Decentralized Insurance can it be useful?

I have a questions about decentralized Insurance but first I will talk about a few points

Decentralized Insurance

Decentralized insurance is a product that protects a buyer from a potential financial loss caused by a range of possible events in other words it is a tool for hedging risks

traders buy insurance as a part of their broader strategy in order to secure their profits

decentralized insurance typically covers a specified period of time and is paid in the event of a loss that may be caused by price volatility, hacking attacks or
malicious exploits of projects or protocols, and other on-chain and off-chain financial risks.

Since the beginning of crypto there were many numerous hacks, rug pulls, and bugs that have resulted in the loss of billions of dollars

primary purpose of decentralized Insurance is provide crypto investors with protection the premium pay for this insurance depending on the risk that covering

The types of risks can buy decentralized Insurance for include but not limited
Smart contract risk
Oracle failures
Exchange hacks
Stablecoin de-pegging
Rug pulls
Token theft

There are many products decentralized insurance such as InsurAce Protocol, Nexus Mutual, Opium Insurance, Unslashed Finance

the decentralized nature of decentralized insurance simply means that policy holders buy insurance from a distributed group of coverage providers, as opposed to a centralized company

to purchase an insurance policy, investors have to specify
Risks that investors wanted to cover
Value they want to cover
Length of the coverage

Now my question is can decentralized Insurance be useful to DappRadar??

Does DappRadar already have decentralized insurance??

Do you think decentralized Insurance can increase confidence in DappRadar and in its token ?

Does DappRadar have Smart Contracts that need insurance ?

Decentralized Insurance is Very important in DeFi projects do you thing it is important for project like DappRadar ??

The idea is just for discussion no more than that

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This is like creating your own stable coin sort of like what Tron does?

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@madeafterdeath I will mention the example decentralized trading platforms, cryptocurrencies, and any other decentralized application it is built on and linked to smart contracts
What is a smart contract?
It is a program that is written in specific programming languages and is launched and implemented on a blockchain network. Once launched, it cannot be changed.
Like any other computer program, it may have weak points in security and software errors that hackers can use or even an ordinary person an expert in programming smart contracts and blockchain, because in the end it’s just a normal code
Decentralized insurance is one of its purposes to insure you against these dangers
So you can insure against the risks of smart contracts and hacking and other risks, too


Hey there mixmore,

As you said, decentralized insurance is usually focused on DeFi platforms that have a higher volume of risk with the voluminous transactions happening on their protocol. DappRadar is more of a product/infrastructure DAO.

The main risks we would have is for treasury management and the staking smart contracts. This doesn’t stand out as needing decentralized insurance imo.

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@vandynathan Thank you for your reply and your interest , you might be right
if risks just treasury management and the staking smart contracts ,Perhaps there is no need for decentralized insurance I agree with you

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