Use Case Examination - Risk Securitization
Monax is the company behind eris, an open platform for
developers and devops to build, ship, and run
blockchain-based applications for business ecosystems.
Monax sells legally compliant smart contract-based
SDKs and premium support to accelerate your time to
market with sophisticated ecosystem applications.
What are blockchains, smart contracts, & ecosystem applications?
Blockchains
Event logs
assumed to be operated
and ordered across
multiple organizations
Who did
what
when
Data Assurance
across organizations
For more information click here
Smart Contracts
Scripts
assumed to be operated
and verified across
multiple organizations
Who did
what
how
Process Assurance
across organizations
For more information click here
Ecosystem Applications
Applications operated
by multiple organizations
The real paradigm
shift
For more information click here
What is risk securitization?
Risk securitization seeks to encapsulate risk into a
securitized instrument that can be bought and sold on
markets.
Risk securities use a risk index to value the security or a
specified loss event and explicitly factor risk factors
into pricing of the instrument.
Risk securities allow us to leverage markets to insure
big, complex events.
Catastrophe Bonds
Debt instrument meant
to raise money in case of
a catastrophe such as a
hurricane or earthquake.
Resilience Bonds
Link catastrophe bonds
with capital investments
in resilient infrastructure
to reduce losses.
The ecosystem of resilience bonds
What problems do risk securitization systems need to address?
Authenticity & attribution
costs
(is the data reliable?)
Reconciliation costs
(is the data current?)
Coordination costs
(humans to coordinate = $)
Problem...
Authenticity & attribution
costs
(is the data reliable?)
Reconciliation costs
(is the data current?)
Coordination costs
(humans to coordinate = $)
Problem...
Chain of custody over data
(is the data used by pricing
models accurate?)
Project Management
(are the capital projects on
track?)
Super-organization focus
(how will rebates work?)
Requirement...
Authenticity & attribution
costs
(is the data reliable?)
Reconciliation costs
(is the data current?)
Coordination costs
(humans to coordinate = $)
Problem...
Chain of custody over data
(is the data used by pricing
models accurate?)
Project Management
(are the capital projects on
track?)
Super-organization focus
(how will rebates work?)
Requirement...
Data Assurance
across organizations
Process Assurance
across organizations
New Opportunities
to co-create value
Ecosystem Apps Provide...
Why are ecosystem applications a good fit for resiliency bonds?
Data Assurance
across organizations
Process Assurance
across organizations
New Opportunities
to create value
Ecosystem Apps Provide...
Chain of custody over data
(is the data used by pricing
models accurate?)
Project Management
(are the capital projects on
track?)
Super-organization focus
(how and when will rebates
flow?)
Requirement...
Data Assurance
across organizations
Process Assurance
across organizations
New Opportunities
to create value
Ecosystem Apps Provide...
Fidelity over pricing model
data, even in novel markets
End to end lens on resilient
infrastructure processes
Optimize instrument’s
objectives across
stakeholders
Benefit...
Chain of custody over data
(is the data used by pricing
models accurate?)
Project Management
(are the capital projects on
track?)
Super-organization focus
(how and when will rebates
flow?)
Requirement...
What would a risk securitization ecosystem application look like?
Sample Network Architecture
Sample Application Architecture
Sample Operational Architecture
How could this ecosystem application move into production?
Educate
Value proposition clear
Mindset shift understood
Experiment
Explore viable use cases
Identify production path
Prototype
Remove scaffolding
Extend participants
Go Live!
Harden, harden, harden
Governance framework
How can Monax help you build this, or another, ecosystem application?
Software Development
Kits
Our SDKs allow your team
to focus on your
application's true
potential.
Addon Modules
We have a range of
add-on modules for our
SDKs providing turn-key
solutions for specific
uses.
For more information click here
Support
Our support packages
help teams reduce the
friction of building
ecosystem applications
that will resonate in the
marketplace.
Education
Every support package
includes access to
monthly learning
sessions with our
industry-leading
engineering team.
For more information click here
Monax products recommended
for this use case:
● eris: The Ecosystem Application Platform
● Insurance SDK
● Dual integration addon module
● Business process modelling addon module
● Claims management addon module
● Catastrophe bonds addon module (Q2, 2017)
● Parametric insurance addon module (Q2, 2017)
● Insurance SDK Apache Camel plugin (Q3, 2017)
● Enterprise package - Monax premium support &
education
Contact the Marmots!
Build your ecosystem applications
with Monax

Smart contract use case examination: insurance linked securities

  • 1.
