ether.fi, a leading onchain neobank, has partnered with Nexus Mutual to secure the cryptocurrency industry’s largest-ever ETH Slashing Cover. The coverage protects ether.fi’s validators against up to 15,000 ETH in slashing penalties. This move addresses a key tail risk for ether.fi, which operates one of the largest validator sets on Ethereum. The protection was calculated to cover even the most extreme scenarios and exceeds all historical losses from ETH slashing combined. Both companies’ founders emphasized the importance of risk management in the partnership.
ether.fi has selected Nexus Mutual to provide the largest-ever ETH Slashing Cover in the crypto industry. The cover protects ether.fi’s validators against up to 15,000 ETH worth of slashing penalties.
As ether.fi sees rapid adoption from retail and institutional users, securing industry-leading protection against slashing risk is critical. The company has been strengthening its stack across infrastructure, risk management, operational security, and real-time defense systems.
Since ether.fi operates one of the largest validator sets on Ethereum, slashing is a real tail risk. The cover was calculated to protect ether.fi in even the most extreme scenarios and represents more than all historical losses from ETH slashing combined.
“We’ve always believed the safest protocols will ultimately win. That’s why we’ve invested heavily in audits, operational security, staking architecture, and now the largest insurance program in the industry. We are excited to partner with Nexus Mutual to make this a reality,” said Mike Silagadze, Founder & CEO of ether.fi.
“We’ve known the ether.fi team since before it was ether.fi, and they’ve been focused on risk from day one. Covering their users for up to 15,000 ETH in slashing penalties is a historic step, and we’re proud they chose Nexus Mutual to take it with them,” said Hugh Karp, Founder of Nexus Mutual.
ether.fi is an onchain neobank for digital asset management with $6 billion in AUM across Cash, Stake, and Liquid products. Nexus Mutual has covered more than $7 billion against smart contract hacks, slashing, and other digital asset risks since 2019.
