After much deliberation and careful thought Neptune Mutual decided to close the cover marketplaces.
After much deliberation and careful thought Neptune Mutual decided to close the cover marketplaces. Below the reasons for the decision as well as what it means for the community.
The marketplaces will be closed using an emergency withdrawal process whereby the liquidity provided to cover pools by LPs will be returned to the wallet addresses from which the liquidity was supplied. In addition to protecting cover pool LPs, there will also be refunds to all cover policy purchasers with an existing and valid policy who have paid over 10 USD in policy fees in one transaction.
For veNPM holders, please fill out this form to receive a refund for your veNPM to NPM conversion penalty.
From the end of June there will no longer be NPM emission incentives for LPs i.e. Epoch 3 of the liquidity gauge emissions will be canceled.
Unused funds raised from financial backers will be returned to those backers; this includes DEX liquidity that has now been removed from SushiSwap and Uniswap. A small amount of liquidity on SushiSwap Arbitrum has been left to enable a minimum amount of NPM trading.
The protocol will be open sourced, and become a true public good. Enabling the community to fork the code developed by the Neptune Mutual team such that others might use the existing resources to further our mission to make the blockchain space better protected against smart contracts and other risks.
There are numerous factors that have led to this difficult decision, some of which are external factors which are uncontrollable or unforeseeable. A few factors summarized below:
“Given Neptune Mutual’s Tier 1 backers, why have you not listed on a top CEX?”
This is perhaps one of the most frequently asked questions. In short, the answer is that for a variety of reasons Neptune Mutual was not able to achieve the diverse set of performance metrics (community size and engagement, marketplace user activity, DEX 24 hour trading volume, TVL growth etc.) required to list on top tier CEX. The CEXs that are prepared to list NPM token do not have the depth of liquidity or breadth of user-base to offer good prospects for NPM tokenholders.
“Why has Neptune Mutual not achieved strong growth?”
It is tempting to take a shortcut to answer this question by pointing a finger at one specific factor, but the reality is that there are many contributing factors. A few summarized below:
Since the outset of engaging with the community we have endeavored to highlight the need for DeFiInsurance; Neptune Mutual built a comprehensive dataset of on-chain hacks available, anywhere, and each week we highlight the many millions of dollars that are stolen as a result of smart contract hacks. Despite this, we have consistently been confronted by projects unwilling to spin up cover pools in our marketplace because of the sentiment that audits of their code are sufficient to persuade their community that their protocol is safe. Less than 0.3% of all digital assets are protected with some form of DeFiInsurance, and yet despite all the media reports of hacks, the conference discussions about the importance of governance or CEX proof-of-reserves, it continues to be the case that it is extremely difficult to get media attention to focus on the need for a fast and efficient means of mitigating smart contract risk.
A variety of approaches have been taken by different DeFiInsurance protocols to address this, from attending multiple conferences throughout the year and significant marketing spend, to the leaner approach that Neptune Mutual took (in part as a result of the bear market in 2023). What can be said is that no DeFiInsurance protocol has managed to achieve significant growth over the last 18 months, sadly the overall TVL of the sector has shrunk a lot.
For all the reasons above, at this moment the best course of action is no longer to double-down on investing in growth, but rather to refund unused capital and close the marketplaces.
The consequences are very tough for the Neptune Mutual team who have spent the past 3 years of their time on the mission to facilitate safer environments within DeFi. The team has delivered products according to the roadmap and the fact that the protocol was never hacked, despite attempts being made on the darkweb, is testament to the expertise, passion and absolute focus on security. The team survived the FTX and UST crisis unscathed, and believed that the continued growth in hacks would lead to growth in the demand for a good solution to mitigate these risks, but sadly, as can be seen right across the DeFiInsurance category, this is not yet in sight. So we would like to thank the team for all the dedication, skill and passion invested into the Neptune Mutual project since the outset.
The team will open source the protocol, including blockchain indexing protocol (subgraph alternative), frontend, middleware, database, and backend code, to make it a true public good. This will allow anyone to fork the code and create covers by defining parameters and premium ranges, potentially leading to innovative covers and organic usage.
The Discord channel will be closed to reduce the risk of phishing and other types of cyber attack, any questions / queries will be responded to in the Telegram channel.
We want to take this final opportunity to thank you all for your support.
Neptune Mutual will contact only its financial backers, with whom a signed agreement exists, in relation to next steps (i.e. holding NPM tokens does not qualify you for any form of refund). Contact will be made only from a neptunemutual.com domain email address so please check the source of any email you may receive very carefully. Please ignore any messages from any other email or social media accounts in relation to token/cash refunds.
Here we provide some easy and pro tips on how to protect yourself while using the internet.
It is crucial to take precautions in the modern digital world to safeguard your online accounts and defend against hackers. It's essential to be aware of the risks and take precautions to protect yourself given the rise in cyberattacks. Here are some recommendations for securing and protecting your internet accounts from hackers.
