Summary:
Meanwhile raises $40 million to offer life insurance policies in Bitcoin.
Valuation increases to $190 million, doubling from 2022.
Policyholders pay premiums in Bitcoin, creating a unique insurance model.
Bitcoin provides a hedge against inflation, enhancing the value of policies.
Plans for global expansion and regulatory compliance with new funding.
Bitcoin Life Insurance for Crypto Enthusiasts
Zac Townsend, co-founder and CEO of Meanwhile, a pioneering crypto insurance company, is tapping into the growing demand for life insurance policies that allow clients to pay premiums in Bitcoin. This innovative approach has attracted significant investor interest, culminating in a recent $40 million Series A funding round led by Framework Ventures and Fulgur Ventures.
Valuation Surge
This funding round values Meanwhile at $190 million, nearly double its last valuation in 2022, according to Townsend.
How It Works
Meanwhile’s life insurance policies function like traditional ones, but with a twist: policyholders pay their premiums in Bitcoin directly from their crypto wallets. Upon the policyholder's death, beneficiaries receive the claim amount in Bitcoin.
The Value Proposition
Townsend argues that life insurance is essential for protecting families from financial distress due to unexpected deaths. While traditional policies are dollar-based, Meanwhile opts for Bitcoin to enhance returns and safeguard against inflation. “It may feel like the dollar is not as sure a store of value as it might have been in the past,” he emphasizes, pointing out inflation's impact on currency value.
Addressing Volatility Concerns
Critics might raise concerns about the volatility of Bitcoin, as its price can fluctuate dramatically. However, Townsend reassures that despite short-term unpredictability, Bitcoin has historically yielded long-term returns.
Revenue Model
Meanwhile generates revenue by lending clients’ Bitcoin to major financial institutions, including crypto exchanges, expecting to achieve a 3% return on these loans, which supports client payouts and operational costs.
Expansion Plans
With this new funding, Meanwhile aims to expand its global footprint and ensure compliance with regulations, positioning itself as a leader in crypto-centered financial planning.
Competitive Landscape
Meanwhile is not alone in this innovative space; companies like BitcoinIRA are also offering crypto holders opportunities for financial planning.
Previous Funding
This Series A follows a previous $20.5 million raise in 2022 led by notable figures such as Sam Altman, CEO of OpenAI, and Lachy Groom, an early Stripe employee.
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