On Re

OnRe, the world's on-chain reinsurance company, is licensed to accept digital assets as collateral for writing reinsurance, bringing uncorrelated, consistent real-world returns to crypto capital markets, at scale. Denominated in sUSDe, our reinsurance pool represents a novel structured product, generates a reinsurance return that is uncorrelated to crypto volatility (~12%), with additional sUSDe yields and token incentives providing upside in stronger market conditions. It’s a use case that effectively combines DeFi and TradFi. By utilizing sUSDe as a collateral for reinsurance, OnRe offers double the upside potential of comparable traditional products, while substantially reducing the risk of principal impairment.

OnRe is the global leader in capital modelling for digital assets. The team have developed, alongside the regulators, a view on how stable, digital asset collateral is treated on a reinsurance balance sheet for underwriting purposes. Using the Bermuda Solvency Capital Requirement model, the team can factor in FX risk, credit risk, counterparty risk and other elements of the collateral, including considerations such as custody, audits, structure and other safety measures.