Blockchain infrastructure technology firm DSRV has signed a digital asset insurance contract with Samsung Fire & Marine Insurance worth up to $20 million, or about 30 billion won.

DSRV said on Wednesday it signed the contract to compensate for accident-related losses involving customer custody assets it stores and manages as a virtual asset service provider (VASP).

The insurance covers losses that occur when digital asset storage media are damaged or lost due to disasters such as fires, earthquakes and flooding, or are stolen in an external breach, leading to the loss of private keys.

The coverage limit is larger than the mandatory insurance DSRV previously held. The company said it is the highest level in South Korea's digital asset industry.

DSRV expects demand for custody from institutions such as investment firms and exchange-traded fund (ETF) managers to rise as corporate participation in the digital asset market is gradually allowed and legislative discussions on stablecoins continue.

It said the importance of custody safety and compensation systems for institutional clients is also growing as financial authorities recommend third-party entrusted custody when corporations acquire digital assets.

Oh Yoori (오유리), DSRV's compliance officer, said, "This contract is a decision to keep customer assets safe even in an unexpected situation," adding, "We will build an infrastructure environment that institutional clients can trust."