Soteria (SOTE): What is it?

Soteria (SOTE) lets DeFi risks be shared via a blockchain.

There is a need for a decentralized solution to the Smart Contract problem in DeFi. Decentralized mutuals are the core concept of Soteria. All members share the risk and return associated with the contract.

A decentralized risk assessment and an initial stake pool will be funded by the developers and smart contract auditor.

Membership in Native Soteria is represented by the token. These tokens are used to participate in smart contracts as well as to assess claims and conduct underwriting. Each member owns a capital fund.

A group of members runs the business. Members decide on claims, not insurance companies. As a result of the token-based economic model, claims will be handled in a way that promotes mutual growth.

Token Distribution:

In the beginning, 10,000,000 SOTE tokens were offered by Soteria Mutual. This graph displays the token distribution for SOTE. Its internal economics are tightly tied to those of SOTE. Firstly, the price of SOTE is affected by prevailing conditions and capitalization levels; Secondly, SOTE is distributed to reward active members who contribute to risk assessment, claim assessment, and governance.

SOTE tokens represent membership rights. Those who purchase tokens own the funds. With Soteria, tokens are purchased and redeemed directly through the platform through a Continuous Token Model, a bonding curve, also known as a bonding curve. A genuine SOTE can only be wrapped in a WSOTE-style token that backs 1-1. While SOTEs can be traded between members, WSOTEs cannot be traded within the Soteria platform.

OVERVIEW:

 With the recent addition of an Insurance Function to BakerySwap, Soteria, a blockchain-based mutual to deal with DeFi risks, is about to offer insurance to BakerySwap users. In January, it was launched PancakeSwap, a form of insurance. The BakerySwap platform is the first NFT trading platform on Binance Smart Chain (BSC) with decentralized automated market-making (AMM). A Bakery NFT Supermarket and a Soteria mutual insurance based on Binance’s smart chain protect users from damages caused by unauthorized changes to smart contracts, theft of escrow funds, and other such risks, thereby protecting DeFi products.

After the launch of Soteria – a Mutual DeFi Insurance company – on January 13, 440 users signed up in just five days, and then on January 19, PancakeSwap users signed up, resulting in 590 members. A stake of 500,000 SOTE was staked on 20 January in five hours. SOTE’s IFO broke Pancake’s record of being 22.7 times over cashed on January 21. There are 1317 members of its network today (independent addresses).

Staking SOTE, a community-based insurance platform, allows users to both receive revenue and take risks by staking BNB; On the platform, Bakery will sell insurance services and users will be able to stake BNB to receive rewards for risk assessments. Holding tokens allows token holders to determine what type of insurance coverage a project is entitled to as well as the number of claims they wish to approve, etc.

The Binance Smart Chain (BSC) is home to BakerySwap and PancakeSwap decentralized finance (De-Fi) protocols. These decentralized finance programs (De-Fi) support swaps and yield farming, but only Bakery use NFTs.

Soteria: In collaboration with Bakeryswap

A new insurance offering from Sote was rolled out for Pancake users mid-month, and it was staked with 500,000 in 5 hours, another record of 22.7x overcapitalization, which is impressive. The Bakery platform benefits both from the expansion of users as well as the premiums, as the capital guarantees Bakery’s security performance.

In addition, the online contract offered by Soteria for Bakery insurance is beneficial for Bakery users. Users can access BakerySwap on the Stake page (see below) of the Soteria website after logging into their Soteria account, paying the 0.1BNB membership fee, and selecting it for their transaction.

To ensure that their transactions are secure, a small amount of premiums is paid to ensure their liquidity. Also, SOTE tokens are valuable; Soteria is a sort of liquidity pool. Sote’s community members can buy SOTE tokens using Bitcoin by depositing BNB. In it, users who supply liquidity can receive liquidity share tokens in exchange for liquidity share tokens issued by the fund pool, while liquidity providers can earn transaction fees in exchange for liquidity share tokens.

Its uniqueness:

With data mentioning the core demand of the current market, the security guarantee of every transaction, Soteria, a DeFi mutual insurance based on BSC, was launched on January 13 with 440 members by January 18 and reached 1,317 members today. Users on Soteria can ensure smart contracts between 30 and 365 days in advance. Insurances are priced by using SOTE tokens and are reimbursable with BNB.

Additionally, Soteria creates value in addition to managing risk and benefiting from liquidity pools. SOTE tokens are used to stake smart contracts and gain revenue. As a whole, the insurance industry is profitable from the high number of safe policies it generates. However, Soteria returns part of this profit to its users, meaning that even though the users buy insurance from SOTE or BNB, this profit comes to them. Aside from reducing the risk of loss for the user, Soteria gets to stake the premiums it earns through hedging back into the market.

Soteria has DeFi insurance functions, but users may also earn Wrapped SOTE if they participate in mining with a locked position (since SOTE tokens cannot be traded freely outside the platform, Wrapped SOTE enables users to freely sell and trade SOTE tokens).

In addition to integrating traditional insurance and using DeFi instruments. Soteria develops new projects with high quality through decentralized trading. The Soteria platform has such a high degree of construction freedom that in the future it will be used to develop new trading methods, reduce risks, and create even previously unimagined ways to use decentralized blockchain technology.

BSC’s Ecosystem is Enriched by Soteria

 DeFi’s frenzy has subsided amid the surging cryptocurrency market, but BSC’s latest project Soteria has once again brought the ecosystem’s full potential to the public’s attention. With its pervasive network that has been cast throughout the crypto world, BSC is finally closing it. On its 12th day of operation, Soteria Mutual Insurance has collected more than 1,300 users. A daily usage rate of approximately 10,000 is maintained by the head DApp Pancake, while smart contracts on Bakery have been worth over $1 million. If we examine the ecological map for BSC, we will see that many of the DeFi backed businesses have already settled on BSC and that these businesses have grown quite a bit on the platform. (NXM has had fewer than 4,000 users for almost a year.)

BSC’s ecosystem and BNB’s transaction scenario are bound to be affected significantly by Soteria. Simply from the launch of Pancake users’ insurance coverage, Soteria could enrich BSC’s ecosystem in its entirety.

BSC, Bakery, Pancake, and Soteria will continue the second wave of DeFi led by BSC as more people gain a deeper understanding of blockchain and the crypto market, and more capital is pouring in. BSC represents this wave – the spirit of reason, the intrinsic value of money, and the exoteric nature of finance.