Crypto assets insurance provider Unslashed Finance has recently closed a $2 million funding round. Investors included Lemniscap, P2P Capital, Bitscale Capital, Chainlayer, and several angels.

To date, Unslashed has sold coverage for the amount of $400 million and collected $90 million in capital deposits with no marketing spend. With these numbers, Unslashed could very well outpace a significant number of companies in the insurtech industry by the end of the year.

With a current market cap of $1.2 trillion, around $500 million worth of crypto was stolen through DeFi exploits or exchange and smart contract hacks. And as traditional insurance firms have failed to provide coverage for such risks, Unslashed has found a market niche and exploited it with the crypto-native solution.

Unslashed uses a decentralized insurance protocol, thus enabling almost instant liquidity to insurance buyers and risk underwriters. Through tokenizing coverage and using “money streaming,” this protocol allows the insured the ability to pay as they go, as well as instantly cancel the policy to offload it.

Insurance covers exchange and smart сontract hacks, validator slashing, stablecoin pegs, oracle failures, and other crypto-related risks.

Unslashed’s clients include decentralized exchange aggregator ParaSwap, infrastructure provider and validator for Ethereum Lido Finance, Ethereum-based protocol for decentralized on-chain asset management Enzyme, and several crypto hedge funds such as Techemy Capital who leverage insurance to hedge a certain number of risks.

“We at Unslashed believe insurance is the key factor to sustain and accelerate crypto adoption,” Marouane Hajji, Founder of Unslashed, says. “With the launch of our project, we strive to power the growth of the crypto economy and protect its participants from significant risks. We’ve been fortunate to partner with investors who deeply understand both the traditional finance industry and crypto.”

Comments are closed.