What is the Etherisc ICO?

Etherisc is a decentralized insurance protocol designed to build insurance products collectively. Etherisc uses blockchain technology to increase efficiency and thus cut costs and ideally increase payouts with the insurance scheme. The project aims to offer insurance against flight delays, hurricanes, cryptocurrency losses through theft, collateral protection on crypto-backed loans, crop insurance, social insurance, and more. The flight delay app is reportedly the first decentralized insurance scheme and is fully licensed and live with 100 paying customers on the app. The protocol enables anyone to come along and build and initiate their own insurance applications in an effort to increase the fairness and transparency of the insurance sector, rebalance the amount of money received by insurance companies compared to the user funds spent on insurance policies, enable lower operational costs, and make the purchase and sale of insurance more efficient.

How does Etherisc work?

Etherisc enables people to coordinate on creating decentralized insurance products. Customers can buy insurance using Etherisc’s DIP (decentralized insurance protocol) token, and third party payment services can offer the option of accept fiat payments for convenience. Equally, insurance settlements can be paid in fiat or crypto. DIP tokens are required for earning transaction fees/percentage of the insurance premiums. By staking DIP users provide collateral to guarantee future performance. Users can receive DIP tokens in exchange for providing their data, and the tooken is also used as a reward for services and as capital for insurance license providers. Essentially the project aims to tokenize risk itself. A risk pool holds funds in reserve to underwrite insurance policies and pay out predicted insurable events, and a separate reinsurance pool holds funds in the event of unexpected events incurring high costs. A risk-management system governs the issuance, supply, and inflation/deflation of a native app currency, and a token marketplace allows for the sale and trade of tokens.

Why is Etherisc unique?

Etherisc is the world’s first decentralized insurance protocol. Etherisc is not itself an insurance company, but a technology that allows for crowd-building of insurance dApps which aim to provide insurance premiums at a reduced rate for customers due to the less costly and more efficient method of handling operations via a decentralized blockchain program. The project’s goal is to cut out middlemen in the insurance process and allow for customized insurance policies that suit all parties. The project is divided in two, with a non-profit entity called Decentralized Insurance Foundation and a for-profit entity called Etherisc Holding AG. The DI Foundation’s goal is to keep the project open long-term, while the for-profit group is designed to give the team a chance to kickstart things with profitable activity early on and attract developers.

Who makes up the team behind Etherisc?

Christopher Mussenbrock is the CEO and Co-Founder, with a background in financial services. He was Managing Director at Parcit and Head of Corporate Development at Fiducia IT.

Stephan Karpischek is the Co-Founder and former Managing Director and Co-Founder of Disrupt Consulting, a firm operating in digital strategy consulting. He was also Business Analyst for USB Crypto 2.0 Innovation Lab and co-founded B9lab, a blockchain education initiative.

Renat Khasanshyn is Co-Founder and head of Product and Revenue. He’s a Venture Partner in Runa Capital and a Founder of Altoros, a company which helps startups digitize revenue.

Marie-Luise Meinhold is an Insurance Specialist working with the project and an entrepreneuse.

More details about the Etherisc ICO

The Trust Platform ICO will begin on 25 June 2018 with and end on 25 July or when tokens are sold. The whitelist is here. There are 1 billion tokens in total and 30% will be sold in the ICO. The tokens are called DIP and are ERC-20 compliant. Each token will be sold for US$0.10. The hard cap is US$30 million and there is no soft cap. Users will donate Ethereum via Ethereum wallets.

In the US, only accredited investors may participate. Early contributors can choose to lock tokens up for a year to receive bonuses of 10% - the minimum contribution for ECs is US$10,000.

Token distribution:

  • 30% for ICO (referred to as the Token Generation Event or TGE by the team).

  • 15% for team and early supporters

  • 10% for founders

  • 45% for DI Foundation

  • Projected use of contributions:

  • Currently unknown