Hi readers!
The integration of Tidal finances and stafi protocol continue to wax strong as Tidal Finance announces the lunch of the stafi insurance pool.
Tidal Finance is a decentralized discretionary mutual cover protocol that offers the DeFi community the ability to hedge against the failure of any Defi protocol or asset. It partner
Tidal Finance protects the smart contracts created on Stafi and develops a mechanism that provides additional yield as the insurance and where their incentive can be built-in.
Through this partnership, Tidal Finance strenghthen the security of Stafi’s platform and help launch its initial coverage pool.
In satisfaction of their integration with the Stafi protocol, Tidal community has gladly announced the opening of an insurance pool for StaFi’s rETH App and rBridges contracts on Tidal’s insurance platform. And the insurance pool is live now, so everyone could deposit USDC to cover for StaFi.
How to Participate
If you are looking for high-yield products and confident with low default (hack) risk for StaFi’s rETH App and rBridges contracts, you could stake the stable coin (USDC) on the Tidal platform and provide reserve for StaFi.
The current coverage plan covers StaFi’s smart contract vulnerabilities that are deployed on the Ethereum network, including rETH App and rBridges. Malicious attacks and economic exploits resulting in StaFi users’ asset loss would qualify for a valid claim. Any valid payout amount will be directly paid to the StaFi team to recover StaFi users’ loss. For more general coverage policy wording please refer to Tidal’s gitbook cover policy section.
Benefits of Providing Reserve for StaFi
Anyone who provides the reserve for StaFi protocol on Tidal’s platform, will earn an APR of 10% ~20% with the following 2 rewards:
- Earning cover premium directly from StaFi’s cover plan
The 90% of the premium fee paid by StaFi protocol, as the insurance buyer, will be distributed to the reserve provider.
- TIDAL token rewards through the Cover Mining Program
In the previously released cover mining article, up to $2885 USD value of TIDAL (721,154 amount of TIDAL tokens at price 0.004) will be rewarded to the reserve providers every week.
Risks
A stable coin reserve pool will be used to compensate for a valid claim. Cover providers’ capital will be reduced proportionately by the percentage of their position in the pool. The total payout amount in the event of a smart contract hack is up to the lower of the (a) amount of loss due to the hack and (b) the cover purchased.
You need to see this. Click on the link below for reserve provider
details:https://docs.tidal.finance/getting-started/network-roles/reserve-provider
References
https://medium.com/stafi/tidal-has-launched-the-stafi-insurance-pool-on-its-platform-270d8e370a44
About Tidal
Tidal.Finance makes DeFi safer by providing insurance coverage for assets across chains in custom balanced liquidity pools. With Tidal, Users can select risk pools by choosing any combination of protocols/assets and their coverage terms (premium, cover period, etc). Liquidity Providers, on the other hand, can invest in pools that suit their risk/reward ratio.
About StaFi
StaFi is the first DeFi protocol unlocking liquidity of staked assets. Users can stake PoS tokens through StaFi and receive rTokens in return, which are available for trading, while still earning staking rewards. rToken is a synthetic staking derivative issued by StaFi to users when users stake PoS tokens through StaFi rToken App (https://app.stafi.io). rTokens are anchored to the PoS tokens staked by users and the corresponding staking rewards. rTokens can be transferred and traded at any time.
Website: www.stafi.io
rToken App: https://app.stafi.io
Twitter: @Stafi_Protocol
Telegram Chat: https://t.me/stafi_protocol
Telegram Announcements: https://t.me/stafi_ann
Discord: https://discord.com/invite/jB77etn
Forum: https://commonwealth.im/stafi