Insurers’ blockchain joint venture, B3i, files for bankruptcy

The international consortium of 21 insurers and reinsurers united in the Swiss company B3i Services, which developed solutions for the insurance sector based on the blockchain, announced on July 28 that it was filing for bankruptcy. The company invokes the failure of its latest fundraising attempts.

The company was founded in 2018, two years after the creation of a consortium by 15 insurers and reinsurers, recalls The Argus of Insurance, who spotted the news. The first shareholders (Allianz, Munich Re, Swiss Re, etc.) were later joined by other players in the sector, including Axa. B3i’s objective was to automate insurance processes using the blockchain, to make them more efficient, fast and profitable, using smart contracts. The company had notably developed solutions in the areas of natural disasters, marine insurance and reinsurance.

“A concept that remains interesting”

B3i had raised around 23 million euros in 2018 and 2019, and its last funding round, for an undisclosed amount, was in 2020. Swiss Re and Allianz had integrated its technology into one of their products last April .

“I think it was a quality job, but at the end of the day, we didn’t feel that the volumes and the demand justified continuing to invest in this platform”explained the financial director of Swiss Re following the bankruptcy filing. “I believe that the concept remains very interesting for the sector. Maybe at some point someone will find the right formula. But for now, with this platform, we were not going to find profitability”he added.

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