BY CNA Team - November 8, 2018
Kraken considered most secure crypto exchange, according to study
San Francisco-based crypto exchange Kraken is supposedly the most secure among a group of exchanges that Group-IB, a cybersecurity firm, assessed for insurance risk.
According to a report by The Next Web, who spoke to Group-IB, Kraken is the most secure among the exchanges, based on an assessment framework developed together with CryptoIns, a platform specialising in crypto insurance services.
Dividing the exchanges into four groups, and using a base insurance rate of 2.5% a quarter, with a maximum 50% discount applied for the most secure, it found that Kraken was the only one that qualified for the full discount.
A second group that included Bittrex and Coinbase Pro were assigned a 1.5% insurance premium.
Binance, Bitfinex, Bithumb, Bitmex, Localbitcoins, MyEtherWallet, and Poloniex were assigned the most common premium – 1.9%.
Among the riskier exchanges were OKEx, Huobi Pro and CoinCheck.
The tech news site says the least secure exchange analysed by Group-IB was Yobit, which was removed from the list of exchanges before the assessment system was rolled out.
Exchanges that were also excluded from the list were recently hacked Zaif, Bitstamp, TopBTC, and Bit-Z.
Group-IB and CryptoIns assessed the exchanges using a framework that includes the level of technical security, the reliability of key storage, passwords, and personal data of customers provided by each exchange.
It also considers the quality of the individual risk management systems of each, as well as the know-your-customer and anti-money-laundering procedures.
CryptoIns’ platform was developed by ASPIS, a Swiss insurance broker, with Selecta Insurance & Reinsurance Co handling all insurance coverage.
Image courtesy of Kraken website.