    Use Case Examination- Risk Securitization
  • 2.
    Monax is thecompany behind eris, an open platform for developers and devops to build, ship, and run blockchain-based applications for business ecosystems. Monax sells legally compliant smart contract-based SDKs and premium support to accelerate your time to market with sophisticated ecosystem applications.
  • 3.
    What are blockchains,smart contracts, & ecosystem applications?
  • 4.
    Blockchains Event logs assumed tobe operated and ordered across multiple organizations Who did what when Data Assurance across organizations For more information click here
  • 5.
    Smart Contracts Scripts assumed tobe operated and verified across multiple organizations Who did what how Process Assurance across organizations For more information click here
  • 6.
    Ecosystem Applications Applications operated bymultiple organizations The real paradigm shift For more information click here
  • 7.
    What is risksecuritization?
  • 8.
    Risk securitization seeksto encapsulate risk into a securitized instrument that can be bought and sold on markets. Risk securities use a risk index to value the security or a specified loss event and explicitly factor risk factors into pricing of the instrument. Risk securities allow us to leverage markets to insure big, complex events.
  • 9.
    Catastrophe Bonds Debt instrumentmeant to raise money in case of a catastrophe such as a hurricane or earthquake. Resilience Bonds Link catastrophe bonds with capital investments in resilient infrastructure to reduce losses.
  • 10.
    The ecosystem ofresilience bonds
  • 11.
    What problems dorisk securitization systems need to address?
  • 12.
    Authenticity & attribution costs (isthe data reliable?) Reconciliation costs (is the data current?) Coordination costs (humans to coordinate = $) Problem...
  • 13.
    Authenticity & attribution costs (isthe data reliable?) Reconciliation costs (is the data current?) Coordination costs (humans to coordinate = $) Problem... Chain of custody over data (is the data used by pricing models accurate?) Project Management (are the capital projects on track?) Super-organization focus (how will rebates work?) Requirement...
  • 14.
    Authenticity & attribution costs (isthe data reliable?) Reconciliation costs (is the data current?) Coordination costs (humans to coordinate = $) Problem... Chain of custody over data (is the data used by pricing models accurate?) Project Management (are the capital projects on track?) Super-organization focus (how will rebates work?) Requirement... Data Assurance across organizations Process Assurance across organizations New Opportunities to co-create value Ecosystem Apps Provide...
  • 15.
    Why are ecosystemapplications a good fit for resiliency bonds?
  • 16.
    Data Assurance across organizations ProcessAssurance across organizations New Opportunities to create value Ecosystem Apps Provide... Chain of custody over data (is the data used by pricing models accurate?) Project Management (are the capital projects on track?) Super-organization focus (how and when will rebates flow?) Requirement...
  • 17.
    Data Assurance across organizations ProcessAssurance across organizations New Opportunities to create value Ecosystem Apps Provide... Fidelity over pricing model data, even in novel markets End to end lens on resilient infrastructure processes Optimize instrument’s objectives across stakeholders Benefit... Chain of custody over data (is the data used by pricing models accurate?) Project Management (are the capital projects on track?) Super-organization focus (how and when will rebates flow?) Requirement...
  • 18.
    What would arisk securitization ecosystem application look like?
  • 19.
  • 20.
  • 21.
  • 22.
    How could thisecosystem application move into production?
  • 23.
    Educate Value proposition clear Mindsetshift understood Experiment Explore viable use cases Identify production path
  • 24.
    Prototype Remove scaffolding Extend participants GoLive! Harden, harden, harden Governance framework
  • 25.
    How can Monaxhelp you build this, or another, ecosystem application?
  • 26.
    Software Development Kits Our SDKsallow your team to focus on your application's true potential. Addon Modules We have a range of add-on modules for our SDKs providing turn-key solutions for specific uses. For more information click here
  • 27.
    Support Our support packages helpteams reduce the friction of building ecosystem applications that will resonate in the marketplace. Education Every support package includes access to monthly learning sessions with our industry-leading engineering team. For more information click here
  • 28.
    Monax products recommended forthis use case: ● eris: The Ecosystem Application Platform ● Insurance SDK ● Dual integration addon module ● Business process modelling addon module ● Claims management addon module ● Catastrophe bonds addon module (Q2, 2017) ● Parametric insurance addon module (Q2, 2017) ● Insurance SDK Apache Camel plugin (Q3, 2017) ● Enterprise package - Monax premium support & education
  • 29.
    Contact the Marmots! Buildyour ecosystem applications with Monax