DeHedge is the world’s first decentralized risk-hedging platform for cryptocurrency investors. DeHedge hedges investments in ICOs and cryptocurrencies, safeguarding investors in case of exchange rate fluctuations, scams, and project cancellations.
A DeHedge Token (DHT) is a commodity and an essential part of the platform. It is used as the hedging premium that triggers the creation of a blockchain record testifying the hedging. A hedged event is an event covered by a hedging contract. A hedging payout is the amount payable to the user in case of a hedged event.
A project token is a token of a hedged project. A scoring model is a model that assigns scores to projects in order to reflect their individual investment risks. A strike price is the price of a project token available at the time of getting hedging coverage. It will be paid to the user in case of a hedged event. The strike range is a range of project token prices fixed at the time of getting hedging coverage. The upper limit reflects the amount that will be pwd to the user in case of a hedged event. If the token price drops below the lower limit, a hedging policy terminates. The hedging reserves are the funds that guarantee fulfillment of DeHedge’s obligations under existing law and a hedging contract. The hedging reserves are increased through hedging premiums and stored in
Unearned premium reserves store hedged tokens, until a hedging policy expires or a hedged event occurs. Earned premium reserves store hedged tokens after a hedging policy expires. Unclaimed loss reserves store hedged tokens after a hedged event occurs and until a user files a claim. Unclaimed loss reserves are taken from the unearned premium reserves. We manage the reserves on a segregated basis while preserving the amount required to guarantee hedging liabilities.