Crypto Currency Tokens In Insurance

Crypto Currency Tokens In Insurance

 

Once you decide to take part in the Initial Coin Offering, the tokens allotted to the purchaser that is stored in the digital wallet that the buyer creates. The intrinsic value of the coin currency that is not in physical form is valued for its composition, and a promise to pay the bearer of the coin currency, all this has been there from the era’s bygone. However in the process of decentralization, there is no promise to pay nor there is any ownership of the asset of the real world, everything is a business model that translates into the real world asset, as the token grows in the trading platform.

 

The possible uses of the token in the Insurance sector are:

 

  • using these token as a form of paying the premium by the users is easy and recordable at every single point of transaction, and claims settlement are also easy by way of depositing all the medical expenses in the digital wallet of the user
  • the tokens can be used for transferring between a wider market reach, within or outside organizations, in a multinational industry
  • giving the incentive-laden industry in form of tokens is a hugely successful venture that is delved in, with the number of policies exceeding the target specified can be allotted token in the digital wallets that can be used to make payments or purchase stocks, read more about QProfit System, for the details about using the tokens used for buying and selling of shares, the QProfit System by far has a wider reach online than offline trading platforms
  • with blockchain enabled technology can the tokens be used for the insurance sector with a high saving cost in the transaction processing and also save a lot of time with faster connectivity and the high-end speedy process is all that is required by insurance companies
  • the financial coverage of the losses that the policyholders are looking for, the premium paid by the policyholder is capitalized and paid against any claims lodged, the premium amount is used as a reserve, if that amount is invested in a volatile market, then the risk exposure is high

In case both the insurer and the policyholder adopt the token-based policy premium payments, the solvency requirements have to be considered, before accepting the coin based currency, the token volatility could affect the promptness in settling the claims in general.

 

 

 

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