Bitcoin

Bitcoin Daily: France Votes To Include Crypto In Insurance Contracts; VC Draper Could Team With Facebook For Crypto Venture

The National Assembly of France has voted to allow local insurance companies to include cryptocurrencies in life insurance contracts.

Changes to the insurance code via the Pact Act now allow for life insurance contracts investing in specialized professional funds (SPFs) to include blockchain-backed assets.

“With these two provisions, it is written in black and white that SPFs can invest in cryptocurrencies like bitcoin,” said Simmons & Simmons attorney Emilien Bernard-Alzias, according to CCN.

Assembly members voted to adopt the measure, with Economy Minister Bruno Le Maire saying he was “very happy with the adoption of the law PACT! The vote is wide, thank you to the majority for your total support and for all the work that has been done. We are determined to continue transforming our economy.”

The life insurance market in France makes up 40 percent of financial assets among local households. In fact, residents use the products for their investment and retirement savings for the tax benefits.

And billionaire venture capitalist Tim Draper will meet with Facebook about the possibility of investing in the social media giant’s cryptocurrency project.

“I am interested to hear the story. We will see if it is a fit,” Draper told Bloomberg.

In addition, Facebook has also been talking to hedge funds, venture capitalists and other wealthy investors who might fund the company’s planned stable coin.

Although Facebook is still far off releasing the digital coin, the company is reportedly wants to raise as much as $1 billion in investments for the project.

“Update on Facebook’s cryptocurrency: Sources tell me that Facebook is now looking to get VC firms to invest in the Facebook cryptocurrency project we reported on earlier this year. I hear they are targeting big sums — as much as $1 billion,” tweeted Nathaniel Popper, a technology reporter at The New York Times, last week.

The coin will reportedly be pegged to the U.S. dollar or a basket of currencies to minimize volatility, allowing users to transfer money on its WhatsApp messaging app, initially focusing on India.

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