Securing The Future Of Web3: Inside Joseph Ziolkowski’s Bold Move With Relm Insurance

With nearly 15 years of experience in the insurance industry, Joseph Ziolkowski has carved out a reputation as a forward-thinking leader in a traditionally conservative space. As the CEO and Founder of Relm Insurance Ltd., he has worked extensively across both US and international regulatory landscapes, building robust infrastructure for property, casualty, and life insurance firms.

In 2019, he launched Relm Insurance Ltd., the first insurer licensed under the Bermuda Monetary Authority's pioneering "innovation" framework. Since then, under Ziolkowski's guidance, Relm has emerged as the go-to insurer for companies operating in the digital asset and Web3 ecosystem, providing coverage in more than 35 countries.

The company has led the way in creating novel insurance products — such as protection against staking/slashing events, smart contract failures, and directors & officers liability for token issuers — filling critical gaps that traditional insurers have largely overlooked.

In this interview with OneArabia.me, Ziolkowski shares his journey, the strategic thinking behind Relm's unique approach, and how the company is preparing for the next wave of innovation.

Can you share your journey that led you to establish Relm Insurance Ltd. and what inspired you to focus on the digital asset/Web3 space?

I've been in the insurance industry for about 15 years and came into it via a specialised niche, alternative risk transfer. This gave me a different viewpoint compared to those in traditional insurance. I spent eight years working with non-standard exposures and risk financing objectives that required tailored solutions unavailable in the traditional insurance marketplace. In an industry often viewed as monotonous and opaque, this was one of the most stimulating entry points you could hope for.

During that time, I noticed that companies operating in the emerging blockchain and crypto segment had a similar need for bespoke solutions, similar to those offered via alternative risk transfer strategies. To create a scalable solution, I began exploring the feasibility of forming an insurance company focused on providing capacity for businesses in emerging and innovative sectors. By 2019, I had founded Relm.

I'm confident that globally, during the 2019–2020 period, we were the only company offering laser-focused insurance solutions for digital assets and Web3. In the last five years, we've deepened our expertise and expanded our offerings across the blockchain and Web3 ecosystem while also growing into adjacent industries. We now insure paradigm-shifting companies in fintech, biotech, the sharing economy, and even space exploration.

Right now, we're building risk resilience into companies launching satellites and conducting exploratory, non-orbital projects. To understand this industry, we're training staff in space operations through partnerships with top academic institutions and private firms, and deploying iterative insurance solutions that will help drive the "new space" economy forward.

Can you elaborate on how Relm Insurance has become the leading insurer for companies in the digital asset space? What differentiates your offerings from those of traditional insurers?

Relm became a leader by approaching underwriting in a fundamentally different way. The insurance industry excels when there's a wealth of historical loss data. Actuarial models can then predict future events with high accuracy. But when historical data doesn't exist — especially in emerging markets like digital assets — traditional insurers often sit on the sidelines.

At Relm, we believe insuring the future is in our DNA. We ground our approach in solid underwriting fundamentals, but adapt our pricing models and contract language to address new and unique exposures. That could mean coverage for smart contract vulnerabilities, slashing penalties, or tailored crime limits that a traditional Wall Street firm wouldn't be able to obtain elsewhere.

This flexible, informed approach has allowed us to serve clients in over 35 countries with a wide range of specialised products, cyber liability, technology E&O, D&O for token issuers, property insurance for Bitcoin mining operations, and more.

Our diligence is equally critical. We gather robust underwriting data and conduct thorough reviews to assess each risk independently. This combination of sound underwriting, subject matter expertise, and product alignment sets us apart.

You mentioned pioneering innovative insurance products, such as coverage for staking/slashing events. Can you explain what these terms mean and why they are significant in the current market?

Certain blockchains, like Ethereum 2.0, use a consensus mechanism called proof-of-stake (PoS), which is built on financial incentives. To validate transactions, participants must lock up a set amount of cryptocurrency — this is their "stake". Validators who follow the protocol earn staking rewards, typically a percentage of the staked amount.

However, validators who act against the rules, either intentionally or accidentally, face automatic penalties. In the most severe cases, such as a "double-signing" event, the entire stake can be forfeited. This is known as "slashing."

In simple terms, slashing cuts your crypto balance as a penalty. This is significant because many investors are entrusting their crypto assets to professional staking services. These investors want financial protection if their counterparty's actions trigger penalties.

Relm was the first insurance carrier to meet this need, offering slashing insurance that reimburses losses due to missed rewards, server downtime, or slashing penalties. This type of coverage didn't exist before, neither in traditional nor specialty insurance markets, but it's now essential as PoS becomes the norm. Our pioneering product helps Web3 companies stake confidently, knowing they're protected.

How has your experience navigating both US and non-US regulatory environments influenced the way Relm operates and develops its insurance products?

Insurance is a highly regulated industry. In jurisdictions like Bermuda, you have a single, well-informed regulator, which offers consistency and transparency. In contrast, the US regulates insurance at the state level, making it much more complex.

We also navigate between civil law and common law jurisdictions, which influence liability interpretations, claims handling, and product design. Compliance with local requirements is a key priority in each market.

At Relm, we've intentionally positioned ourselves as a global specialty insurer. That means building a strong foundation so we can flexibly and compliantly develop products across a wide range of jurisdictions.

With Relm providing insurance to companies in over 35 countries, what are some of the key considerations you take into account when entering different international markets?

We're constantly assessing global markets for strategic opportunities. When evaluating a new region, we look at several key criteria:

Momentum in startup activity, especially from companies pushing innovation in our core sectors.

Regulatory clarity, existing or upcoming frameworks that define how businesses can operate in these emerging industries.

Investor appetite, strong interest in early-stage and growth-stage investments.

Once we identify a market as strategically important, we create a comprehensive plan for commitment and entry.

As the digital asset/Web3 space continues to evolve, what trends do you foresee in the insurance landscape, and how is Relm preparing to adapt to these changes?

The biggest trend is convergence — blockchain and digital assets are increasingly integrating with traditional finance and technology, creating a more mature and sustainable digital financial ecosystem.

As demand rises for specialised products, we continue to develop offerings rooted in our subject matter expertise and underwriting experience. We believe insurance should not only provide protection but also foster growth, credibility, and sustainability.

But this space evolves fast, asset values, regulatory frameworks, and market participants' sophistication can shift quickly. That's why we're always iterating. We've created new products like FALTAWEB3, which protects against exchange failures, and others addressing AI-related risks.

We also invest in data strategies and partnerships like Agio Ratings in the UK and Liva Group in the UAE to stay agile. We're expanding globally with a US MGA that spans all 50 states and active partnerships across MENA and APAC.

Relm is scaling its underwriting teams and building technology that allows us to quickly respond to emerging risks. As the Web3 insurance market becomes more dynamic, we'll stay at the forefront developing products, entering new markets, and maintaining our focus on underwriting future-ready solutions.