Solution Overview

TIDAL is a decentralized discretionary mutual cover protocol that offers the DeFi community the ability to hedge against failure of any DeFi protocol or asset.

With TIDAL, mutual cover pools can be created where Liquidity Providers (LPs) can stake their stable coins to provide reserve capital to any pool. They receive the following two tokens in return: 1. Cover tokens with notional value equal the staked capital; 2. TIDAL governance tokens as an additional incentive for participating in the TIDAL ecosystem.

Within the ecosystem, LPs can select a pool with a combination of different protocols/tokens they wish to cover and provide capital to that mutual cover pool. Cover buyers can purchase the mutual coverage token for any specific protocol/token specified in any of the cover pools.

For cover buyers, key metrics such as premiums, reserve capital pool and pool insolvency risk will be available to ensure full disclosure and transparency. These parameters are monitored perpetually to ensure the highest degree of quality and safety. For LPs, metrics such as the return on deposited capital, loss-of-principal risk and lock-up period, will be provided to evaluate the returns and risks among different pools.