Polkadot has been getting a lot of trading and staking projects for some time now. The amount of projects investing into the Polkadot ecosystem for asset trading and the DeFi has been in rise this quarter. Yesterday an asset trading platform named Shadows Network has entered into partnership with the Bridge Mutual for integrating risk coverage widget into their trading platform. And that means people are likely to get covered for their risk within their asset trades.
Bridge mutual is known for the risk coverage of stablecoins, blockchains and smart contracts. Shadows network has tweeted about this partnership with the Bridge Mutual.
What does the Risk coverage would do in Asset Trading?
Most of the DeFi projects in every blockchain are lacking the risk coverage. And so the investors may feel like permission-less and secure contracts wont be broken. Still there are cases where the risk is likely to lead to the losses. A lot of risk can be managed with the coverage contracts and so they are being included into the DeFi projects. And Bridge Mutual is one such that has been working with many projects like Kylin, Yubido, Bondly etc.
Bridge mutual's inclusion in the asset trading platform will help the investors manage their risk in the trade from now onwards.
What This Means for Polkadot Blockchain?
There are countless DeFi projects out there on Polkadot Blockchain. And most of them are likely to get exploits, hacks, rug pulls and also few other events that could affect the investment and performance of the trading platforms. And risk coverage based widgets on trading platforms can be useful in this case to manage and secure the trade.
In short, you can say that managing risk and handling the DeFi on Polkadot without having to undermine DeFi platform would be possible through such type of the risk coverage projects. Keep an eye on Polkadot ecosystem as it'll build the new web and change the course for DeFi around the world.
