Decentralized DeFi insurance; who is building that?

It's quite interesting that there's a whole market opportunity but barely any product being launched to capitalize on it.

There's a couple of DeFi insurance solutions out there, but I'm inclined to conclude that none is a decentralized solution, so I don't bother to dig deeper.

Maybe people aren't sure how to build a decentralized DeFi insurance?

With several 100s of billions moving through decentralized finance protocols, demand for risk protection is growing just as quickly as the assets at stake.

There's nothing of a meaningful decentralized solution when it comes to DeFi insurance and that's incredibly disappointing.

I mean I get it, DeFi is high risk, but people wouldn't need insurance if it wasn't right?

A decentralized DeFi insurance would generally need to be based on pooled finance.

Participants pool capital to protect users against risks of DeFi protocols.

Users' premium payments create a yield source for these participants.

Risk is transferred and a new yield source is created.

Being decentralized means that there is less likelihood to be screwed.

I think that this is something a lot of people would show a great deal of interest in and I'm not just talking about users looking to insure their DeFi exposure but also people seeking new yield sources.

Decentralized DeFi insurance could easily be a 7%, at minimum, fresh yield source for liquidity providers and the fact that it doesn't yet exist, means there are significant solutions gaps in DeFi that hopefully will get filled over the next decade.

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