A Major decentralized P2P insurance marketplace on Polkadot Ecosystem

Judy_Host of EncryptClub: The fragility of the market has been fully presented in these two days. Many group members have begun to discuss how to escape and how to buy the dips. It can be seen that we basically have a psychological target price for the market, and can simply judge the basic trend of it. However, the dump of the market hasn’t impeded the fast developing DeFi Ecosystem, countless projects keeps dedicating to exploring the road to success in the DeFi industry.

Today, we are honored to have Harry Callum, CEO & Founder of PolkaInsure, and Allan Pullin, Cofounder and CTO of PolkaInsure with us, to give a detailed introduction of PolkaInsure.

Thanks for coming, Harry and Allan. Could you give us a self-introduction?

Harry: Hi I am Harry Callum, CEO & Founder of PolkaInsure. A brief about me: 10 years in fintech in Europe and 3 years in crypto in Singapore and HongKong.

Allan: My name is Allan Pullin. Blockchain developers since 2016. I have work on several brockchain platforms: Smart contract coding security audit, Blockchain consensus algorithm, and sharding. I also have extensive research and experience in cryptography.

Thank for your introduction, Harry and Allan. Here comes the questions of our AMA.

Q1: Could you introduce PolkaInsure for us? What project is it?

Harry： PolkaInsure was started around 6 months ago when we sit together, brainstorming what we can do when we see the rise of YFI (I bet you know it) since then, lots of “DeFi” projects, especially farming pool-based projects and automated yielding strategies were born and locked a significant amount of asset however, when we look at this all, we see many of those projects were hacked or exploited, leaving investors in a very bad situation and it badly affects the development of DeFi.

I remember one of the first DeFi project was hacked is bzx with a flashloan attack, which stole millions of funds we’ve seen also some protocol offering coverage to those DeFi-high risk protocols.Some of the pioneers were, you know, NXM and recently Cover protocol (even the token was exploited but the protocol works fine) there is one missing point in those cover protocols is that all run on ethereum platform if you look at these days, ethereum fees are unacceptable since 6 months, we’ve seen the evolution of Polkadot as well with many defi protocols being developed so we idealized to make a protocol to offer coverage for Polkadot Ecosystem .

In Short, PolkaInsure is A Peer to Peer Insurance MarketPlace for Polkadot Defi users. The marketplace is run entirely by Defi users in the Polkadot Ecosystem, and users who join will get the PIS governance token. Any user can request insurance and anyone can provide coverage.

Q2：We learn from twitter that PolkaInsure offers lucrative farming yield, what’s behind the high yield, does it mean PolkaInsure has received lots of attention and staking?

Allan：We offer deflationary farming.

If you look at most of farming projects in the last few months (yeah lots of xxxSwap…), those farmings provide high APY by providing high inflation in their token. this is basically a pump and dump token, which is not good for DeFi if we want to get into mainstream and create real value from those farming projects. Deflationary Farming basically does not mint/generate any new token, thus zero inflation.

some will ask: where does rewards come from? there are mainly two sources:

1. From transaction fees when users send/receive/trade tokens on uniswap. Basically every transaction has kind of little fees. The fees are collected and distributed proportionally to all users who farm in the deflationary farming. NERDz achieves 1300% APY at peak with deflationary . That’s insane. PIS also achieved 3000% APY at peak.

2. From decentralized finance products including: Automated Yield Vaults and other products like lending, dex. in short, Deflationary Farming does not mint any new token, but trying to provide high APY through different sources (both internally and externally) Q3：Could you reveal the following development plan of PolkaInsure? What role will PolkaInsure play in Polkadot ecosystem?

Allan: We just launch 2 Products on Moonbeam testnet of Polkadot.

PolkaInsure Swap: https://moonbase-farm.polkainsure.finance/#/

Farming : https://swap.polkainsure.finance/#/swap

to the best of our knowledge, this is the first swap and farming launch on MoonBeam Testnet.

You guys could test with Metamask and DEV token (like ETH on ERC20). Here’s MoonBase’s instructions to connect your metamask to MoonBase.

https://docs.moonbeam.network/getting-started/testnet/connect/

We are developing PolkaInsure protocol and testing it on MoonBeam and we should finish in Q1 2021. We have our plan in Q2 2021 to migrate PIS from Ethereum to MoonBeam.

Once migration completes, we start shield mining, which basically will act similar to the shield mining protocol of Cover Protocol, but all of our protocol will run on Polkadot Parachain

that’s our current plan

Q4：Harry, what do you think of the current small bull run? Will it last? Is PolkaInsure able to to grab ad make sure of the following market trend?

Harry：

We are very excited with the current Bull Run. We believe with good news from PayPal and Institution Investors like GrayScale, the bull run will continue. You know GrayScale continue to accumulate BTC.

More exciting is Polkadot Ecosystem is evolving, and our Tech team really dedicate our efforts for Polkadot.

1. Polkadot is a very fast evolving ecosystem. All parachains of Polkadot are seemlessly interoperable. That’s really great!

2. Most of existing coverage protocols run on Ethereum while a protocol was missing on Polkadot.

3. Transactions fees on Ethereum are unacceptable

4. Polakdot Ecosystem and parachains are easy to customize

5. There is MoonBeam parachain that provide an EVM-compatible environment which allows us to easily migrate our protocol from Ethereum to MoonBeam

6. Lots of potential DeFi projects have been developed on Polkadot and those need insurance for users

that’s almost all of the reasons why we choose Polkadot

Q5：Besides farming, does PolkaInsure plan to develop an algorithmic stable coin which goes viral recently? What do you think of similar insurance products on Ethereum public chain?

Allan：Regarding stable coins, we agree that it is very trendy right now. We are still following closely the development of the those stable coins and the algorithms used in the coins.

In short-term plan, we dont have a plan to develop such stable coin. However, one of our engineers (the one behind PolkaInsure Swap) knows the stable coins algorithms very well. It means our team can surely make a stable coin right now, but we want to put our focus on our main product: Swap, Farming, and Insurance on Polkadot first.

Insurance protocols are interesting. We love Cover Protocol, Nexus Mutual… We think those protocols are very potential that one day they can replace the traditional cumbersome insurance companies. The only trouble that we could see right now is the transaction fees on Ethereum . It is very expensive. That means PolkaInsure has a big potential in leading the insurance space on the Polkadot ecosystem as well.

Judy：Here comes the free QA session, guest can choose 1 lucky question from community members to give a brief answer.

User: What’s your token economics?

Allan:

1. if you look at the tokenomics of PolkaInsure, it is an ultra fair launch where the team only has a very small portion of the supply to feed the development/

2. We have our products on MoonBeam testnet already, while most other projects are only tokens on Ethereum. Even PolkaCover is now just a token on Ethereum.

3. We have farming on Ethereum, which already locked significant amount of value in there. This is very good when we move to MoonBeam Mainnet.

4. Our supply is limited. No more tokens will be ever generated.

5. We provide insurance service to the very evolving Polkadot ecosystem.

7. Our contracts are audited by Arcadia Group — The leading industry in auditing smart contracts

Judy_Host of EncryptClub: Thank Harry and Allan for joining our AMA and sharing so much valuable information with us. Thank you all for watching this AMA. EncryptClub will work hard and bring more wonderful content for you in future.