People who join the mutual become members, and members can buy cover to protect against hacks in smart contract code. It is a mutual, and each member can have tokens which represent membership . It runs on the Ethereum blockchain.
· Buy smart contract cover.
· Contribute funds to the mutual and hold NXM tokens.
· Stake on smart contracts to show they think that contract is secure and to earn rewards.
· Put forward governance proposals.
· Vote on proposals put forward by the team or other members.
· All members of the mutual are sharing risk with each other.
Note: All of these items are open to any member to develop and champion as they wish.
Base pricing This has been calculated by insurance experts, actuaries and advisors based on centuries of actuarial economics.
Investments This feature will be used to maximise return on the pool of funds in the mutual.
Product development Based on feedback from the community, progression of the Ethereum and DeFi ecosystem and the capacity/expertise of the team.
Governance Members are encouraged to vote on proposals or put forward their own proposals.
Capital provision Members pay a nominal fee for membership, and also contribute into the capital pool by either contributing funds directly but also by taking out cover on a smart contract.
Risk assessment Members can stake against the security of a smart contract and get rewarded for their staking. Enough staking needs to happen before anyone can purchase cover on that smart contract.
[Staking with Nexus Mutual is more knowledge based than with other DeFi systems and therefore should be undertaken only by members who are prepared to risk losing their stake if there is a claim on that smart contract. It should be considerd as active rather than passive staking]
Claims assessment When Nexus Mutual is alerted to a claim, members will be asked to vote on whether to pay out on that claim or not. Claims should be resolved within 12-48 hours.
The NXM token represents membership rights in the mutual, with all members owning the mutual together
It runs on a bonding curve which is a mathematical curve that defines the relationship between price and token supply.
It can only be bought and sold with the Nexus Mutual application.Only members of Nexus Mutual can hold NXM tokens.
Nexus Mutual is a digital cooperative (a DAO with a legal wrapper around it) and operates as a discretionary mutual in the UK. Nexus Mutual complies with the relevant laws and regulations in the countries from which it accepts members.