SecureSure Protocol, born from the ETHGlobal Hackathon, disrupts DeFi insurance. Trustless matchmaking pairs risk-taking Backers with users seeking coverage. It offers comprehensive protection against code exploits, economic shocks, and more. With decentralized smart contracts on Polygon zkEVM and Base networks, it ensures full collateralization and solvency. The Protocol Cover spans EVM-compatible networks, applying a 5% deductible. Efficient claims processing, user flexibility, and dynamic pricing redefine DeFi insurance. Trust in decentralized principles, fair pricing, and maximal collateral usage. Technical details include smart contract deployment on Polygon and Base networks, utilizing Chronicle and Chainlink oracles. The 1Inch Token Plugin enhances user experience. Join the SecureSure revolution in decentralized, efficient, and user-friendly DeFi insurance.
In the volatile landscape of decentralized finance (DeFi), users face constant exposure to risks such as smart contract exploits, economic uncertainties, and the depegging of assets. Traditional insurance solutions often fall short in providing comprehensive coverage tailored to the dynamic nature of DeFi protocols.
SecureSure addresses this gap by introducing a cutting-edge Decentralized Trustless Insurance Protocol. The existing insurance landscape lacks solutions that offer reliable protection against the misuse of smart contract code, sudden economic events, and other vulnerabilities specific to decentralized systems.
Existing insurance solutions may not cover all potential risks faced by users in DeFi, leaving them exposed to various threats.
Complex Claims Processing:
Traditional insurance processes can be cumbersome, requiring extensive documentation and lengthy waiting periods for claims assessment.
Dependency on Centralized Systems:
Some DeFi insurance solutions rely on centralized entities, introducing counterparty risk and contradicting the principles of decentralization.
The lack of dynamic pricing models based on collateral utilization may result in unfair insurance pricing for users.
Lack of Flexibility:
Current insurance options may not offer the flexibility needed for users to tailor coverage based on their specific assets, durations, and risk preferences.
How SecureSure Addresses the Problem:
SecureSure Protocol revolutionizes DeFi insurance by providing a decentralized and trustless solution. The protocol addresses the challenges mentioned above through the following key features:
The Protocol Cover safeguards against a range of scenarios, including smart contract code misuse, economic shocks, and other vulnerabilities.
Streamlined Claims Processing:
SecureSure implements an efficient claims filing process, ensuring a swift and transparent evaluation of loss events.
The protocol is built on decentralized principles, eliminating the need for central authorities and enhancing the security of user funds.
Dynamic and Fair Pricing:
Insurance pricing is dynamically calculated based on collateral utilization, ensuring fairness and encouraging user participation.
Flexibility in Coverage:
Users can tailor their insurance coverage by selecting specific assets, determining coverage durations, and participating as either Backers or Insurees.
SecureSure's commitment to trustlessness, fairness, and flexibility positions it as a pioneering solution to the challenges faced by users in the DeFi insurance landscape. By leveraging blockchain technology and smart contracts, SecureSure aims to establish a new standard for decentralized insurance protocols.
SecureSure Protocol introduces a pioneering decentralized and trustless insurance solution designed to address the inherent challenges faced by users in the dynamic landscape of decentralized finance (DeFi). The protocol seamlessly combines innovative features to offer comprehensive coverage, streamlined processes, and a user-centric approach.
- Comprehensive Safeguarding: SecureSure's Protocol Cover provides robust protection against a spectrum of risks, including smart contract code misuse, sudden economic events, and other vulnerabilities specific to decentralized systems.
- EVM-Compatible Networks: The coverage extends to all EVM-compatible networks, ensuring a wide range of assets can benefit from SecureSure's protection.
Efficient Claims Processing:
- Mandatory Proof of Loss: To facilitate quick and transparent claims processing, users are required to submit proof of loss when filing a claim.
- Timely Claims Assessment: A waiting period of 14 days after the loss event is implemented to ensure claims assessors have sufficient resources for thorough decision-making.
- Trustless Architecture: All smart contracts are open-sourced and verified on the blockchain, eliminating the need for central authorities. The protocol operates in a decentralized manner, aligning with the core principles of DeFi.
- Exclusive Backer Incentives: Backers, the risk-taking participants, receive rewards in the form of premiums, fostering a decentralized ecosystem without the need for additional fees.
Dynamic and Fair Pricing:
- Utilization-Based Pricing: SecureSure introduces dynamic pricing models based on the current utilization of collateral. This ensures fair and transparent insurance pricing that aligns with the market conditions.
Flexibility in Coverage:
- Tailored Insurance Options: Users have the flexibility to tailor their insurance coverage by selecting specific assets, determining coverage durations, and participating as either Backers or Insurees.
- Transferable Tokens: The protocol issues liquid and transferable option tokens to Insurees and transferable backing tokens to Backers, providing liquidity and ease of use.
- Smart Contract Deployment: SecureSure's smart contracts are meticulously deployed on the Polygon zkEVM testnet and Base testnet, ensuring robustness and compatibility.
- Oracle Information: The protocol sources the price of collateral assets from external oracles, with Chainlink oracle used on the Base testnet and Chronicle oracle applied on the Polygon zkEVM testnet.
1Inch Token Plugin:
- Enhanced User Experience: SecureSure integrates the 1Inch Token Plugin - InsurancePlugin, enabling users to ensure their assets are continuously protected in their wallets. The plugin facilitates automatic transfer of options (insurance tokens) during asset transfers.
SecureSure Protocol stands as a revolutionary solution, reshaping the landscape of DeFi insurance by providing a decentralized, efficient, and user-friendly platform for securing assets in a trustless environment.
How It Works
- Select an asset to back, specify the collateral amount, and determine the backing duration (in months).
- Choose the asset for insurance, specify the amount, and decide the insurance duration (in months).
- Pay a premium, calculated based on the current pool utilization.
- Premium is distributed between Backers as a reward and automatically staked as new collateral.
- Insurees receive liquid and transferable option tokens.
- Backers receive transferable backing tokens.
- Insurees can execute their options at any time before the expiration date.
- To exercise, burn the option token, send the desired asset amount to the protocol, and receive back collateral valued at the predetermined strike price.
Backing Period Expiry:
- At the end of the backing period, backers can collect earned premiums during their backing duration, along with assets obtained from executed options.
- The price of the collateral asset is sourced from an external oracle. For the hackathon, Chainlink oracle is utilized on the Base testnet, and Chronicle oracle is applied on the Polygon zkEVM testnet.
- Trustless and Decentralized:
- All smart contracts are open-sourced and rigorously verified on the blockchain. The protocol has no owners, and fees are exclusive to Backers providing liquidity.
- Full Solvency, No Commission, No Jury:
- Insurees can unfailingly execute options at the strike price, with no conditions beyond the expiration date.
- Fair Insurance Price:
- Pricing is dynamically calculated based on the current utilization of collateral.
- Maximal Collateral Usage:
- User premiums are provided in the collateral token and are automatically staked to fund new insurances.
- Asset Agnostic:
- The protocol seamlessly integrates with any ERC20 token. Risk assessment of an asset, determining the striking price, lies in the hands of Backers and future DAO token holders.