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DeFi’s Next Frontier: Institutional-Grade Insurance Primitives

DeFi’s Next Frontier: Institutional-Grade Insurance Primitives

Published:
2025-07-08 19:02:02
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BTCCSquare news:

Decentralized finance lacks a critical component that has underpinned traditional markets since the 1600s—robust insurance mechanisms. While DeFi's first wave focused on lending and exchanges, its next evolution requires sophisticated risk management frameworks to attract institutional capital.

The mathematical foundations of modern insurance trace back to 16th-century probability theory. From Cardano's games of chance to Gauss's normal distribution, these breakthroughs created the actuarial science that today's crypto markets desperately need to adopt.

|Square

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