Bybit Learn | InsurAce (INSUR): A Beginner’s Guide

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Introduction

InsurAce founder Oliver Xie was mining cryptocurrencies with friends in the summer of 2020 when one of their protocols was hacked, and they couldn’t recover the associated data. This incident made them think about how they could better protect their decentralized finance (DeFi) assets, and subsequently led to the birth of the InsurAce platform. 

Research suggests that insurance is the most effective way to reduce risk levels in the DeFi space. However, there are many issues with existing insurance protocols, such as the lack of know your customer ( KYC ) protocols, insufficient capacities, and high costs .The goals of InsurAce are to provide an efficient, secure and cost-effective insurance service to DeFi users, and to contribute to making DeFi a safer place. This article offers a comprehensive look at InsurAce and INSUR, its native token .

What Is InsurAce?

 Source : CoinMarketCapInsurAce is a decentralized, multi-chain DeFi insurance services platform. The company positions itself as a necessary complement — rather than a threat — to the vast DeFi market .The first project to be launched simultaneously on Ethereum and Binance Smart Chain, InsurAce has since expanded its services to Solana, Polygon, Fantom and Heco .InsurAce offers competitive portfolio premiums, sustainable investment returns and smart contract insurance. Most importantly, it protects users ’ investments against risks .DeFi insurance from InsurAce is reliable and secure, making it highly desirable among those looking to protect their funds from the risks involved in the crypto space. It attained an all-time high of $ 16.84 in April 2021 and hit an all-time low of $ 0.85 in November 2021 .

InsurAce includes two platforms: DeFi insurance and DeFi investment. Together, these offer stable profits for the insured, the insurer and the investors. InsurAce eliminates the need for KYC, allowing users to remain anonymous. The company provides low insurance premiums, high returns on investments, cross-chain coverage and high wallet accessibility. 

What Is InsurAce Crypto (INSUR)?

INSUR is the governance token for InsurAce. InsurAce. io also released a standard ERC20 token, called $ INSUR, to reward participants in the ecosystem .Uses of INSUR include :

• Voting rights representation in community governance situations, like claim assessments and proposal votes.
• Capital provision rewards for investment products and insurance pools.
• Incentives for the community and ecosystem.

How Does InsurAce Work?

InsurAce uses the decentralized autonomous organization ( DAO ) governance mechanism currently adopted by most DeFi projects, utilizing INSUR for voting and incentives .The governance framework consists of two approaches :

• Community Voting: Every time there’s a new proposal, members of the community vote in order to achieve consensus.
• Advisory Board: The board is composed of in-house experts and independent advisors with experience in insurance, trading, and other areas of expertise. They serve on oversight committees which establish rules, review community proposals, and implement contingency plans should the community voting system malfunction.

The fundamental mechanism of voting is the right to vote, capped per thành viên to avoid concentration risks. It typically proceeds by the following steps :

1. Proposal Raise: A proposal which InsurAce.io presents.
2. Advisory Board Preview: The Advisory Board reviews the proposal, shares their feedback with the community, determines the proposal’s incentives, and defines the default outcome in the event of technical errors.
3. Voting by members: Members vote on proposals that may require the lockup of INSUR tokens, and determine the outcome at the end.
4. Execution: Community members and the team behind InsurAce.io collaborate to implement the proposals and make them publicly available.

Like traditional insurance companies, InsurAce provides both an insurance arm and an investment arm .Capital from the insurance pool can be placed in the investment pool to gain a higher yield, while the insurance arm protects investment activities. Moreover, the investment yield complements the insurance premium, lowering coverage costs for customers .Thes e two components work together to offer “ zero premium ” insurance and substantial investment returns for a sustainable business Model . The business architecture of InsurAce. Source : InsurAce. ioAs a sustainable business Model, InsurAce generates revenue from insurance premiums and a minor portion of investment returns. Revenue will cover operational and developmental costs, tokens, community incentives, and more .

Key Features of InsurAce

InsurAce intends to work with other companies to increase the safety of the DeFi space. Several of the platform’s noteworthy features are detailed below .

“Zero” Premiums

Since portfolio-based insurance products diversify risk, the insurance premium naturally decreases. InsurAce offers a unique pricing Mã Sản Phẩm which optimizes the cost of insurance through the expertise of professionals in the field .

Enhanced Product Line

Portfolio-based insurance products from InsurAce provide investors with a diversified risk management tool that allows them to cover a basket of DeFi protocols. InsurAce offers products that cover non-Ethereum decentralized protocols benefiting the entire decentralized industry. The company makes its products accessible to a wider audience by eliminating the KYC process, and InsurAce enables anyone with a digital wallet to connect and use services such as buying insurance, staking assets and making claims.

SCR Mining

A distinctive feature of the token economy is the solvency capital requirement ( SCR ) mining program. As part of the liquidity pool, participants can stake ETH, DAI, USDT and other eligible tokens to earn the InsurAce Token ( INSUR ) .

