InsureDAO has partnered with Arthswap, a leading decentralized exchange on Astar Network. The collaboration covers two important aspects: co-underwriting the insurance on the network and front-end integration with Arthswap through its API.
While decentralized exchanges are secured, there still lies a chance that they could suffer from an attack, losing a lot of data and funds related to their users. Insurance comes in handy at that moment to ensure that the necessary expenses can be covered.
InsureDAO would take care of that portion along with Arthswap. Both have committed under the collaboration to deposit USDC up to $80,000 and underwrite the insurance.
With that in place, users can purchase insurance from InsureDAO to keep their belongings insured. This is where the second part comes to play. InsureDAO has plans to integrate with the front-end of Arthswap, enabling users to review the premium and allowing them to purchase the insurance directly from the user interface of Arthswap.
On top of that, InsureDAO would provide three crucial functions: InsureDAO Build, InsureDAO Market, and InsureDAP Lending.
InsureDAO Lending is currently under development; however, other pointers have been lined-up already. InsureDAO Build allows quick issuance of insurance through DeFi protocols by acting as an Insurance builder kit for them. The requirements are Input governance token & insurance type, and Deposit of the initial liquidity.
InsureDAO Market is based on a unique approach that allows a user to be a buyer, seller, or both. The role would be to exchange hacking risk with the other party within the applications. Termed a Two-Sided Market, it aims to ensure that security remains a priority for everyone.
InsureDAO Lending is under development. Once completed, it will allow underwriters to earn interest. The idea aims to allow users to borrow USDC in InsureDAO by putting INSURE tokens as security.
Interest earned by underwriters would be in addition to the reward earned as an INSURE token. The cooperation between InsureDAO and Arthswap helps the whole Astar ecosystem since the insurance model provides a green light to hasten project release by underwriting contract risks.
Arthswap functions with a mission to contribute to the expansion of the ecosystem of Astar by facilitating high-frequency trade on the network through its simple user interface and high APY dedicated design.
Arthswap is projected to become the first point of contact for the protocol as it has listed all the tokens on the board.
InsureDAO shakes hands with every user looking to build an insurance pool. The decentralized protocol structure gives InsureDAO the liberty to do so, allowing users to cover a single risk in the DeFi space easily.
It provides a market, the builder kit, and the lending function to INSURE token holders. InsureDAO announced the update through its official blog post. It follows the announcement where InsureDAO shared that it has collaborated with Synthetix, a decentralized synthetic asset issuance protocol.