Nexus Mutual

Reentrancy attacks involve looping deposit and withdrawal requests in a smart contract to steal funds. An example is withdrawing from an ATM without the account balance being updated. The Fei/Rari attack resulted in $80m in losses and led to payouts for Rari Protocol Cover holders. Reentrancy vulnerabilities have caused several DeFi hacks, such as those in Curve, Vyper, Conic, Sturdy, and Sentiment. Nexus Mutual aims to educate more people about common attack types in DeFi.

EigenLayer will unpause restaking on 5 Feb and remove caps for any LST. They will allow $sfrxETH, $mETH, and $LsETH for restaking. EigenLayer Protocol Cover protects against risks in DeFi and includes protection against hacks/exploits, oracle failure/manipulation, severe liquidation failures, and governance takeovers. Anyone building on EigenLayer can work with the Nexus Mutual community to better protect users against hacks/exploits.

OpenCover is a platform that offers cover for crypto assets on various Layer 2 solutions such as Optimism, Arbitrum, and Base. They are currently offering to pay for the first cover and provide lower gas fees. The cover is underwritten by Nexus Mutual and over $18m in claims have been paid to date. OpenCoverDeFi is now providing cover on Layer 2 solutions.

Nexus Mutual has announced that Synthetix Protocol Cover will be made available to anyone, including users of centralized exchanges. The cover protects against risks such as hacks/exploits, oracle failure/manipulation, severe liquidation failures, and governance takeovers. Teams building on Synthetix can collaborate with Nexus Mutual to enhance their users' protection.

Aura Finance and Balancer are partnering to provide liquidity in the Balancer ecosystem. By staking ETH/wETH BLP pairs with Aura, users can boost liquidity for LSTs like osETH, weETH, and rETH. Nexus Mutual offers Protocol Cover to protect against risks in DeFi for those participating in the Balancer ecosystem.

Nexus Mutual introduces Protocol Cover for Spark Protocol and DSR to protect ETH and DAI deposits. Learn more.

Nexus Mutual is a decentralized insurance alternative that offers cover for various risks. Their Protocol Cover protects against smart contract hacks, oracle manipulation, liquidation failures, and governance takeovers. They have paid $10.8m in claims to Protocol Cover holders since 2019. Nexus Mutual has also partnered with InShare to expand coverage for small independent business owners in the UK. They have collaborated with Sherlock to provide underwriting risk coverage and with Liquid Collective to protect $LsETH holders. More cover products are expected to be launched in 2024.

If you're planning to restake on EigenLayer, be sure to protect your LST deposits with EigenLayer Protocol Cover.

Hugh Karp has proposed that Nexus Mutual enter into an investment and retrocession agreement with Re. The proposed deal includes a $12m investment into Cover Re SP1 and a retrocession cover deal where Re shifts 15% of their underlying risk to Nexus Mutual. The investment offers an estimated return of 18%-22% and requires the selling of $12m of ETH for stablecoins. The retrocession deal allows Nexus Mutual to receive 15% of Re's underlying business for the 2024 underwriting year, capped at $15m gross premium. Approval from CIMA is required for Re to participate in the deal.

Nexus Mutual has launched a bug bounty program for whitehat hackers to find vulnerabilities in their smart contracts. The program now includes the RAMM.sol contract, which replaces the existing bonding curve. Hackers can earn up to $50,000 per finding and payouts will be in USDC without the need for KYC. Nexus Mutual is a decentralized insurance alternative on the Ethereum blockchain, offering transparent and flexible options for buying cover and managing risk.