Renowned investment platform eToro is now offering a free insurance scheme which will pay its users holding traditional assets up to £1 Mln [$1.292 Mln] if the firm should ever become insolvent.
Within an official announcement recently today on Monday, eToro added that the new policy is underwritten by Lloyd’s of London and would apply in “the unlikely event that eToro was to enter a state of insolvency.”
If it goes bust, the firm said the policy would “cover clients for losses above the relevant financial compensation schemes to a worth of £1 Mln, and in accordance with the purchased policy.”
In the United Kingdom, the Financial Services Compensation Scheme would cover to £85,000 [around $110k] held in investments.
The policy also covers both cash persisted eToro’s platform and open accounts but cryptocurrencies aren’t included because they’re “unregulated assets,” the firm added.
eToro added that the insurance would bring its many global users “additional peace of mind.”