Swych emergency insurance fund (Insurance Fund) is for all our users. By separating a percentage of the treasury,the team aims to offer a secure fund that will be used to recover part of the user's funds that are hacked or lost due to a weakness or flaw in Swych's systems.
Adding this fund allows us to ensure security for all of our users and will only be used in times of critical need. Note that depending on the severity of the breach, the insurance fund may not be able to cover all user's losses fully.
Before the insurance fund can be used, an investigation will be done into the reason behind how/why the breach occurred and if it fits within the criteria to use the funds.
The insurance fund does not cover "failed" projects. The funds cannot be used to recoup these losses if your value decreases within a project due to poor financial conditions, team decisions, or a project closing.
Swych is not responsible for the financial losses due to the users’ faults! For instance, if you have lost your crypto assets because of a stolen seed phrase, connecting to illegitimate websites, or a wallet hack, the Swych insurance fund will not cover the losses!