On-chain reinsurance firm OnRe unveils a product that offers digital asset investors a stable yield tied to real-world assets.

On Saturday, OnRe launched an innovative structured product that connects $225 billion of stable assets to the vast $750 billion reinsurance market.

On-chain reinsurance firm OnRe has unveiled a product that offers digital asset investors a stable yield tied to real-world assets.

Announced Saturday, the initiative combines $225 billion of stable assets with the vast $750 billion reinsurance market to provide investors with direct access to diversified, uncorrelated returns. It is also supported by Ethena ENA/USD, Solana SOL/USD integration and RockawayX.

Offering returns of up to 36.5% from reinsurance performance, collateral yield, and token incentives, the structured product is designed to provide a scalable and transparent way for investors to participate in the reinsurance market.

"This single, structured product is removing friction and opacity, offering investors a clear, scalable path to consistent, uncorrelated returns," said Ted Georgas, Co-Founder and CTO of OnRe.

By leveraging the speed and efficiency of Solana's blockchain, OnRe aims to facilitate a seamless flow of capital and boost operational efficiency. This, in turn, will enable a new class of investors to access and deploy capital for real-world returns on a large scale.

"This initiative truly embodies the spirit of collaboration and innovation that we strive for at OnRe," Georgas added.

"We are excited to be launching this product with the support of Ethena, Solana, and RockawayX, whose expertise and contributions have been invaluable in bringing this vision to life."

As the frequency and impact of natural disasters rise, efficient capital deployment is crucial. Protocols like OnRe, with their innovative approach to combining blockchain technology with traditional financial markets, are poised to play a pivotal role in this domain.

By linking digital assets to the reinsurance market, protocols like OnRe could diversify investment opportunities and enhance the efficiency of capital flow, potentially transforming the reinsurance market and making it more accessible and transparent for investors.