- Analytics firm OpenCover’s report revealed that DeFi insurance companies paid out $34.4 million in claims in 2022.
- According to a LianAn Technology report, DeFi exploits across all blockchains totaled $3.64 Billion.
OpenCover, an analytics firm that specializes in decentralized finance (DeFi), released this report. report DeFi Insurance companies paid out $34.4 Million in claims in 2022, according to a report dated 22 March.
Notable DeFi claims include $22.5 million from Terra [USDT] ecosystem’s demise in May and $4.7 million from the demise of crypto exchange FTX in November.
OpenCover has been tracking data since 2005. Insurance companies have paid $36.9 Million in claims.
The report notes that despite the rise in payouts, only $231,000,000 in DeFi protocol funds had been insured. This represents 0.5% of industry’s total value.
The DeFi insurance now covers eight main categories: protocol loss coverage; stablecoin depeg coverage; yield token coverage; custodial account coverage; audit (smart contractual bug) coverage; slashing coverage to professional validators and other customized coverage.
The report mentions:
“At the time of writing, the total value of underwriting capital pools tracked by OpenCover amounts to $286 million (186k ETH) with a low of $210 million and high of $394 million in the last 9 months. The current value is 26% lower than the period maximum in USD terms.”
Source: OpenCover
In 2022, DeFi’s assets totaled $3.64 Billion
As per a January report The Chinese blockchain security firm LianAn Technology published DeFi exploits across all blockchains in 2022. It cost $3.64 Billion. This represents a 47.4% increase over the $2.44 Billion loss in 2021. Despite a decrease of 80% in total value locked during 2022, incidents rose. The majority of exploits were targeted at Ethereum [ETH], BNB Chain [BNB], and Solana [SOL].
52.5% of the 167 incidents that were notable in 2022 occurred in audited projects. 48.5% happened in non-audited. Hackers stole Tornado Cash in the amount of $1.40 billion. But, only $289 million was recovered by the company.
The global total of blockchain-related crimes in 2022, exempting financial crimes, was $13.7 billion. DeFi exploits ($3.6 Billion), multilevel marketing scams (1.0 Billion) and fraud ($830 M were the next most prominent.
Source: LianAn Technology. Footprint Analytics