Use a separate email account for sensitive or crucial communication. Avoid utilizing your personal email for business purposes. Use a separate device to access sensitive information or accounts.
Email services that prioritize user privacy may also offer additional privacy-protecting features, such as the ability to generate temporary email addresses or to use pseudonyms instead of actual names. Some email systems that prioritize privacy may also be open source, meaning the source code is publicly accessible and may be independently examined for security issues.
Apple iCloud temporary email alias is a supplementary email address associated with your iCloud account that can be used to send and receive emails. It is removable at any time.
Using DuckDuckGo, you may generate a private Duck address that gives an additional degree of anonymity by making it difficult for tracking businesses to identify you based on your email address.
ProtonMail supports end-to-end encryption and disposable email addresses.
Additionally, Hushmail includes end-to-end encryption and the ability to create disposable email addresses.
StartMail facilitates the sending of encrypted emails, as well as the creation of disposable email addresses and the use of pseudonyms in lieu of actual names.
Mailfence also provides end-to-end encryption, disposable email accounts, and digital signatures to authenticate the validity of emails.
Using strong passwords is one of the most crucial things you can do to protect your online accounts. A strong password should be at least 16 characters long and include a mix of uppercase and lowercase letters, numbers, and symbols. Avoid using common terms or phrases since hackers can readily guess them. In addition, it is essential to establish unique passwords for each of your online accounts.
As a precaution to safeguard your accounts and personal information, it is best recommended that you alter your passwords frequently. This is due to the fact that attackers often use automated tools to try to guess or break passwords, and changing your password periodically can assist you overcome them, as even if they are successful in acquiring your password, they would only have your outdated password, which is useless to them.
A passphrase is a lengthy, easily-remembered phrase used as a password. Passphrases are often substantially longer than passwords, making brute force and dictionary attacks less effective against them. Passphrases are frequently seen as more safe than passwords because they are typically longer and simpler to remember than passwords.
For example, a passphrase such as "correct horse battery staple" is more secure than a shorter password such as "h0rs3b4tt3ryst4pl3" because it is longer and contains a combination of words and spaces, making it more difficult for an attacker to guess.
It is essential, however, to select a passphrase that is unique and not easily guessed, and to avoid using common phrases or terms that may be found in a dictionary. To make the passphrase more secure, it is also advisable to include a few special characters and digits.
Overall, passphrases are a viable solution for securing accounts, particularly if you have difficulty remembering complex passwords. However, it is still essential to select strong, unique passphrases and to safeguard them in the same manner as a regular password.
3. Avoid Sharing Your Login Credentials with Anyone#
Sharing your login information with anyone can jeopardize the security of your accounts, therefore it's crucial to avoid doing so. If you give someone your login credentials, they might be able to access your accounts and possibly steal your personal data or do harm. You can help ensure that only you have access to your accounts and the information they hold by keeping your login information private.
Additionally, sharing your login credentials goes against the terms of service for many online services, and you may risk having your account suspended or terminated if you do so. Therefore, it's generally a good idea to keep your login information private and only share it with trusted individuals who need access to your accounts.
A password manager is a toolkit that enables you to establish and store secure, unique passwords for all of your online accounts. Typically, these products include a password generator that may generate random, complicated passwords that are difficult for an attacker to guess or crack.
Once a strong password has been generated using a password manager, the tool will keep it in a secure, encrypted password vault. The password can then be retrieved by logging into the password manager with a master password or another form of authentication.
Using a password manager can be a secure and simple way to manage your online passwords, since it enables you to use strong, unique passwords for each account without having to remember them all. This can assist prevent the compromise of your accounts due to weak or overused passwords.
To protect your password vault, it is essential to utilize a reliable password manager and a strong, unique master password. You should also avoid revealing your master password with others and log out of the password manager when finished.
An offline password manager is a tool that enables you to store and manage your passwords locally, as opposed to in the cloud or on a server managed by the password management provider. If you are concerned about the security of your passwords and wish to store them on your own device, this feature can be handy.
To utilize an offline password manager, you must install the password manager program on your device and generate a master password or other authentication method to access your password vault. The password manager can then be used to generate and store secure, unique passwords for each of your online accounts.
A benefit of utilizing an offline password manager is that your credentials are saved locally, making them immune to online attacks and data breaches. However, it is essential to remember that your passwords will only be available from the device on which the password manager is installed; therefore, you will need to ensure that the device is safe and have a backup plan in case it is lost or stolen.
Overall, an offline password manager can be an excellent choice if you wish to save your credentials locally and are ready to assume additional responsibility for device security.
When logging into an account, two-factor authentication (2FA) requires you to input a code given to your phone or email in addition to your password. This makes it significantly more difficult for hackers to access your account, as they would need both your password and the code provided to your phone or email. Enable biometric authentication on your device, such as fingerprint or facial recognition, if supported.
