The United Arab Emirates Central Bank has approved the Web3 insurance solution developed by RELM Insurance and LIVA Insurance.
Close the insurance gap
The United Arab Emirates (UAE) Central Bank has approved the Web3 insurance solution developed by RELM Insurance and LIVA Insurance. The tailored version for Sigmaweb3, an approved product and Sigmaweb3 VARA, a virtual asset regulator (VARA) regulatory company, covers unique risks related to digital assets, blockchain and fintech businesses operating in the United Arab Emirates.
According to the statement, the regulator’s approval highlights the UAE’s proactive approach to fostering innovation within emerging technologies. We examine the strategic partnership between RELM Insurance and GCC insurance provider LIVA Insurance, announced in February 2025. This collaboration aims to bridge the insurance gap that Web3 companies often face due to the rapid evolution of the industry and the lack of coordinated understanding from traditional insurers.
The UAE central bank’s decision to approve the two products is said to demonstrate confidence in LELM and LIVA’s ability to address the complex exposures inherent in the digital asset industry. Joseph Ziolkowski, CEO of Relm Insurance, highlighted the importance of this regulatory milestone.
“Securing central bank approval for Sigmaweb3 and Sigmaweb3 Vara is an important step for UAE brokers and clients. This milestone promotes more comprehensive coverage tailored to the unique risks of the Web3 space. By filling the insurance gap, we are strengthening the companies needed to confidently protect in a rapidly evolving market.
Martin Ruegg, group CEO of Liva Group, emphasized the importance of collaboration and central bank perception. He added:
“By partnering with industry leaders such as RELM, we aim to provide our customers with an enhanced product mix that meets their unique needs while expanding and diversifying their business over the long term.”
The approval of the two solutions is said to clearly indicate an increased acceptance and understanding of the regulatory authority of specific insurance needs within the Web3 sector. Additionally, the UAE is positioned as jurisdiction for future ideas that commits to providing a supportive ecosystem for the growth and development of innovative digital asset companies.
