Decentralized protocol Nami Insurance launched first cryptocurrency insurance product

Nami Insurance, a decentralized hedging protocol, launched the “Proof of Concept” that proves the feasibility and practicality of the first cryptocurrency insurance product in Vietnam.

Nami Insurance utilizes blockchain technology to enable a decentralized insurance service and transforms trade risk into the first flourishing opportunity ever.

The first of Nami Insurance’s four phases of construction is termed “Proof of Concept.” This insurance product is a member of the Nami Foundation, which will define a fully – equipped ecosystem of decentralized financial products in the wake of previously successful initiatives like Nami Futures and Nami Exchange.

Nami Insurance was invented at a period when the global economy and financial landscape can be summarized in the acronym VUCA, standing for Volatility, Uncertainty, Complexity, and Ambiguity.

Despite the collapse of many institutions, which has caused many investors to lose devotion, there is still great room in this market. According to TrippleA, in 2022, global crypto ownership is estimated at an average of 4.2%, with over 320 million users worldwide.

Nami Foundation, formerly known as Nami Corp., was founded in 2017 in Singapore and is currently experiencing market swings.

The business has been creating cutting-edge products in the blockchain sector while upholding a philosophy of fairness and equality, being community-focused, and aiming to assist investors through a challenging period of the market.

Nami Insurance is being conceived as a result of the Vietnamese development team’s research and innovation efforts, which transformed traditional investment hedge protocol into a global blockchain with promising prospects for idea generation aimed at fairness and equality for all investors.

Nami Insurance allows users to choose the type of Asset to be covered, the insurance margin in accordance with the value to be protected and the duration of the insurance. In return, users receive a cover payout when the asset’s price reaches a predetermined threshold.

As a decentralized product, Nami Insurance’s procedures are fully transparent and performed as optimally. Users can easily keep track and clearly understand the cash flow and payment capacity thru On-chain data of each smart contract.

The entire system is run via a completed procedure with insurance pools namely Margin Pool and Claim Pool, corresponding by publicly created Smartcontract. Each Pool plays a crucial role in the continuous cycle.

In the “Proof of Concept,” Nami Insurance has integrated multi-chain on the top 5 popular decentralized cryptocurrency wallets, turning user risks into profits by applying an insurance mechanism to two main tradings: Spot and Futures, which have more than 100 continually updated listed assets.

Nami Insurance does not control assets (Non-Custodial) and always aims to protect the value of the users’ assets. The system will automatically lock the corresponding margin and insurance claim assets in the “Smart Contract” for each executed contract. At the expiration of the contract’s terms, users are guaranteed to receive all of the assets as the data recorded in the smart contract.

by Peter Sonner