Insurance Pool
The Insurance Pool serves as a reserve fund, accumulating resources from the rewards distributed through completed auctions. When an auction concludes and a winner is determined, a portion of the gigaAsset tokens collected from the winning bid is allocated to this pool. These funds are specifically reserved to cover potential losses that may occur during the protocol's operations.
In addition to gigaAssets, governance tokens staked within the protocol may also serve as a reserve fund. These tokens can be used to pay rewards to stakers and address other potential losses, further enhancing the protocol's resilience and sustainability.
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