As announced Tuesday, Japan’s NFT Platform HARTi and insurance group Mitsui Sumitomo (三井) will roll out Token Non-Fungible Insurance, or NFT, for all digital artwork displayed within the HARTi app. Insurance will be attached to NFT lots offered by sellers free of charge, with HARTi responsible for premium payments.
Under the scheme, Mitsui Sumitomo will compensate insured owners of NFTs if their digital assets are compromised through unauthorized third-party access (such as phishing, theft, or wallet hack), eavesdropping, or malfunctions during transfers. At such events, the policy will pay compensation to the NFT owner based on the exhibition price of each item and up to a maximum of 500,000 yen ($3,661). The parties expect to expand their cooperation in mitigating the risks of NFTs and will provide policies with higher compensation limits in the future.
Regarding development, Yuya Yoshida, Founder and CEO of HARTi said:
“The topic of safety and security is critical to encouraging the entry of major Japanese companies into NFTs, including department stores, commercial facilities and major brands. Therefore, we hope this new service will play a role in the safety of the local NFT secondary market.”
“Given the importance of insurance to the healthy development of the domestic secondary market NFT, Mitsui Sumitomo Insurance Corporation developed the policy from scratch, making it the first case in Japan,” Yoshida continued. Other Japanese giants that have entered the field of crypto and NFTs include investment bank Nomura and video game publisher Square Enix.