Etherisc and Nexus Mutual are excited to announce a collaboration to bring together the community of decentralized insurance enthusiasts. Both projects believe in collaboration over competition and while the projects may appear to be competitors on the surface, they are actually very complementary.

Nexus Mutual has recently launched on main-net and is currently in an initial phase where it will fully activate after 12,000 ETH (approximately $3m USD) in contributions have been made in exchange for NXM — the native Nexus Mutual token. Due to the bonding curve approach contributions in this initial phase are already available at around a 20% discount to the fully funded price, with the discount reducing as each contribution is made.

Nexus Mutual’s continuous token model or bonding curve

Etherisc’s existing DIP tokens are used in the Decentralized Insurance Platform as a method of coordinating various aspects of the insurance value-chain. This includes product development, pricing and claims assessment as well as insurance companies and other carriers of risk. DIP tokens are needed to earn transaction fees, incentivize, and reward platform users to bring risk to the network, build, and maintain insurance products.

Etherisc’s Decentralized Insurance Platform

Nexus Mutual, as a decentralized alternative to insurance, can actually take part in the Decentralized Insurance Protocol in place of an insurance company in the future. Something both projects will work on in the coming months with a particular focus on crypto native risks.

To cement this alignment among the two communities, both Nexus Mutual’s Foundation as well as the Decentralized Insurance Foundation are offering bonus tokens for participating in Nexus Mutual’s initial contribution phase.

DIP holders participating in Nexus Mutual’s initial phase will receive two bonuses:

20% bonus in NXM tokens; and 1 bonus DIP token for each NXM token bought (excluding bonus NXM tokens)

The following criteria apply:

A minimum of 10,000 DIP must be held in the same ETH address as that participating in the Nexus Mutual initial phase. DIP must be held constantly from the period of NXM purchase up until the minimum capital requirement of 12,000 ETH is met. Bonus tokens to be distributed manually after Nexus Mutual’s initial phase ends by Nexus Mutual’s Foundation. Any NXM bonuses for Link tokens (Chainlink), or for any other purpose are not additional, only one NXM bonus will be credited. A maximum number of 1,200,000 DIP will be distributed which is expected to cover all contributions by DIP holders.

All bonus tokens, both DIP and NXM, will be allocated from existing tokens held by each projects foundation. No new token minting is occurring.