4 DeFi Insurance Protocols Building Safety Nets for Crypto Investors
Decentralized finance (DeFi) is one of the most impactful innovations in the global crypto markets, enabling crypto traders and investors to earn double/triple-digit yields on their holding.
However, using DeFi applications comes with its own share of risks, with protocol hacks being relatively common. In 2021, over USD 12bn was lost as a result of DeFi hacks. This is why DeFi insurance is starting to play a bigger role in the space.
Decentralized insurance was created to make the DeFi markets safer for investors.
Decentralized insurance is a product similar to traditional insurance that protects a buyer from a potential financial loss that can be caused by a range of possible events. Some DeFi traders even buy insurance as a hedge against market volatility and to secure their profits.
DeFi insurance policies are often valid for a specific period, and users are rewarded for claimable losses that occur within the validity period.
Read on to discover a list of DeFi insurance protocols that provide users with coverage against various losses on decentralized finance applications.
InsurAce is a decentralized insurance protocol that aims to provide DeFi insurance services to users who use DeFi applications. It promises to protect users from security risks with user-friendly products carrying low premiums.
Anyone with a self-custody wallet like MetaMask or Trust Wallet can purchase covers simply by connecting their wallet to the InsurAce app. InsurAce offers portfolio-based and bundled covers with different pricing methods allowing users to insure all of their DeFi assets in one place instead of through multiple protocols and several transactions. The know-your-customer (KYC) process is not required.
InsurAce provides coverage for
Read more on cryptonews.com
