What is Nexus Mutual (NXM)?
Nexus Mutual is an Ethereum-based insurance protocol. The users essentially pool their funds in the risk-sharing pool to secure them from any misfortunes. Thus, the protocol is an alternative to traditional insurance companies, as it allows users to share risks with other users to avoid any third parties.
Primarily, Nexus Mutual offers smart contract insurance that secures any risks and bugs in smart contacts. However, in the future, the protocol plans to offer crypto wallet insurance, earthquake cover, and much more.
The protocol also has its own native token called NXM. Care to see the current NXM price? Check out the Nexus Mutual price chart featured above.
Use Cases of NXM Tokens
The Nexus Mutual token (NXM) complies with the ERC-20 token standard. So, what is it used for?
For starters, users of Nexus Mutual can take part in the governance process by holding NXM crypto assets. The more NXM coins they hold, the bigger their voting power is. Additionally, users can earn more NXM tokens through this process as their tokens are locked for a set period while they vote.
Though NXM can also be used for claim assessment, staking, and buying smart contract covers. Thus, NXM tokens function as Risk Assessors used for assessing the risks associated with a particular contract. When NXM is staked against a certain smart contract, it may lead to a decrease in the cost of the cover provided by that contract.
These are just some of the uses for Nexus Mutual tokens. Don't forget to check the current NXM price on the aforementioned Nexus Mutual price chart.
Who Founded Nexus Mutual?
Hugh Karp, an Actuary and insurance professional with more than 15 years of experience, is the founder of Nexus Mutual which was established in 2017. He has been a blockchain enthusiast for over ten years. Karp holds a Bachelor's degree in Actuarial Studies from the Australian National University. Before founding Nexus Mutual, Hugh served as CFO at LIFE, a British insurance firm. With his team of highly experienced professionals, he manages the company efficiently.
NXM Tokenomics
NXM tokens were not launched through an Initial Coin Offering (ICO) and they do not have a distribution scheme in place. No private sale transactions were conducted as all purchases are made through the Nexus Mutual platform. As of writing this, the total supply of NXM tokens reaches over 6.7 million. A portion of NXM tokens is regularly burned to keep inflation under control and ensure NXM price stability.
