Insurance Fund

In addition to these robust security measures, Avant has established an Insurance Fund to provide an extra layer of financial protection for our users. Initially, all revenue derived from the operational yield cut and the redistribution from unstaked avUSD is directed entirely to this fund.

Purpose of the Insurance Fund

• Mitigation of Black Swan Events: The fund is designed to cover potential losses from unforeseen events such as DeFi exploits, smart contract vulnerabilities, or systemic failures.

• Financial Safeguard: It acts as a safety net, ensuring that users' assets are protected even under adverse conditions.

Management of the Insurance Fund

• Held in Liquid Stablecoins: Contributions are held in highly liquid stablecoins, providing immediate accessibility when needed.

• Prudent Deployment: To further grow the fund without compromising security, these assets may be prudently deployed in secure DeFi protocols. This strategy allows the fund to increase in size while maintaining liquidity and minimizing risk.

Commitment to User Protection

Avant's comprehensive approach to security demonstrates our unwavering commitment to protecting our users and their assets. By combining the expertise of leading security firms, the advanced technologies of Fireblocks and Hypernative, and our own stringent security practices, we strive to provide a platform that is not only innovative and high-performing but also exceptionally safe and trustworthy.

Our users can participate in Avant's ecosystem with confidence, knowing that we prioritize security at every level of our operations. This security-first approach is fundamental to Avant's mission of building a more inclusive and equitable financial system, where users worldwide can access advanced financial tools without compromising on safety.