to stay one step ahead of our customers so that they can develop insurance solutions that effectively manage risk and protect their assets. I told GO Banking Rates.

“Web3 Labs allows us to quickly test, learn and adapt from within in a meta-native environment to assess the risks associated with digital and meta-assets and create new solutions. We often like the industry. We’re not just taking a “wait and see” approach, “he said.

Asked why IMA chose to partner with Decentraland, Jacobs said that the quality of creators and companies entering Decentraland brings long-term benefits to the platform in terms of overall user experience (UX), and all participants. Said to create more value for.

Regarding IMA’s target audience, Jacobs said its customers range from multinationals to small businesses to individuals, including some of the top Bitcoin mining companies in the United States, accounting for more than 30% of total hash rates. I did. in America.

“With the explosive expansion of the NFT market and the significant advances in the use of blockchain technology, we believe that our customers are in the Metaverse or are looking for opportunities. Risks and insurance issues that may arise. I want to prepare for a solution. “

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Sarojini McKenna, co-founder of blockchain game Alien Worlds, has decided that the IMA Financial Group’s decision to set up an insurance lab in the Metaverse and focus on NFTs soon is that the world is beginning to see the potential of the Metaverse. He told GO Banking Rates that he was showing. Various applications, the security and compensation surrounding this technology, are beginning to be taken more seriously.

“More and more companies are opening branches in the Metaverse, recognizing the important role that digital services will play in the future, and companies are taking the necessary precautions,” McKenna said. “NFT scams and scams are a hot topic. These issues ultimately undermine the long-term viability of this digital asset class. For people outside the crypto space, NFTs are for a variety of reasons. By assessing risks and providing insurance for these assets, the IMA Financial Group closes market gaps and builds consumer confidence. That’s what the industry really needs right now.

The entire crypto market has been sluggish in the first few months of this year, but NFTs have been on an explosive trajectory since 2021. In fact, global NFT sales hit a record high. Edited by The Block for $ 7.3 billion according to January data.

According to a recent DappRadar report, the market generated $ 25.5 billion last year, 18,400% more than the sum for the last four years.

Reeve Collins, co-founder of BLOCv, said that GOBankingRates will one day be more useful than just art, incorporating everything from certificates to home and car insurance, perhaps comparable to existing two-factor authentication protocols. Told.

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“As you can imagine, these assets accumulate enormous value, so it’s important for those who will participate in the future Metaverse world to protect them,” Collins said. .. “Therefore, it’s no surprise that insurance products are beginning to be prepared to protect the wealth that develops into Decentraland and other digital systems. All kinds of industries, such as JP Morgan opening virtual locations for banks, are in the Metaverse. It’s exciting to see them trying to get involved. It’s clear that the insurance industry will play a big role.

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About the author

Jael Bizouati-Kennedy is a former full-time financial journalist who has contributed to several publications, including: Dow Jones, Financial Times Group, Bloomberg, Business Insider. She has also worked as a VP / Senior Content Writer for major New York-based financial companies, including New York Life and MSCI. Jael He is now independent and has recently co-authored a book, Blockchain for Medical Research: Accelerating Trust in Healthcare, with Dr. Sean Mannion. (CRC Press, April 2020) She holds two master’s degrees, one in New York University journalism and the other in Russian studies at the University of Toulouse Jean-Jaures in France.