Capital Pools

dSurance allows users to create structured insurance products called “Capital Pools”. A Capital Pool is a diverse collection of insurance policies that are carefully designed, assessed, priced and put together for Insurers to underwrite. This model allows Insurers to diversify their exposure and provide insurance coverage for a number of Insurance Policies. For example, a random capital pool could contain the following:

  • 6 centralized exchanges (Loss of funds policy): Coinbase, Binance, Kraken, Bitfinex, Bitmex and Deribit

  • 2 wallets: Ledger Hardware and Gnosis SAFE

  • 8 DAPPs (Smart Contract Protection Policy): Uniswap, Compound, Melonport, Kyber, Deversifi, dYdX, MakerDAO and Paraswap

  • 1 oracle (oracle failure policy): Chainlink

  • 1 validator on ETH 2.0 (slashing protection policy): Lido Finance

  • 3 custodians: Ledger Vault, Coinbase Custody and Bitgo

  • 4 peg loss-related protections: wBTC, USDT, DAI and USDC

This theoretical capital pool would have a default maximum exposure of 5% of the insurance capacity per policy, which can be adjusted by the DAO on a policy per policy base through majority vote.

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