Nexus Mutual (NXM) price has declined today.
The price of Nexus Mutual (NXM) is $47.78 today with a 24-hour trading volume of $13,520.53. This represents a -3.40% price decline in the last 24 hours and a -8.20% price decline in the past 7 days. With a circulating supply of 6.8 Million NXM, Nexus Mutual is valued at a market cap of $323,046,364.
What is Nexus Mutual?
Nexus Mutual is a decentralized insurance protocol built on Ethereum that currently offers cover for smart contracts on the Ethereum blockchain, currently covering all the main defi protocols. Nexus Mutual offers coverage against smart contract failures, which protects against potential bugs in smart contract code.
The coverage intends to provide protection against financial losses that may be incurred due to hacks or exploits in the smart contract code. Note that smart contract cover only protects against “unintended uses” of smart contracts, so security events such as the loss of private keys or centralized exchange hacks are not covered. In December 2020, it released custody cover covering centralised custodians and lenders such as Celsius, Blockfi, and Nexo.
What is the NXM token?
NXM is the governance token for the Nexus Mutual protocol. It is used to buy cover, vote on governance decisions, and participate in Risk and Claims Assessments. It is also used to encourage capital provision and represents ownership to the mutual’s capital. As the mutual’s capital pool increases, the value of NXM will increase as well.
The token’s price is determined using a bonding curve which is affected by both the amount of capital the mutual has and the amount of capital it needs to meet all claims with a certain probability.
The NXM token is not traded on any exchange and is only used as an internal token for Nexus Mutual. To obtain the NXM token, one must register as a member of Nexus Mutual and go through the platform’s KYC and AML processes.
A one-time membership fee of 0.002 ETH will also be charged. Once approved though, members can then obtain coverage and enjoy all the benefits that the NXM token provides.
There is a "wrapped" version of the NXM token called Wrapped NXM (wNXM) that is freely transferable and can be bought on the open market through cryptocurrency exchanges. However, to make use of the wNXM token, it first needs to be unwrapped into NXM by a registered member of Nexus Mutual. After it is unwrapped, wNXM becomes NXM and can be used as usual on the platform.
How to check the financial health status of the Nexus Mutual protocol?
Relevant on-chain financial metrics can be found on https://nexustracker.io/.
How is the insurance coverage priced?
The price of cover is based on several criterias such as:
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Cover Amount
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Cover Period
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Amount of NXM tokens staked against the smart contract
How is risk assessment done on Nexus Mutual?
NXM holders can stake on various smart contract protocols to receive 50% of the premium sold. The programme allows up to 10x leverage, meaning with 100 NXM, the total amount of staking can go up to 1,000 NXM.
For example, if a staker has 100 NXM and stakes 100 NXM each on 10 protocols, he will receive 50% of the premium received from the 10 protocols. However, the staker risks losing the whole 100 NXM even if only one of the 10 protocols has a valid claim.
A project can incentivize staking by participating in a shield mining programme, by rewarding the project’s native token on top of NXM staking rewards in order to drive down the premium price. Premium price for a particular protocol will go down as more NXM tokens are staked against it.
How to purchase cover on Nexus Mutual?
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Users must first submit an application to become a member of Nexus Mutual.
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Specify which smart contract address users want cover for.
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Specify the Cover Amount, currency (ETH or DAI), and Cover Period.
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Generate a quote and process the transaction using an Ethereum wallet such as Metamask.
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You are now covered!
How to make a claim on Nexus Mutual?
Members must stake a deposit in the form of NXM tokens which comes from the 10% of NXM tokens that were locked when purchasing cover. The required deposit is 5% of NXM tokens, which means a member can submit a claim for assessment twice. If the claim is accepted the deposit is returned, otherwise it is burned.
Where can you buy Nexus Mutual?
NXM tokens have stopped trading 10 days ago on all exchanges listed on CoinGecko. Information will be updated if market activity resumes.
What is the daily trading volume of Nexus Mutual (NXM)?
The trading volume of Nexus Mutual (NXM) is $13,520.53 in the last 24 hours, representing a 0.00% increase from one day ago and signalling a recent rise in market activity.
What is the all-time high for Nexus Mutual (NXM)?
The highest price paid for Nexus Mutual (NXM) is $185.97, which was recorded on Nov 10, 2021 (over 1 year). Comparatively, the current price is -74.30% lower than the all-time high price.
What is the all-time low for Nexus Mutual (NXM)?
The lowest price paid for Nexus Mutual (NXM) is $6.96, which was recorded on Jul 22, 2020 (over 2 years). Comparatively, the current price is 586.20% higher than the all-time low price.
What is the market cap of Nexus Mutual (NXM)?
Market capitalization of Nexus Mutual (NXM) is $323,046,364 and is ranked #125 on CoinGecko today. Market cap is measured by multiplying token price with the circulating supply of NXM tokens (6.8 Million tokens are tradable on the market today).
What is the fully diluted valuation of Nexus Mutual (NXM)?
The fully diluted valuation (FDV) of Nexus Mutual (NXM) is $323,046,364. This is a statistical representation of the maximum market cap, assuming the maximum number of 6.8 Million NXM tokens are in circulation today. Depending on how the emission schedule of NXM tokens are designed, it might take multiple years before FDV is realized.
How does the price performance of Nexus Mutual compare against its peers?
With a price decline of -8.20% in the last 7 days, Nexus Mutual (NXM) is underperforming the global cryptocurrency market which is down -2.00%, while underperforming when compared to similar Ethereum Ecosystem cryptocurrencies which are up 12.70%.
What is the market sentiment of Nexus Mutual today?
The community is bearish as more than 50% of users are feeling bad about Nexus Mutual (NXM) today.
How to add Nexus Mutual (NXM) to MetaMask?
Adding Nexus Mutual (NXM) to MetaMask allows you to view your token holdings, trade on decentralized exchanges, and more. To add them, you’ll need to import NXM as a token. You can copy NXM’s contract address (0xd7c49cee7e9188cca6ad8ff264c1da2e69d4cf3b) and import it manually, or if you've installed MetaMask's chrome extension, add NXM to MetaMask with one click on CoinGecko.
Add NXM to MetaMask.
