DeFi Protocol Cover
This week Nexus Mutual switched to the new Protocol Cover, and Armor now also offers this expanded cover. It’s an important upgrade to the existing available coverage, as it covers a much wider set of risks, more chains and more protocols, including several on Binance Smart Chain.
Expanded Protocol Cover
The arNFT and arCore Smart Covers already covered Smart Contract bugs, but will now also be covering the following scenarios:
- Oracle attacks
- Severe economic attacks
- Governance attacks
- Protocols on any chain
- Layer two components.
Please see the full Protocol Cover Terms and Conditions here.
(Note that these T&C’s will change; always check the latest version available).
Most of the 2020/2021 attacks fell in these newly added categories and therefore the Nexus/Armor cover offers even more protection against loss of funds.
New chains and protocols, including BSC
The cover is now available for the following protocols, several of which are on the Binance Smart Chain (BSC), but can be covered from ETH mainnet:
- THORChain
- Anchor Protocol
- PancakeSwap
- VenusProtocol
- PancakeBunnyFin
The yearly costs are currently quite high as these are newly added to Nexus and Armor, but once more users stake on these protocols, the costs will go down quickly to an expected 2.6% yearly.
Future Proof Cover for BSC, L2 and other chains
Protocol Cover now covers any chain that a DeFi project looks to explore. For example, $SUSHI might be available in multiple chains and your assets might be spread over these. With the new Cover, as long as you simply buy cover for SushiSwap, you will be covered on all chains Sushiswap is active on!
The same logic applies to $ETH L2 as well. With projects like MATIC and Optimism maturing, this layer-2 coverage is going to protect you as your tokens migrate from L1 to L2.
Existing Cover gets a free upgrade
All existing arNFT’s and all arCore Smart Cover will be retroactively upgraded to the new Protocol cover at no additional costs. If you already have bought arNFTs or arCore Smart Cover to protect your assets, then there is nothing you need to do. The new Protocol Cover T&Cs will be applied to all existing arNFT Cover that is based on Proof Of Loss (Issued since late October, #2292 and above).
Protocol Attacks are covered, but DYOR and be safe
Armor and Nexus Mutual cover products now protect users against a variety of attacks that can happen due to unintended code usage.
But remember — scams, wallet problems, sending funds to contract addresses, losing keys, having your laptop taken over and “rug pulls” are not included here. So, always do your own research (DYOR), be careful and check all protocols before aping in.