Sustainable Returns

Users can obtain returns using InsurAce in a variety of ways. Some of these include investing directly in other DeFi protocols, based on the users ’ risk appetite ; investing in the mutual pool ; and earning INSUR as rewards .

Pros and Cons of InsurAce

The InsurAce protocol’s insurance services include flexible and reliable coverage for decentralized finance ( DeFi ) assets. Like any protocol, it has its advantages and limitations .

Pros

InsuranceAce plays a crucial role when it comes to managing cyber security risks .

Team

Along with blockchain and security experts, the core team at InsurAce includes legal advisors who bring their knowledge to the project, ensuring that it’s developed to the highest standards. The team is passionate about DeFi and focused on making InsurAce the # 1 protocol in DeFi .

Credibility

Credibility is a top priority for InsurAce. Built and operated with complete transparency, the platform invests heavily in security measures, which is why they have a dedicated security team .

Investor and Community Support

InsurAce is backed by a group of investors who give solid endorsements and development advice, including DeFiance Capital, Huobi Ventures and Alameda Research .Also supporting InsurAce is an active community which provides feedback and expands the project’s network. This gives InsurAce the driving force necessary to differentiate themselves from their competitors .

Cons

Uncertainty

Uncertainty is one of the disadvantages of DeFi. If a DeFi project’s host blockchain is unstable, the project could inherit that instability .Most DeFi applications use the Ethereum blockchain, which uses various cryptocurrencies as collateral. Since digital assets are volatile, the value of collateral can plummet, resulting in liquidity risks and causing a broad sell-off. Token values may decrease as a result of uncertainty and instability .

Smart Contract Problems

Many DeFi projects suffer from smart contract vulnerabilities. Even the smallest flaw in a smart contract’s code can lead to the loss of funds .

Shared Responsibility

As a DeFi project, InsurAce is not responsible for users ’ losses ; instead, users take full responsibility for their mistakes. If you choose to invest in INSUR and lose money, no one but yourself can be held responsible. Therefore, always proceed with caution .

INSUR Tokenomics

INSUR is the governance token of InsurAce. The INSUR token is based on the Ethereum blockchain and has a total supply of 100 million tokens. At the time of this writing, there are 11.26 million INSUR tokens in circulation, with a market capitalization of $13 million. The price of one INSUR token is $1.16, and around $9 million worth of INSUR tokens were traded in the past 24 hours. Its market cap is around $12 million.

Buying INSUR Crypto

Price of InsurAce ( INSUR ) from April 2020. Source : CoinMarketCapTo invest in any cryptocurrency, you’ll need the following :

• A secure internet connection.
• A cryptocurrency exchange account.
• A valid payment method.
• Identification documents, if you’re using a platform that requires KYC.

Investing in cryptocurrency is actually quite simple if you use a step-by-step approach. Each crypto exchange has its own policies and KYC standards. Below, we describe how to buy INSUR through the Bybit exchange .

Step 1: Create an Account

You can easily create a không lấy phí account with Bybit if you don’t have one. Set up your account by entering your phone number or email address. You can begin trading immediately after your account is verified .

Step 2: Buy via Fiat Currency

• Click on Buy Crypto to launch the Fiat Gateway in order to make a purchase.
• Select USDT as your preferred currency and put in the amount you wish to spend. To obtain the asset, trade USDT on the Spot Market (INSUR/USDT).
• Select a payment method and a service provider. The link will redirect you to a secure third-party site to complete the KYC process.
• The next step is to enter your payment information, complete the transaction, then wait for the tokens to be credited to your account. This process usually takes between 2 and 30 minutes to complete.

Since technical knowledge isn’t required, Bybit’s services are suitable for investors of all experience levels .

Is InsurAce (INSUR) a Good Investment?

InsurAce is having a difficult time getting on board with other crypto coins. Over the past few months, the coin has shown risky framing segments .In the past 30 days previous to this writing, INSUR’s price has ranged between $ 0.74 and $ 1.54, not an unusual fluctuation for crypto assets. INSUR tokens are currently worth $ 1.14 each. DigitalCoin predicts that one INSUR will be worth $ 3.96 in five years .Despite its strong fundamentals, INSUR may not be a profitable asset in the short term, although HODLers could see significant gains in the long run .

Note: There are risks associated with any investment. Before forming any conclusions, conduct as much research as you can and make sure INSUR is the right choice for you.

Closing Thoughts

As an insurance platform built on a multi-chain decentralized Mã Sản Phẩm, InsurAce provides dependable and secure DeFi insurance services. Its team can be relied on because of its extensive experience and insurance expertise .To summarize, here are the key points of this article :

1. Using the expertise of insurance experts, InsurAce offers a unique pricing model which optimizes the cost of insurance.
2. The combination of investment yield and insurance premium provides zero-premium insurance and substantial investment returns.
3. InsurAce is built and operated with complete transparency and security. They invest heavily in security and have a dedicated security team.
4. As a cryptocurrency, InsurAce is having difficulty getting on board with other coins, making it unlikely to be profitable in the short term.

Source: https://final-blade.com
Category: Tiền Điện Tử – Tiền Ảo