Project Eleven and Relm to Explore Post-Quantum Security for Crypto Asset Insurance

Project Eleven, specializing in post-quantum security, announced a partnership with Relm Insurance. The collaboration aims to explore the possibilities of assessing threats related to quantum computing within digital asset insurance. At the heart of the project is Project Eleven's flagship institutional asset custody platform, Strongpoint. It is designed to counter emerging quantum risks and combines classical and post-quantum signature methods. This architecture allows financial institutions to update cryptographic algorithms without disrupting existing approval workflows or audit documentation. Experts warn that a sufficiently powerful quantum computer could compute private keys from public ones, exposing digital assets to theft or hacking.

As part of the partnership, Relm and Project Eleven will explore how post-quantum security mechanisms can be integrated into digital asset risk models. Relm will also advise on the design of Strongpoint to ensure that the custody infrastructure meets the auditability and risk documentation requirements set by insurers. Alex Pruden, CEO and co-founder of Project Eleven, stated that every organization holding digital assets will eventually need to prepare for post-quantum cryptography. The question remains whether this transition will occur on the organization's schedule or under pressure. According to him, insurance plays a crucial role in how markets assess and manage risks, and organizations investing in more robust protections against quantum attacks may ultimately see this reflected in their risk assessments.

Joseph Ziolkowski, founder and CEO of Relm Insurance, emphasized the need to anticipate technological shifts in insurance. He stated that insuring risks in the digital asset ecosystem requires insurers to foresee how risks will evolve, with quantum computing being a prime example of an emerging threat that should shape risk assessments today. In collaboration with Project Eleven, the company will explore how organizations identify their risks, demonstrate the effectiveness of control measures, and prepare for the transition to post-quantum protection. The companies noted that the partnership is exploratory. Any potential impact on underwriting criteria or premium rates will depend on further assessment and independent underwriting procedures by Relm. The initiative comes amid specialized insurers expanding risk coverage for new and high-risk sectors. Relm Insurance, a Bermuda-based insurer, specializes in digital assets and cannabis. It launched a specialized kidnap and ransom insurance product for executives in the Web3 and cryptocurrency sectors. This was prompted by a surge in physical threats, extortion, and targeted attacks on prominent founders and executives, whose public profiles often make them targets for extortion and blackmail schemes. By combining traditional risk coverage with post-quantum protection assessments, Relm is expanding its focus on both physical and technical threat mitigation across the digital asset sector.