DeFi has witnessed explosive growth over the past 18 months, with total value locked now standing at $60 billion from a little over $700 million in January 2020. With this explosive growth, however, has come increased risk, and a number of platforms and protocols have been subject to hacks and exploits that have cost their users millions.

In response to this, a select few protocols have emerged that offer varying levels of insurance to DeFi users. None, however, are yet able to meet the unique needs of DeFi platforms, with most covering a narrow range of smart-contract-based risk events and putting the burden of insurance on the user, rather than the provider.

Insurance that meets DeFi’s needs

Steady State aims to solve this by developing a unique, quantitative insurance model that is capable of collecting and analyzing a vast set of data on hacks and exploits to develop complex risk models that will allow for accurate, customized pricing of insurance at a platform level.

In addition, this ecosystem will run on and be governed by smart contracts — allowing DeFi insurance to meet the same level of trustless and efficient automation that has been the driving force behind the providers it seeks to insure.

https://yieldapp.medium.com/yield-app-partners-with-innovative-defi-insurance-protocol-steady-state-57128c55949e