SMS 2FA is a typical kind of two-factor authentication that involves delivering a code through text message to a user's phone to validate their identity.
SMS based two-factor authentication can be an effective method of preventing illegal account access, but it is typically regarded as less secure than other forms of two-factor authentication. This is due to the fact that attackers can intercept or divert SMS messages, phone numbers can be spoofed or hacked, and SIM cards can be compromised.
It is often recommended to utilize more secure forms of 2FA, such as the Google Authenticator app or hardware security keys, which we shall explain in a moment, to protect against these types of assaults. These methods of two-factor authentication do not rely on SMS texts and are generally regarded as more secure.
If you are concerned about the security of your accounts, you may wish to disable SMS 2-factor authentication and use a more secure method of 2-factor authentication instead.
Pro Tip 2: Use a Hardware Security Key or Physical Token for Added Protection#
A hardware security key or physical token is a tiny device that can be used to add an extra layer of protection while accessing online accounts or services. Typically, these devices function by generating a one-time code or by offering a secure method of authenticating your identity via "public key cryptography."
In order to utilize a hardware security key or physical token, you must configure it with your online accounts or services. Typically, this includes plugging the key into a USB port on a computer or pairing it with a device via Bluetooth or NFC (near field communication). You can then use the key to provide additional authentication when accessing sensitive information or entering into your accounts.
Since hardware security keys and physical tokens are typically more secure than other two-factor authentication methods like SMS messages or software-based two factor authenticators, they can add an extra layer of security against illegal access to your accounts. Having these devices on hand and being able to access your accounts from any device makes them convenient to utilize.
In order to deceive people into disclosing sensitive information like passwords, credit card numbers, or personal information, attackers send fake emails or messages that look to be from reliable sources. This practice is known as phishing. In order to fool consumers into entering their login credentials or other sensitive information, phishing schemes frequently employ fake websites or links that are created to look like they are associated with reputable businesses or organizations.
It's critical to recognize the warning signals of a phishing assault and take precautions to safeguard yourself in order to avoid falling victim to such attacks. Here are a few tips to help you avoid falling victim to a phishing scam:
Be wary of unsolicited emails or messages requesting personal information or login credentials.
Do not download attachments or click on links from unknown sources.
Be skeptical of emails or messages that contain threatening or urgent language, or that promise a sense of urgency or reward.
Before inputting your login credentials or personal information on a website, verify its URL. Authentic websites typically have a secure URL beginning with "https://" and a padlock icon.
Utilize a password manager. A password manager can automatically populate login forms with your saved username and password, decreasing the likelihood that you will fall victim to a phishing attempt by manually entering your login credentials on a fraudulent website.
Utilize anti-virus and anti-phishing software to protect against phishing attacks.
By being aware of phishing scams and taking precautions, you can prevent attackers from gaining access to your sensitive information.
Keeping your software up-to-date is a crucial security strategy that protects your devices and accounts from a variety of attacks. Typically, software updates contain patches for exploitable security flaws and other issues.
By installing software updates you can help safeguard your devices and accounts from known threats. This is particularly vital for essential systems and services, such as your operating system, antivirus software, and web browser.
You can protect your devices and accounts from known vulnerabilities and other security risks by installing updates as soon as they become available.
Stay away from utilizing public WiFi networks that can access private data or accounts. When using a public WiFi network to access the internet, use a virtual private network (VPN).
A virtual private network (VPN) is a secure link that encrypts all data exchanged between two networks. Encryption makes it considerably more difficult for hackers to intercept any data transmitted across the connection. In addition, a VPN can shield you against fraudulent websites and other online dangers by concealing your IP address and location from prospective attackers. Avoid utilizing public or insecure networks and computers to access your accounts.
9. Basic Operating System Security (Disk Encryption, Firewall, and Antivirus)#
Enabling encryption on your operating system helps prevent unauthorized parties from accessing your data. Encryption is the process of encrypting data so that it may be viewed only by those who have the correct decryption key, password or passphrase.
The firewall manages incoming and outgoing network traffic based on predefined security rules. By preventing undesirable connections and monitoring network activity, a firewall can help protect your device or network from harmful traffic and attacks.
Anti-virus software, often known as anti-malware software, is a sort of security application meant to detect and eliminate malware from your system, such as viruses, worms, and Trojans. Antivirus software can prevent your device from becoming infected with malware, as well as scan and remove them as soon as they are detected.
Utilizing a firewall with anti-virus software can be an efficient method for defending your device and network from a variety of threats. Both of these tools must be kept up-to-date to guarantee that they can protect against the most recent threats. Additionally, you should utilize firewall and anti-virus software that is reputable and trustworthy, as some programs may not provide adequate security or include malware itself.
Use caution when sharing personal information online. It is essential to routinely monitor your online accounts for any unusual behavior, such as unauthorized logins or changes in account settings.
