Introduction to DeFi covers

Decentralized risk products are new, complex and continuously evolving. Therefore, there is need for a credible third party to create – together with the community – an independent and fair assessment of these products.

Bright Union allows comparison of coverages across multiple risk products.

Compare risk covers across multiple platforms

Criteria for comparison

Criteria	Comment
Price	The cost of buying a risk coverage (in percentage of the total amount)
KYC	The requirements for KYC (Know Your Customer) is different per risk platform. Some platforms require users to submit their passport and address for confirmation before products can be used
Exclusions	The risk platform has defined certain scenario's in which a claim will not be accepted (e.g. the user is at fault for the loss of funds)
Min contract duration period	Minimum contract duration in days a risk platform offers users to buy.
Capital Requirement	Risk platforms have requirements of how much the staked capital in a coverage must be before a user can buy a cover
Network	The blockchain network on which the smart contract is added upon buying the coverage
Requirements for claims submission	In case the user whishes to submit a claim some documentation is to be added as proof.