More on quadratic funding - Insurance

Decentralized insurance aims to make insurance cheaper, faster to pay out, and more transparent. With more automation, coverage is more affordable and payouts are a lot quicker. The data used to decide on your claim is completely transparent.

Ethereum products, like any software, can suffer from bugs and exploits. So right now a lot of insurance products in the space focus on protecting their users against loss of funds. However there are projects starting to build out coverage for everything life can throw at us.

A good example of this is Etherisc's Crop cover which aims to protect smallholder farmers in Kenya against droughts and flooding. Decentralized insurance can provide cheaper cover for farmers who are often priced out of traditional insurance. Click here for more information: Machine Learning

This sounds odd. "Why would I want to program my money"? However, this is more just a default feature of tokens on Ethereum. Anyone can program logic into payments. So you can get the control and security of Bitcoin mixed with the services provided by financial institutions.

This lets you do things with cryptocurrencies that you can't do with Bitcoin like lending and borrowing, scheduling payments, investing in index funds and more. With so much going on, you'll need a way to keep track of all your investments, loans, and trades.

 There are a host of products that let you coordinate all your DeFi activity from one place. This is the beauty of DeFi's open architecture. Teams can build out interfaces where you can't just see your balances across products; you can use their features too.

You might find this useful as you explore more of DeFi. You can think of DeFi in layers:

·         The blockchain – Ethereum contains the transaction history and state of accounts.

·         The assets – ETH and the other tokens currencies.

·         The protocols – smart contracts that provide the functionality, for example a service that allows for decentralized lending of assets.

·         The applications – the products we use to manage and access the protocols.

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