Lenders! Reduce risk and turbo charge your loan portfolio growth

DeFi Loss Protection

Cibola replaces underwriting and borrower collateral with

instant loss protection for the $15T lending market.

Thank you! We'll keep you posted. In the meantime join us on Discord!

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The problem

Lending markets are prone to

default and volatility

1
Crypto lenders resort to excessive collateral demands from borrowers.
2
Crypto lenders incur significant lending losses.
3
Crypto lenders are unfamiliar with TradFi underwriting.

The solution

Set

Select the amount of loss coverage required, the trigger events approriate for your use case and the expiration date.

Pay

Deposit a premium based on a percentage of the coverage that you require.

Deploy

Your loss coverage is fully collateralized by skill-based P2P wagers placed on both sides of your set outcome.

All of the benefits.

None of the complexity.
Loss protection coverage means..

Lenders need to ask for less collateral from borrowers

Reduced risk means lenders can borrow capital at a lower APR%

Less collateral ask and lower APR % = more revenue for lenders

Common Questions

Not quite convinced?

Where can I place wagers on loss events?

You'll be able to place your skill based wagers on popular DEXs during the duration of the loss events.

What if no one places any wagers?

The pools will be suspended while you update your loss events and/or expiration date or closed and your premium returned to you.

Is this some type of insurance?

Cibola's loss protection coverage is inspired by Parametric insurance. Parametric insurance is a non-traditional type of insurance that agrees to make a payment upon the occurrence of a triggering event, which is specified by a parameter (or metric) that can be verified. Unlike traditional insurance, which pays out after assessing the actual damage incurred, parametric insurance works by using live data to determine when a payout is triggered.

Is Cibola loss protection just for lenders?

No. While we are initially focused on lending, we think Cibola loss protection is a good fit for asset volatility for token issuers and other use cases.

How long is coverage typically available for?

We encourage users seeking loss protection to set the expiration date to a term of less than 30 days.

Can I set multiple loss events?

Yes, users can set multiple loss events, enabling them to stack events across the term of their loan.