Ethereum Slashing Cover

Access cover at InsurAce's buy cover page.

Summary

Please note that the summary below only briefly outlines some key terms of the Ethereum Slashing Cover. Purchase of Ethereum Slashing Cover amounts to acceptance of the full terms and conditions in InsurAce's Ethereum Slashing Cover Wording.

A. Cover Scope

Protects against direct loss of staked $ETH due to the covered validator(s) staked through the staking provider identified at cover purchase committing a slashable offence during the cover period, namely:

  1. Proposing and signing two different blocks for the same slot.

  2. Attesting to a block that "surrounds" another block (effectively changing history).

  3. "Double voting" by attesting to two candidates for the same block.

Please email a CSV file of the list of covered validator public keys you want covered together with your staking platform User ID (as registered during cover purchase) in the same email to operations@insurace.io.

Losses covered include:

  1. Immediate slashing penalty at the start of the covered validator's removal period;

  2. Correlation penalty that may be incurred midway during the removal period; and

  3. Minor attestation penalties during the removal period.

Cover period:

  • Starts after payment of contribution.

  • Ends when the cover matures, is cancelled, or is fully utilised.

Loss is determined by:

  • On-chain data

  • Staking platform's statement, notice or report

  • Limit cap set by cover amount

  • Any other evidence required by InsurAce

Exclusions that apply:

  • any assets of widely blacklisted wallets or marked by illegality

  • any assets that are not verifiable on-chain

  • any validators not disclosed by the cover purchaser in the covered validator list to InsurAce prior to a claimable risk event

  • loss due to suspicion, potential or possibility of a claimable risk event occurring being made public prior to transaction execution

  • penalties applied within the cover period due to any slashable offence committed prior to the Cover's commencement

  • missed rewards or revenue due to validator inactivity or applied penalties, including but not limited to staking rewards, fees, and MEV returns

  • loss due to any malfunction or programming flaw caused directly or indirectly by underlying blockchain changes or upgrades (e.g. the Ethereum merge)

  • any cover purchased from excluded jurisdictions according to Terms of Use

  • any fees, gas, utility, hardware, and any other related costs involved in operating or running the covered validator(s)

  • any cost or expenses which you are liable for to third-parties in connection with any claim or your use of the InsurAce platform

B. Claim Process

Step 1: File claim on the InsurAce dApp. Please be aware that:

  • Claims must be filed latest by the end of 15 days from cover expiry

  • Proof of loss must be filed within 7 days from date of filing claim

  • Duplicated claims or claims twice rejected will not be entertained

Step 2: File proof of loss, which includes:

  • CSV file of a list of slashed covered validators' public keys

  • statement, notice or report from staking platform identifying the claimant's slashed covered validators as operating under the staking platform during the claimable risk event

  • statement, notice or report from staking platform identifying the cause of the claimable risk event

  • references to any relevant on-chain transactions

  • any other evidence as deemed necessary by InsurAce emailed to operations@insurace.io

Step 3: The Advisory Board verifies the evidence with the staking platform and investigates the claim. The details and results of the investigation, including the cover payout decision, will be produced in a proposal.

Step 4: The claim is voted on by the claim assessors, or decided by the Advisory Board in the absence of quorum or consensus. If the claim is determined by claim assessor votes, the claimant shall have 72 hours to appeal the claim to the Advisory Board.

Step 5: The decision is released, followed by cover payout if any. Cover payout will only be paid to the cover buyer's withdrawal address as registered under his or her User ID with the staking platform.

C. Disclaimer

  • This cover is not a contract of insurance. It offers discretionary protection with the Advisory Board and claim assessors having full and final discretion on claim and cover payout approval.

  • InsurAce is not licensed or regulated by any regulator.

  • Completion of any cover payout is determined by sufficiency of assets in InsurAce's capital pools.

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