It has been almost a year since we started developing the first product drafts of the Bridge Mutual Protocol. We spent these intense ten months building the world’s premier risk coverage platform, designed to be the most permission-less and decentralized platform on the market today.

The team has grown to over 30 people, and our vision has expanded exponentially into a suite of innovative products with a multi-year development plan. Today, another significant milestone is materializing in front of us: we are very happy to announce that the official launch of V1 Bridge Mutual will take place on the 9th of July 2021!

This date marks a key milestone in Bridge Mutual’s history so far, and the entire BMI team would like to thank Bridge Mutual’s community for its support and for sharing the vision of disrupting the world of coverage and decentralized risk pooling. As a token of our gratitude towards our community and amazing partners, we decided to kickstart our launch with a team-based Coverage Mining Event with almost 6 million BMI tokens as rewards to be distributed among participants.

The Coverage Mining Event will start on the 9th of July and will last for 14 days, ending on the 23rd of July 2021.

Bridge Mutual’s Coverage Mining Event advocates a fair launch approach, where early supporters, both individuals, and projects, will get the opportunity to accumulate a significant amount of BMI tokens and become relevant members in the upcoming DAO.

The rest of this article will discuss the details of the Coverage Mining Event.

Summary — During the event:

• Participants (both individual users and projects alike) will provide liquidity to their project coverage pools of choice. The higher the utilization ratio of the project coverage pool, the higher the APY for the coverage liquidity providers.
• Participants provide coverage liquidity in USDT stablecoins.
• Users will be able to create teams and compete against other teams for rewards. Teams will be ranked in order by the most amount of coverage they have provided.
• 5,500,000 BMI tokens will be distributed in emission to participants, with 450,000 BMI extra tokens being distributed to the top ten teams.
• In addition to that, the top individual contributors will receive special utility NFTs which will have meaningful effects on the Bridge Mutual ecosystem and will be tradeable on the secondary market.
• Only selected mainstream and partner projects’ coverage pools will be present on the platform during the event. After 14 days, any project can join the effort and take advantage of the rewards.

Registration of the teams will open on the day of the launch.

Detailed Description of the Coverage Mining Event

What is it?

Bridge Mutual’s Coverage Mining event kickstarts the creation and liquidity provision for Projects Coverage Pools.

Project Coverage Pools are the source of coverage for any given crypto project on the Bridge Mutual Platform. The bigger the Pool, the more coverage there is available to the users. The more coverage available, the higher the investors’ confidence and risk tolerance regarding the project being covered — users will naturally lock bigger portions of their assets into projects that they can get coverage for. The more they lock in various projects, the more coverage they’ll need. A positive spiral of risk — hedging. Wider availability of coverage should become a natural element of yield farming strategies and longer staking positions.

The process of creating coverage pools on Bridge Mutual will eventually be open and permission-less — everyone will be capable of creating and providing coverage liquidity for any project, and Bridge Mutual’s DAO will be responsible for assigning extra rewards distribution for those coverage liquidity providers. Supply and demand will be the primary forces determining the size and utilization ratio of the coverage pools.

During the Coverage Mining Event starting on the 9th of July, only pre-selected pools and whitelisted projects will be present on the platform. This is to ensure that rewards are distributed towards liquidity providers of established and reliable projects, which ensures a healthy start to our ecosystem.

During the event, which will last 14 days, our partner projects will provide some initial liquidity to their own pools, enabling their communities and others to buy coverage immediately. Any user is able to provide additional liquidity to these pools.

In exchange for their liquidity, coverage providers will receive yield (80% of all the premiums paid for coverage + a substantial part of the Coverage Mining Rewards + NFTs if they happen to be among the largest contributors).

Nearly 6,000,000 BMI tokens will be distributed among coverage liquidity providers throughout the event.

(Pic. 1: Coverage Mining Event, Project X positioning)