Explaining Nexus Mutual 'WNXM' Coin - Can It Be A Good Investment?

Explaining Nexus Mutual 'WNXM' Coin - Can It Be A Good Investment?

2021-12-16 | Daniel Smith

Explaining Nexus Mutual 'WNXM' Coin - Can It Be A Good Investment?

Nexus Mutual is a decentralized platform that enables users to acquire insurance coverage from smart contract attacks, and the cryptocurrency is yet to be listed on coinmarketcap, despite the persistent decline of Bitcoin and the broader crypto market. There will constantly be hazards associated with engaging with cryptocurrencies, as evidenced by the recent theft of millions of dollars value of tokens from the Bitmart, AscendEX, and BadgerDAO exchanges by astute cybercriminals. A plethora of emerging partnerships and integrations with the Nexus Mutual protocol, an expanding overall valuation tied inside the Nexus Mutual ecosystem, and the project's capacity to effectively offer a shield to survivors of protocol exploits involving the loss of financing are three reasons for the abrupt price reversal of WNXM. Partnerships help to grow the Nexus Mutual ecosystem One of several main forces driving WNXM's recent resurgence appears to be new collaborations and protocol interoperability with other DeFi systems. Nexus Mutual's engineers lately had community calls with mStable, Balancer Labs, Alpaca Finance, Notional Finance, and PoolTogether. The program has also witnessed a continuous increase in the number of cover policies acquired, with some multi-million policies created in the previous week at Curve, Anchor, Stake DAO, and OlympusDAO. Nexus Mutual had a 53 percent rise in the number of policies provided between Nov. 22 and Nov. 29, as seen in the figure above, while the total value of the coverage given grew by 121 percent. The increased utilization caused a 125.8 percent rise in the protocol's premiums. The overall value locked is increasing The total amount locked on Nexus Mutual has also increased in the previous six months, with Defi Llama statistics showing the measure reaching a high of $780.58 million on November 9. Nexus Mutual's TVL is at $585.33 million, reflecting the steep market-wide decline that began the other week. Protocol customers can stake NXM tokens with ventures they believe are safe as financial backing for the coverage given. Users earn a payout on their staked tokens and a present average APY of 4.96 percent in exchange for supporting the coverage. Clients that are pleased with your products or services are beneficial to your business. The demonstrated track record of restoring victims' goods when they incur losses due to a smart contract vulnerability or protocol compromise is the third reason for Nexus Mutual's developing power and WNXM's price increase. Cream Finance, a technology that has experienced back-to-back damages in 2021 owing to hacking and flashes loan vulnerabilities, was among the DeFi platforms that had Nexus Mutual coverage prior to a $100 million attack. Fortunately, the Nexus Mutual group has compensated out several claims for lost monies to customers who acquired coverage prior to the hack. WNXM entered the green zone earlier on 11th December and hit a high of 77 about 57 hours until rising 49 percent the next day. However, at the reporting time, $63.93 USD, down over 1.59% for the day.

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