ChainCatcher reported that the synthetic dollar protocol Falcon Finance has announced the establishment of an Onchain Insurance Fund, aiming to enhance transparency, strengthen risk management, and provide protection for counterparties and institutional partners interacting with the protocol through structured safeguards.
The fund has an initial capital of 10 million USD, with USD1 chosen by Falcon Finance as the first reserve currency, and additional assets will be added in the future. At the same time, a portion of the protocol fees will also be injected into the insurance fund to ensure that the fund expands along with the development of the Falcon ecosystem, providing sustainable long-term protection for the ecosystem.