Crypto Asset Insurance: Protecting Your Project's Treasury
August 26, 2023
Unvest blog


As the crypto ecosystem matures, so do the associated risks. From hacks to smart contract failures, unforeseen vulnerabilities can spell disaster for a project's treasury. Crypto asset insurance has emerged as a key tool to help projects manage these risks and secure their financial future.

Understanding Crypto Asset Risks

Exchange and Custodial Breaches:

Smart Contract Vulnerabilities:

Operational Risks:

Market Volatility:

The Need for Crypto Insurance

Mitigating Financial Loss:

Instilling Stakeholder Confidence:

Navigating Regulatory Expectations:

Evaluating Crypto Insurance Providers

Coverage Scope:

Claim Resolution:

Premium Costs:

Reputation and Track Record:


Implementing Best Practices

Diversified Storage:

Regular Audits:

Risk Management Protocols:

Case Studies

  1. Nexus Mutual: An exploration of the decentralized insurance provider and its offerings.
  2. Yearn Finance's $11 Million Cover: How Yearn used Cover Protocol to secure its funds.


Crypto asset insurance isn't just about risk mitigation; it's about showcasing responsibility and foresight, crucial traits for any successful DeFi project. As the space grows, insurance will inevitably become an integral component of a project's risk management toolkit.