OKX Exchange Cover Pool Launch

3 min read

OKX Ventures & Neptune Mutual form strategic partnership to launch cover policies for OKX Exchange.

OKX Ventures and Neptune Mutual are announcing a strategic partnership to launch decentralized cover solutions for the OKX.  OKX Ventures has been an early backer of Neptune Mutual and understands the value of integrating Neptune Mutual’s parametric cover solution into the OKX ecosystem.

We’re delighted to announce that the OKX cover pool will be listed in the Neptune Mutual cover marketplace. This will be the first cover pool for OKX as to date OKX cover policies are not available in any other cover protocols.

The cover pool is dedicated exclusively to OKX and gives OKX users, particularly those that are more risk averse or subject to hedging requirements for custody risk, the opportunity to purchase cover policies. OKX investors and users will have the opportunity to provide liquidity to the cover pool as an LP, thereby earning a percentage of the cover fees paid by policyholders.

Supply of liquidity and demand for cover policies affects the dynamic pricing of policy fees within a fixed price range.  The nature of a dedicated cover pool means that there is always more liquidity in the pool than the total amount of policies underwritten enabling the cover pool to guarantee that payouts will be honored in the event of an incident.  In addition, the dedicated cover pool is independent and ring-fenced from all other project risks in the marketplace.

Jeff Ren, Head of OKX Ventures said

As a global leader in crypto, OKX has a very strong emphasis on security as a platform.  But it doesn’t remove the necessity for users to stay vigilant. We are encouraged to see a new avenue emerging for our users to practise risk management, and given traditional insurers are still rather conservative towards underwriting for crypto users, decentralized P2P solutions on chain have strong potential to pick up this slack.
This is another step in our mission to make parametric insurance available to every crypto asset owner

said Binod Nirvan, CEO and founder of Neptune Mutual.

We are glad to be the first one offering a risk mitigation tool for the millions of users of OKX, and hopefully going forward for more use cases for the OKX community.

About OKX#

OKX Ventures is the venture arm of OKX, focusing on discovering and investing in some of the most cutting-edge blockchain-based projects across various sectors of the digital asset industry, including exchanges, blockchains, wallets, NFTs, Web3, and the metaverse.

OKX, formerly known as OKEx, is the second largest crypto exchange by volume and a leading web3 platform, with over 20 million users globally. In addition to spot and derivatives trading, the OKX ecosystem also offers a self-custody wallet, an NFT marketplace, the EVM-compatible OKC blockchain, and more.

About Neptune Mutual#

Neptune mutual is an innovative P2P cover marketplace, with the aim to offer protection against hacks and attacks for DeFi, CeFi and metaverse projects. The parametric cover models are more user friendly for cover purchasers, given the hassle free payout process upon incident resolution. 

For LPs,  better liquidity and principle capital stability is provided, given cover pools in Neptune Mutual are denominated in USDC hence investments and yield are all made in USDC terms, and proof of deposit tokens (PODs) are fungible yield bearing tokens that can be traded via dexes in case LPs miss their regular redemption window.

For those of you who have interacted with either of our testnet applications over the last couple of months, the process of navigating through the marketplace is the same.

We have published a number of in-depth explainer videos to help you get started. You can also visit the resource section for informative articles, updates, cover creator profiles, hack analyses, and more. Moderators are available to answer questions and share information in our Discord and Twitter communities.

To learn more about OKX#

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