Uno Re: A study about DeFi Insurance…
Project Name: Uno Re
Uno.Reinsure aims to become the industry’s first Reinsurance trading platform which is going be powered by Polkadot ($DOT). The project aims to allow its community to take the lead & design groundbreaking insurance products which will be the begining of a new class of Insuretech based companies within the UnoRe ecosystem.
One of the key highlights according to me in terms of standout feature would be UnoRe’s focus on eliminating the entry-barrier w.r.t Initial Investment & Regulations, while they will push for participation from users in the working mechanisms of Insurance & Reinsurance.
Contract Address of UnoRe
- ETH network contract address: 0x474021845c4643113458ea4414bdb7fb74a01a77
- BSC network contract address: 0x474021845C4643113458ea4414bdb7fB74A01A77
- DeFi focussed insurance model, fully decentralised
- A transition of insurance from Web2 to Web3
- Accessible to every level of investor pocket without any barriers in place
UnoRe Reinsurance model includes the following
- Expected value of risk: The capital pool within the UnoRe ecosystem, that is, a redistribution of available capital within the community to account for unforeseen events for users. This value will be equal to the average loss ratio of a portfolio. UnoRe will be generating the capital amount to insure & cover the expected value of risk from the premium paid by the customers.
- Capital cost for tail risk: The source of income, with a certain risk assumed. Individuals lock their capital in the protocol to earn from this source of income. The risk of losing the invested capital is restricted to the case of a black swan event. The income from the locked capital is calculated based on the period of Lock-Up and the risk associated. UnoRe will give the option to investors to lock-up their capital in this risk pool, depending on the individuals risk appetite.
- Transactional cost: The source of entrepreneurial income should be ideally linked to an increased efficiency of business processes. Like SLAs of claims payouts, client onboarding, and similar. The transaction costs will be paid by the customers in the form of the UNO protocol token (This part has been directly picked from the Whitepaper)
Upcoming launches & events:
- B2C (Business to Customer)- A direct risk investment platform model which will be part of the Uno.Reinsure Phase 3
- BYO (Bring Your Own) Product- This will be a launchpad for developers to bring their own insurance products for release in the market
- Once this mechanism goes live, there will be a new stream of income opportunities that can be leveraged through this protocol
Core Architecture of Uno Re can be found in the project Whitepaper.
Audit of Uno Re
The smart contract audit has been successfuly carried out by Hacken and the project has been rated as- Well Secured
During Audit 1, Hacken found 2x critical & 1x High Risk issues. These issues were both fixed in the second audit.
The report is publicly available at: https://hacken.io/audits/#unore
Team & Advisors:
The team has been fully dox. That means all the core team-members are public and so is their LinkedIn profiles.
You can visit the below link for more information:
Partners and/or Venture Capital (VC) backing:
The list of partners is huge and they are always announcing new partnerships. I would suggest you to visit their website link below to read on the partnerships in more details.
As an upcoming project, I feel it has one of the most solidly laid out Roadmaps woth a clear defined vision & path. I will list out the project Phases below and then go more in-depth.
- Phase 1: Introduction of ‘Cohorts’
- Phase 2: Onboard the UnoRe Platform into a DEX for risk-trading
- Phase 3: Launch of Insurance product Launchpad for Innovators
Now more in-depth
- Protocol V2 launch with SIP and Cover Portal
- Underwrite 100+ DeFi protocols
- Release Protocol V3 whitepaper
- Launch PR campaign
- Token buyback and burn executions
- Protocol V3 launch with Staggered Risk Index pools
- Launch Asset Management strategies with Risk pools
- Kickstart Insurance Broker ecosystem to boost policy sales
- Reach $80M+ accumulative insurance covered value
- Launch DA forum and Snapshot
- Launch Vote Escrow Staking vaults for DAO
- Introduce multiple currencies for policy purchase and Risk Pools
- Reach $2M+ in accumulative policy sales
- Launch Protocol dashboard
- Launch Restful APls for Integration Partners
- Launch Protocol on other Layer 2s protocols and Sidechains
- New listing on top Centralised exchanges
- Community development and user growth
- Team expansion
- Automated Claims Payouts for Parametric Insurance products like De-peg Insurance
- Initiate Development of Traditional Insurance Products
- Partnership with TradFi insurance company for re-insurance
• $UNO will be the native token of the UnoRe ecosystem and will used to pay fees as well as be used for reward payouts
• Total supply of $UNO is 380,539,316 tokens
The below image has the full break-up of Token distribution as well as vesting time-frames
One awesome design element of the $UNO tokenomics is that there is no huge chunk of token unlock at a single point of time. This is aweosme in preventing a mass sell-off in the event of multiple Centralised exchange listings.
Utility offered by $UNO token
- Purchase of Insurance through $UNO
- Insurance premium paid via $UNO will include discounts up to 50%
- Claims payments — Customers who choose to receive their claim payout in $UNO will be given access to VIP staking pools with an APY of up to 60%
- Risk/Share Trading Model (ie Staking)
- Risk Pool Creation (payout in $DAI, but will offer $UNO as collateral)
- Underwriting (in-depth detail in project Whitepaper)
- Governance & Community voting
My personal take on the project (Not financial advice)
As listed above with the roadmap and development, there is a lot of space left for growth and even that space is massive right now. DeFi Insurance will be a game-changer with the number of protocol hacks that are taking place in the crypto space & every project will turn their heads towards insurance on Web3. I still feel the project is in early phases of development and could be a good investment in the long run (not financial advice)
A huge thank you to CoinDCX for giving me this opportunity to write such a detailed report and be a part of the #CoinDCXpathbreaker program, enabling me to share such knowledge with everyone in the crypto space.