Capital Mining
Last updated
Last updated
As a way to maintain a sufficient level of capital for insurance business, Capital Mining plays the foundation role in Nsure ecosystem (learn more about Capital Model). NSURE will be rewarded to participants who deposit ETH or other accepted assets into the Capital Pool, at a rate of 1.8 NSURE per Block, and distributed proportionally to all participants in the pool according to their stake.
Step 1: Go to Capital Mining -> Start Mining section, select the asset pool to which you would like to deposit your funds. Estimated APR is displayed for each pool.
Step 2: Click Convert nETH to deploy your ETH and mint nETH in accordance to current conversion rates. Conversion is determined by previous claims payouts; under which ETH-nETH may fluctuate.
Step 3: Click Approve to approve the contract deposit your nETH in the capital pool, once approved, click Start Mining.
On the Dashboard section, pools can be monitored, visualising MCR% metrics (learn more about MCR), total capital deployment within pools, individual share of a pool, available rewards together with the claim function to redeem the aforementioned mining rewards in NSURE.
Reward will be automatically claimed when more capital is injected or withdrew to save gas fee.
When you aim to redeem your accumulative rewards, go to Withdraw section and take 3 steps: unstaking nETH, withdrawing nETH and converting nETH back to Ether. Down below you will find the track-record of your wallet, including transaction IDs, time of execution, amount, corresponding pool as well as detail on the type of action.
To prevent malicious front-running of any event, a 14-day lock period is set for all participants, starting from the second when funds (nETH) is deposited into the capital pool.
If the Surplus Pool is lower than the MCR at any point in time, the remaining part would be locked from withdrawal from the Capital pool. During this lock time (if any), participants still benefit from the mining rewards distributed along the way.
In the unlikely event of the surplus pool not being able to cover the full payout needed for approved claims, the capital pool enter as reserve and utilised to cover the remaining capital needed for approved claim payouts. Participants in the capital pool will lose their investment proportional to their share of the capital pool, which reflects in the changing conversion ratio of ETH/nETH.
