One of the main differences between web2 and web3 is the control of your own data, which is innovative, but new software is still software, and there is always going to be a risk associated with these technologies:
Smart Contract Vulnerabilities: Hackers stealing funds through vulnerabilities in smart contracts.
FOMO: It drives developers to conquer the market as fast as possible, because generally the first viable project that provides the required functionality on a blockchain becomes a huge success overnight. So, it’s a challenge to balance the time to do security well vs. the demands to shorten time to market.
No intermediaries: There isn’t a central entity to provide recourse in the event of attacks or key compromises, meaning that nobody is responsible of any error in your transactions.
It makes web3 security one of the most important things when you are looking to invest. So, why web3 security? Because anyone likes losing money, time nor energy. That’s why InsurAce.io is here, to provide protection and peace because your assets are in good hands.
The cryptocurrency industry came as a new and beneficial unregulated market, but also with risks that InsurAce is aware of to take the right precautions and hiring the best team to prevent IT systems from being exploited. A wise idea is to remember that, while hackers are looking for lucrative rewards, smart investors can also be very successful.
Let’s jump right in and discuss the reasons why crypto security is necessary nowadays:
1. More regulatory clarity: A more developed regulatory framework helps traditional insurers to have more interest to provide insurance capacity in this space.
2. Increased Adoption of Digital Assets: Organizations are increasingly incentivized to explore these opportunities because the DeFi Protection area is growing and becoming stronger.
3. Growth of Decentralized Finance: There is a whole industry offering coverage against technology failures and that will be always valuable for businesses interested in protecting both: their balance sheet and the individuals running the company.
4. More transactions: The growing crypto market is indisputable. Everyday, crypto is going more mainstream and people are getting more interested in it, but even when it is public and with many benefits, it also adds significant risks to investors, and there is where InsurAce.io deliver solutions to protect owners and investors.
There are many benefits of getting coverage for your assets, and there is still only 1% of smart DeFi investors are protected. Are you going to wait until you get hacked to raise awareness regarding security flaws? Getting coverage takes a few minutes and costs less than 0.3% per month, but how much would it take to recover your money from an exploit?
Don’t hesitate to cover your favorite protocol in our dApp: app.insurace.io
