Try Quests to earn cryptoIL Insurance
In the future, cryptocurrency insurance might be a big business.
Introduction
The question arises from the need for Insurance for crypto assets!!!
The cryptocurrency economy, which is mostly made up of startups and exchanges, may not yet be large enough to provide significant revenue for the insurance industry. When you consider the volatility of the bitcoin environment, insurance for cryptocurrencies becomes critical. Massive thefts of online wallets and exchanges have occurred from the growing value of bitcoin and other cryptocurrencies.
Methodology
The dashboard here attempts to chart the percentage of the users who receive their insurance when they remove their liquidity from the invested pools and had faced a loss. This is applicable for users who had opted for IL_Insurance while adding Liquidity into these pools.
The table answers the necessary datasets that are required to find the percentage of users who had received their liquidity.To know these the total number of users who had removed liquidity from different pools of the thorchain ecosystem is needed to be studied.
The graph shows the users who had removed their liquidity from the pools in the thorchain ecosystem.Most transactions in the removal of Liquidity happened in TERRA.UST pool.Now let us look into the insurance holders among the Total users.
The bar chart represents the insurance holders in all the accounted pools of the thorchain ecosystem and this data is viable in calculating the percentage of the users who had received their insurance among the total users who had removed liquidity. The percentage is calculated and is charted below:
The green data shows the details about the users who had received insurance on a percentage scale and is charted per each pool.The maximum percentage of people who had insurance per pool does not exceed 50 percent and there are pools where only 11 % of their users had received insurance in removing Liquidity.
Conclusion
It is seen that The average cryptocurrency business in America spends between $400 - $700 per year for $1 million in general liability coverage. The reason behind the fewer insurance holders. include a few such as Most institutionally oriented crypto companies desire to get enough insurance, and in many cases, this is a regulatory or legal need. Obtaining such coverage, however, is nearly impossible despite their best efforts. Inadequate insurance coverage, especially in a volatile business like crypto, will be a major barrier to increasing the 'institutionalization' of crypto assets.
Reference:
2.https://www.investopedia.com/news/cryptocurrency-insurance-could-be-big-industry-future/