FTX US insurer Relm 'confident' it will remain 'well-capitalized'
Quick Take
- The CEO of insurance company Relm, which has FTX.US among its clients, said that the firm should remain “well-capitalized.”
- He also said that the firm has allocated a portion of its general reserve to “known and unknown claims related to this market impact.”
FTX US's insurance company Relm is "well-capitalized to serve the needs of the industry" following the implosion of FTX Trading, CEO Joseph Ziolkowski said.
"On the asset side of our balance sheet, we have remained highly conservative with approximately 95% of our assets in cash or U.S. Treasury Bills," the executive said in a post on the company's website. Relm said it provides coverage to FTX.US.
Ziolkowski said that Relm also provides insurance to other companies that "have been compromised due to their relationship with FTX and Alameda," without providing further detail.
"We are actively assessing the extent to which our coverage could be triggered," he said. "Accounting for the potential for direct and indirect losses, we have allocated a portion of our general reserve for both known and unknown claims related to this market impact."
Disclaimer: The former CEO and majority shareholder of The Block has disclosed a series of loans from former FTX and Alameda founder Sam Bankman-Fried.
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