📄️ Staking
Staking plays a critical role in the protocol, as allocating staked CREED against cover products opens up available capacity, so other members can purchase cover. Previously, any member could participate in the risk assessment process, though there were technical barriers and cost prohibitive gas fees that prevented more members from staking CREED.
📄️ Staking pools
Risk is assessed and managed in individual staking pools. Instead of having one pooled staking contract, members with risk and pricing expertise can create a staking pool, manage CREED stakes, choose the cover products they want to open capacity for, and more. Each staking pool underwrites a definite number of cover products, opens up capacity for those cover products, and carries the risk of having CREED stakes burned to facilitate claim payouts for covers sold from that pool.