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Native Protocol Cover

With Native Protocol Cover, your team can provide users with a base layer of protection for your protocol's TVL, or a portion thereof, up to $25M.

Covered Risks​

With Native Protocol Cover, you can protect your protocol's TVL against loss events caused by:

  • Smart contract exploits/hacks
  • Severe oracle failure/manipulation
  • Severe liquidation failure
  • Governance attacks

If you're interested in learning more about Native Protocol Cover and its protections, please reach out to our team.

Native Protocol Cover Wording​

For more information, read the full terms and conditions of Nexus Mutual's Native Protocol Cover.

Nexus Mutual's claim assessors use this cover wording as a reference when considering any Native Protocol Cover claim.

Proof of Loss​

When your team holds Native Protocol Cover and your protocol suffers a loss of funds, your team can file a claim and claim assessors will review your claim submission to determine whether your claim is valid.

For Native Protocol Cover claims, onchain proof of loss is required. You will file a claim and either sign a transaction using an address associated with your protocol or send a 0 value transaction with your team's multisig address to prove you are part of the Designated Protocol team.

Once you prove you are part of the Designated Protocol team, claim assessors can review the onchain history associated with the address to determine:

  • If the cover was active when the protocol's loss event occurred
  • If your protocol suffered a loss of funds and, if so, the amount of funds that were lost

Claim Filing Process​

After a loss event occurs, you will need to wait 14 days for the cool-down period to pass. The cool-down period applies for Native Protocol Cover Cover claims, per the cover wording.

  1. If your team holds Native Protocol Cover at the time the loss event occurs, you can submit a claim with supporting evidence, otherwise referred to as proof of loss.
    • You will need to include a technical analysis of the loss event demonstrating the cause of the loss and the extraction of funds from the Designated Protocol including references to the relevant blockchain transactions; and
    • You will choose to either sign a transaction using an address associated with your protocol or send a 0 value transaction with your team's multisig address to prove you are part of the Designated Protocol team.
  2. Claim assessors will review, discuss and vote to approve claims where proof of loss (i.e., your designated wallet address) shows that you have indeed suffered a loss of funds.
    • If your claim is approved, you will be able to redeem your claim payout after the 24-hour cool-down period passes in the Your Covers menu. You can also check your Dashboard to see the status of any active claims.
    • If your claim is denied, you will be able to file another claim with more supporting evidence

For a review of the claim assessment process, see the Claim Assessment section.