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Diversification has long been a subject of discussion among investors debating the costs and benefits of balancing risk with return. In the world of Bitcoin, the discussion extends to safeguarding bitcoin holdings against theft or loss. Meanwhile, a pioneering life insurance company denominated entirely in bitcoin offers a novel approach to diversification that might be essential for Bitcoinization to take place.

What is Diversification?

Diversification is an investment strategy aimed at spreading risk across a variety of assets within a portfolio. The principle behind diversification is to reduce the overall risk of the portfolio by investing in…

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