InsureDAO Will Now Protect Your DeFi Assets With Huge Security

InsureDAO is a peer-to-peer insurance market protocol that uses Ethereum. Its operation is managed by a DAO, and anyone with access to it can easily create, purchase, and underwrite insurance without any prior knowledge or experience. Each insurance pool is separately managed on InsureDAO.

Its payouts are not affected by the other insurance pools. Users can create any insurance pool they like on the platform, and since its payouts are segregated, any risks are also available to buy and sell on it. The open insurance creation system allows any protocol to create and manage insurance for itself. It also allows them to integrate their insurance scheme into their platform.

Using an algorithm, InsureDAO takes into account the volatility of the market and the pricing of the risks. It also uses a parameter known as Insurance Pool TVL to prevent drastic changes in the premium. To incentivize users to provide liquidity, InsureDAO distributes tokens to those who provide insurance as underwriters. The Custom risk index features various types of insurance pools. Each index pool has its own unique characteristics, such as its ability to provide increased liquidity and lower insurance premiums.