9.1 Arrow (ARR) Token
Last updated
Last updated
Arrow (ARR) is the governance token for InsuranceDAO.World, serving as the primary means for platform governance, staking, and premium distribution. It plays a vital role in ensuring the sustainability and growth of the InsuranceDAO.World ecosystem by enabling users to participate in decision-making and incentivizing long-term commitment.
The Arrow Token embodies the core principles of Arrow-Debreu securities, a pioneering concept in financial economics. Arrow-Debreu securities provide state-contingent claims, allowing for the precise allocation of risk across different states of the world.
In simple terms, Arrow-Debreu securities are assets designed to pay out under specific, defined conditions or “states” (e.g., High, Medium, Low). These securities create a complete market, meaning that all future contingencies (states) can be hedged against, and each state has a corresponding asset or claim.
The Arrow Token (ARR) mirrors this approach by providing dynamic coverage across various DeFi projects, NFTs, and real-world assets. The token is designed to ensure transparent, automated, and efficient risk management that adapts to real-time market conditions.
• Voting Power: Holders of ARR tokens can participate in DAO governance, casting votes on platform upgrades, risk parameter adjustments, and the introduction of new Verified Nodes.
• DAO Control: ARR tokens empower the community to shape the platform’s future by allowing users to propose changes and guide the ecosystem’s development.
• Stake ARR Tokens: Users can stake their ARR tokens to earn premium shares, staking rewards, and governance incentives.
• Yield Generation: Staking ARR tokens provides users with a steady yield, and they can earn rewards by participating in insurance pools and governance.
• Earn Premiums: ARR token holders can earn a share of premium payments collected by the platform for the coverage provided.
• Node Staking: By purchasing and staking Verified Nodes with ARR, participants gain access to decentralized coverage, further contributing to the ecosystem’s growth and stability.
The distribution of ARR tokens ensures decentralization and long-term stability. The allocation is designed to reward early participants, support platform growth, and incentivize ecosystem engagement.
• 20% - Angel Airdrops: A portion of ARR tokens will be distributed to early contributors and community members through airdrops.
• 40% - DAO Treasury: A significant portion is allocated to the DAO treasury, ensuring continued development, platform upgrades, and governance funding.
• 30% - Community Rewards: Tokens will be reserved for community incentives, rewarding users for their participation in staking, governance, and ecosystem growth.
• 10% - Team and Founders: A portion of tokens will be set aside for the founders and development team to ensure continued commitment to the platform’s success.
The ARR token launch is scheduled for Q2 2025, with detailed information to be released closer to the date. This will mark the start of governance, staking, and premium distribution.
