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Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
LABS
Services

Institutional Custodial Failure Coverage

Design and deploy custom on-chain insurance smart contracts to protect enterprise custodians and neobanks against catastrophic operational failures in digital asset storage.
Chainscore © 2026
overview
CORE SERVICE

Smart Contract Development

Secure, production-ready smart contracts built for scale and compliance.

We architect and deploy custom smart contracts that power your core business logic. Our development process ensures security-first design, gas optimization, and full audit readiness from day one.

Deploy with confidence. We've delivered over 50 contracts with zero critical vulnerabilities post-audit.

  • Protocols & Standards: ERC-20, ERC-721, ERC-1155, ERC-4626, and custom implementations.
  • Key Deliverables: Full test suites, deployment scripts, technical documentation, and post-launch monitoring.
  • Typical Timeline: MVP in 2-4 weeks, full production system in 6-8 weeks.
key-features-cards
ARCHITECTURE

Core Components of Our On-Chain Insurance Products

Our institutional-grade custodial failure coverage is built on a transparent, auditable, and automated on-chain architecture. Each component is engineered for security, compliance, and seamless integration with your existing custody stack.

04

Real-Time Risk & Solvency Dashboard

A dedicated portal providing live visibility into insurance pool health, coverage positions, capital adequacy ratios, and historical claims. Delivers institutional-grade reporting for compliance and risk management.

Live
Solvency Data
API-First
Integration
06

Capital Provider Portal

Secure interface for institutional capital providers to underwrite risk, stake funds, monitor yields, and manage positions. Designed for seamless integration with treasury management systems.

Institutional
Grade UI/UX
Permissioned
Access
benefits
TANGIBLE RESULTS

Business Outcomes for Custodians & Neobanks

Chainscore's Institutional Custodial Failure Coverage delivers measurable security and operational improvements, directly impacting your bottom line and client trust.

01

Zero Client Asset Loss

We guarantee coverage for digital assets lost due to smart contract exploits, private key compromise, or operational failures. This eliminates balance sheet liability and protects your institution's capital.

$0
Client Losses Covered
100%
Asset Coverage
02

Regulatory & Audit Readiness

Our coverage is structured as a verifiable financial instrument, providing clear documentation for auditors and regulators. Simplify compliance with frameworks like NYDFS, FINRA, and upcoming MiCA requirements.

24h
Proof of Coverage
SOC 2
Compliant
03

Enhanced Client Acquisition

Offer "insured custody" as a competitive differentiator. Attract high-net-worth individuals and institutional clients who require bank-grade security guarantees for their digital asset portfolios.

40%+
Faster Onboarding
0.5% AUM
Typical Premium
04

Operational Risk Mitigation

Transfer the technical risk of smart contract vulnerabilities and key management failures. Our team of blockchain security experts assumes the risk, allowing your team to focus on core banking operations.

99.9%
Uptime SLA
< 72h
Claim Resolution
05

Capital Efficiency & Balance Sheet Protection

Replace large, costly capital reserves with a predictable, off-balance-sheet insurance premium. Free up capital for revenue-generating activities while maintaining robust asset protection.

90%
Reserve Reduction
Predictable
Cost Structure
06

Market Expansion & New Products

Safely launch staking, DeFi yield, or tokenization services for clients. Our coverage acts as a safety net, enabling you to explore new revenue streams with managed risk.

2-4 weeks
New Product Launch
Full Audit
Protocol Support
Coverage for Institutional Asset Custody

Traditional vs. On-Chain Custodial Insurance

A direct comparison of legacy insurance models versus modern, transparent on-chain coverage for institutional digital asset custody solutions.

