Onchain insurance and reinsurance sound similar, but they serve different purposes.
β An insurance protocol sells coverage directly to DeFi users.
β A reinsurance protocol sits further down the chain, supplying collateral that backs insurance companies.
Side-by-side comparison:
Consistent yield by design.
The strategy behind reUSD and reUSDe prioritizes steadier, lower-volatility returns.
The book behind them is spread across six distinct lines. Unexpectedly high losses in any one are unlikely to carry over into the others.
This approach has been profitable every year to date.
@castle_labs breaks down the data β
Weβre delighted to welcome Jack Nelson as Chief Investment Officer.
He ran Everest Re Groupβs investment portfolio for over a decade, after managing insurer assets at Wellington Management.
Jack will lead the investment strategy as we continue to scale.
Reinsurance is becoming an industry-scale use case for stablecoins.
Re is scaling it through $65M in new capital to Cover Re, with new leadership to strengthen underwriting, risk and investments.
via @NewsReinsurance
The US issues ~$200B in net new treasuries every month
Globally, just $800B in reinsurance capital backs every conceivable form of economic, commercial and personal risk
At the greatest technological inflection point in human history, we are going to see a lot more capital backing the risk takers of the world