DeFi Insurance Protocols Compared: Lossless vs. Nexus…
By Damilola Esebame
AI summary of the source article
Crypto hack losses reached $3.4 billion in 2025, while less than 2% of DeFi total value locked is insured. Protocols including Nexus Mutual, Lossless, and InsurAce provide differing mechanisms to address these on-chain risks.
Why it matters
That gap has increased interest in DeFi insurance as a way to manage specific risks associated with decentralized finance.
Key facts
- Crypto hack losses reached $3.4 billion in 2025, and less than 2% of DeFi total value locked is covered by insurance.
- Nexus Mutual's capital pool held about 40,650 ETH worth roughly $92 million on 1 November 2026, with over $18.5 million in claims paid since 2019.
- Lossless Protocol embeds hack mitigation directly into smart contracts, while InsurAce offers multi-chain coverage with roughly $140,000 in total value locked.
Source excerpt · FinanceFeeds
KEY TAKEAWAYS Nexus Mutual's capital pool held approximately 40,650 ETH, worth around $92 million on 1 November 2026, while its own website has displayed approximately $190 million in capital. Lossless Protocol provides smart contract-level hack mitigation by integrating protection mechanisms into compatible token contracts, allowing suspicious transactions to be investigated and potentially rever…