Coverage AspectTraditional InsuranceChainscore On-Chain Coverage

Coverage Trigger

Manual claims process, lengthy investigation

Automated, code-based triggers via on-chain oracles

Payout Certainty

Subject to underwriter approval and policy exclusions

Guaranteed, deterministic payout via immutable smart contracts

Transparency

Opaque policy terms and capital reserves

Fully transparent policy logic and real-time capital pool on-chain

Payout Speed

30-90+ days after claim validation

Instant to 72 hours, depending on finality and verification

Cost Structure

Annual premiums with complex actuarial models

Dynamic, risk-adjusted premiums based on real-time protocol metrics

Technical Integration

None; operates as a separate financial product

Direct API & smart contract integration with your custody stack

Coverage for Smart Contract Risk

Typically excluded or severely limited

Core coverage for validated failure modes and exploits

Capital Efficiency

Low; premiums fund general insurer liabilities

High; capital is pooled and deployed specifically for custody risk

how-we-deliver
METHODOLOGY

Our Development & Deployment Process

A structured, security-first approach to delivering institutional-grade custody failure coverage. We combine rigorous protocol design with rapid, compliant deployment.

01

Risk Assessment & Protocol Design

We analyze your custody architecture to identify single points of failure. Our team designs a custom coverage protocol using on-chain attestations and multi-sig governance, ensuring alignment with your specific risk profile and regulatory requirements.

48-72 hrs
Initial Design Sprint
100%
Coverage Customization
02

Smart Contract Development

Development of auditable, gas-optimized smart contracts for coverage pools, claims adjudication, and fund recovery. Built on Solidity 0.8+ with OpenZeppelin libraries, featuring pausable functions and upgradeability patterns for future-proofing.

OpenZeppelin
Security Standard
2-3 weeks
Core Build Time
03

Security Audit & Formal Verification

Every contract undergoes a multi-layered security review. This includes automated analysis (Slither, MythX), manual review by our in-house experts, and a final audit by a leading third-party firm like Trail of Bits or Quantstamp before mainnet deployment.

3rd-Party
Audit Mandatory
0 Critical
Bug Tolerance
04

Testnet Deployment & Simulation

Full deployment on a testnet (Sepolia, Holesky) for integration testing and failure scenario simulation. We conduct controlled stress tests simulating exchange hacks, validator slashing, and key loss events to validate protocol response.

50+
Failure Scenarios
1 week
Simulation Phase
05

Mainnet Launch & Fund Seeding

Secure, phased mainnet deployment starting with governance and factory contracts. We assist with the initial capitalization of the coverage pool from pre-committed institutional capital, ensuring immediate operational readiness.

< 72 hrs
Go-Live Window
Phased
Rollout Strategy
06

Monitoring & Incident Response

Post-launch, we provide 24/7 monitoring of on-chain activity and oracle feeds. Our team is on standby for immediate incident response, guiding the claims process and executing recovery functions as defined in the smart contract protocol.

24/7
Monitoring
< 1 hr
Response SLA
security-compliance
RELIABLE FOUNDATION

Blockchain Infrastructure for FinTechs

Enterprise-grade node infrastructure and APIs to power your financial applications.

We provide the foundational infrastructure so you can focus on building your product. Our managed services eliminate the operational overhead of running blockchain nodes in-house.

99.9% SLA uptime for mission-critical applications like payments and trading.

  • Multi-chain support: Ethereum, Polygon, Solana, Base, and other EVM chains.
  • Enhanced APIs: Historical data, real-time event streaming, and gas optimization tools.
  • Dedicated nodes: Isolated resources with predictable performance, no noisy neighbors.

Deploy a production-ready RPC endpoint in under 24 hours. We handle node synchronization, security patches, and disaster recovery, ensuring your application is always online.

Institutional Custodial Failure Coverage

Frequently Asked Questions

Get clear answers about our specialized insurance coverage for digital asset custody. Understand the process, coverage specifics, and how we protect your institution's holdings.

Our coverage is designed for institutional clients using qualified custodians. It protects against direct financial loss from specific, verifiable custodial failures. This includes:

  • Private Key Compromise: Unauthorized access leading to asset theft.
  • Internal Fraud: Malicious actions by custodian employees.
  • Physical Security Breaches: Theft from secure vaults or data centers.
  • Insolvency of Custodian: Loss of assets due to custodian bankruptcy.

It does not cover market value fluctuations, smart contract bugs in your own protocols, or losses from unauthorized user transactions.

ENQUIRY

Get In Touch
today.

Our experts will offer a free quote and a 30min call to discuss your project.

NDA Protected
24h Response
Directly to Engineering Team
10+
Protocols Shipped
$20M+
TVL Overall
NDA Protected Directly to Engineering Team