What is covered, and what is not
The coverage terms in plain language: covered events, exclusions, limits, and the risks that remain yours.
Coverage through OpenCover · Not FDIC insured · Terms as of September 2026
The short version
- Eligible funds deployed through Coinstancy Pro are covered through OpenCover for up to 100% of their USD value, subject to the policy terms, limits and exclusions.
- Four protocol events trigger the coverage: code bugs, oracle failure, liquidation failure, malicious governance takeover.
- This is not deposit insurance. No FDIC or equivalent applies, and a stablecoin depeg or a rate below the grid is not an insured event.
- A claim is assessed against the policy, never automatic. The binding document is provided before the first deposit.
The OpenCover policy: exact scope.
Eligible funds deployed through Coinstancy Pro are covered through OpenCover for up to 100% of their USD value, subject to the policy terms, limits and exclusions. The coverage applies to a defined set of protocol events. It is not a guarantee on the balance.
This is not deposit insurance
FDIC insurance protects deposits held at an insured bank, up to a statutory amount, against the failure of that bank. No part of this product is a bank deposit and no FDIC or equivalent deposit insurance applies to it. What exists instead is a policy that responds to specific protocol failures. The two are different instruments and should not be compared line for line in a treasury policy.
Covered events: code bugs, oracles, liquidation, governance.
The coverage responds to smart contract code bugs and errors, and to certain economic events outside a protocol's intended operation. Four events are in scope. Everything else is not.
Covered
via OpenCoverNot covered
Smart contract code bugs and errors
A defect in the deployed contract code of a protocol the funds are allocated to — a logic error, a flawed upgrade, an exploitable function — that results in a loss of the deposited assets.
Oracle manipulation or oracle failure
A protocol prices collateral and positions from an external price feed. Coverage contemplates the case where that feed is manipulated or fails, and the protocol acts on a price that does not reflect the market.
Liquidation failure
Lending protocols rely on liquidations to keep positions solvent. Coverage contemplates the case where the liquidation mechanism does not execute as designed and the protocol is left with bad debt.
Malicious governance takeover
A protocol governed by token holders can be captured. Coverage contemplates a hostile party acquiring control of governance and passing a proposal that extracts user funds.
These descriptions summarize the intent of each covered event. Whether a given incident falls inside the coverage is determined by the policy wording, not by this page.
Explicit exclusions.
The exclusions matter more than the covered events when a finance team is sizing the exposure. Here they are, with the reason each one sits outside the policy.
Excluded · why it is outside the policy
If USDC trades below one dollar, the loss in USD value is yours. The policy covers protocol events, not the value of the underlying asset.
Rates are not guaranteed. A tier paying less than the grid published for the period is a commercial outcome, not an insured event.
Only the four listed protocol events trigger the coverage. A loss with any other cause falls outside it, whatever its size.
The policy document carries its own exclusions, conditions and definitions. Those terms govern; this page summarizes them and cannot extend them.
This is not a bank deposit. No FDIC, NCUA or equivalent deposit insurance applies to any part of the balance.
This list is a summary of the categories that most often come up in review. It does not replace the exclusions section of the policy document, which is provided in full before the first deposit.
Policy limits and caps.
The headline figure is up to 100% of the USD value of eligible funds. The word that carries the weight is "up to": the amount recoverable in any given event is set by the policy, not by the balance.
Coverage can reach 100% of the USD value of the eligible funds affected by a covered event. It is a ceiling, measured in USD, and it applies to the funds in scope at the time of the event — not to interest that had been projected, and not to any balance held outside the product.
Per-event caps, aggregate limits, waiting periods, deductibles and claim conditions live in the policy documentation. We do not restate those figures here, because a number on a marketing page is not the number a claim is settled against. You get the document before you fund.
A covered event does not by itself produce a payment. The claim is assessed against the policy terms and can be reduced or declined. Treat the coverage as a mitigation of a defined risk, not as a substitute for the capital being at risk.
If your review requires the exact limits before a first conversation, request the policy documentation and we will send it ahead of onboarding.
The risks that remain yours.
Coverage narrows the exposure. It does not remove it. These are the risks a finance team still carries after the policy is taken into account.
Stablecoin risk
A depeg of USDC, or a disruption at its issuer, affects the USD value of the balance and is outside the coverage.
Rate risk
The published grid is a rate as of a date, not a contractual commitment. Yield can move down, and the tier you enter is priced on conditions that can change.
Liquidity timing
Withdrawals are available within 48 hours, not same day. If your treasury policy requires intraday access to the full balance, this product does not meet it.
Early exit cost
Leaving a locked tier before term returns your capital and forfeits accrued interest. There is no penalty on the principal, but the yield earned to that point is lost.
Claim outcome
Coverage is a policy, not a guarantee of payment. A claim is assessed against the policy terms, limits and exclusions, and can be reduced or declined on those terms.
Operational and counterparty risk
Coinstancy manages allocation, monitoring and the withdrawal process. An operational failure on our side, or the discontinuation of the service, is a risk the policy does not address.
The conditions those risks attach to
How we select and review protocols.
Coverage is the second line of defense. The first is not allocating to a protocol we have not reviewed. Funds are deployed across Curve, Pendle, Balancer, Beefy, Aave and StakeDAO.
The review criteria, step by step
A protocol enters the allocation only after its contracts, its oracle design, its governance and its liquidity profile have been reviewed, and only for the pools we have reviewed — not the protocol as a whole.
Positions and protocol conditions are monitored on an ongoing basis. Changes to contracts, governance or oracle configuration are treated as events to reassess, not as background noise.
A protocol can be removed from the allocation. The criteria and the conditions under which we exit are set out in full on the protocol selection page.
Selected protocols
The six selection criteria
Curve 
Pendle 
Balancer 
Aave Selection is per pool, not per brand. Being on this list does not mean every pool on that protocol is used, and a protocol can be removed from the allocation without the list on this page being the reference — the current allocation is the one shown in your dashboard.
Available audits and reports.
What a review team can obtain, where it comes from, and what we deliberately do not publish on a marketing page.
Protocol audits
Published by each protocol on its own public repositories and documentation. The reports we reference are listed on the protocol selection page.
Policy documentation
The OpenCover terms, limits, conditions and exclusions are provided during onboarding, before the first deposit. They are the binding document.
KYB and contracting entity
Requirements by entity type, timelines, eligible jurisdictions and the contracting entity are set out on the compliance page.
What we do not publish here
We do not publish claim histories, per-claim caps or audit summaries of our own on this page. Where a figure is not sourced, it is not stated.
Where to take this next
This page covers the policy and the risk. Two pages carry the rest of what a finance review usually asks for: the protocol criteria and the public audits behind them, and the onboarding requirements with the contracting entity and fund segregation.
Request access, or ask the hard questions first.
Open an account directly. If your finance team needs the coverage terms and the KYB requirements before that, a call is the faster route.