What problems are we solving?
Last updated
Last updated
Increasing Coverage Requirements for Regulated Entities As the DeFi space matures, regulated entities like exchanges and market makers are facing heightened coverage requirements to protect their capital. Traditional financial systems and emerging DeFi platforms often struggle to find coverage solutions that are both compliant and tailored to the unique risks of the digital asset world. Solution: UnoRe steps in to fill this gap with specialized coverage products designed for these regulated entities. By offering solutions that align with regulatory standards and address the specific risks of digital finance, UnoRe helps these organizations achieve compliance while fostering trust and stability in their operations.
Addressing Exploits and Security Breaches in DeFi Platforms The DeFi sector, while innovative, is not immune to security risks like exploits and breaches, which can lead to significant financial losses. Traditional coverage models are often ill-equipped to handle the novel and complex risks present in DeFi. Solution: UnoRe introduces a comprehensive coverage product specifically for DeFi platforms. This solution focuses on mitigating risks from security vulnerabilities, providing a safety net that enhances user confidence and safeguards financial assets.
Building Investor Confidence in DeFi Ventures Investor hesitation is a major barrier to the growth of new DeFi ventures. The perceived risks and uncertainties surrounding these innovative projects can deter investment, hindering the sector's overall development. Solution: UnoRe offers coverage products that specifically address the risks associated with investing in new DeFi ventures. By providing a layer of security, these products play a crucial role in boosting investor confidence, thereby facilitating the influx of capital and supporting the growth of pioneering DeFi projects.
In addressing these three core problems, UnoRe is not just providing solutions but is also actively shaping a safer and more robust DeFi landscape.
The Problems Reinsurance companies have constituted the largest part of many investment portfolios of top-performing hedge funds. This is no surprise, as they are efficient wealth-generating enterprises, spanning over multiple continents and creating farabove-average returns for their investors at minimal risk.
Moreover, in today’s world of overpriced assets and stocks, reinsurance portfolios are one of the very few avenues that still follow value investing.
This approach of investing championed by Warren Buffet involves investing in commodities that appear undervalued using fundamental analysis of returns rather than speculating on the future growth of companies.
Billionaire investors like Warren Buffet have included reinsurance and insurance businesses as a major part of their portfolio, and returns from these investments have hugely contributed to the extreme ballooning of their net worth that we see today.
Due to large capital and stringent regulatory requirements, these markets have long been out of reach for regular investors. This has also contributed to the spreading wealth gap:
A typical millennial holds 41% less wealth than a similarly-aged adult in 1989, while the wealth of billionaires is booming at unbelievable rates.
The prevalent structure of the insurance industry holds innovation back. The power only lies in the hands of established insurance oligopolies.
Even though the needs of the market have changed over time, over-regulation and inefficient bureaucracies have made it difficult to launch innovative insurance products into the market.
A multitude of reasons account for this delay in the process:
A long list of rules and regulations are in place for new insurance products.
The inherent archaic nature of the insurance industry lacks adequate automation.
Insurance and Reinsurance companies are not receptive to new age products requested by the Innovative companies such as InsurTechs and Brokers.
As a result, entrepreneurs and technologists fail in placing new solutions into the markets and customers remain dissatisfied.
This structural barrier is also limiting for smaller and retail investors who are unable to get a access into stable insurance portfolios. This just keeps the cycle of wealth within the internal circle of the insurance industry, i.e. well-established, long-term insurance companies.
Additionally, brokers have the relevant market knowledge since they understand precisely what customers need. Through this, they are able to design well-thought out solutions but cannot launch in the market due to the structural bureaucracy and also inefficient underwriting.
