Thread by @InsurAce_io

1/ We have recently become aware of some strong allegations from @FatManTerra on Twitter that we would like to clarify for our community as well as the wider crypto space.

https://twitter.com/FatManTerra/status/1551511756446601216

2/ Firstly, we would like to issue our deepest sympathies to those affected by the collapse of Terra.

However, we would like to answer these allegations and show how they are nothing more than a witch-hunt against one of the few projects who protected Terra users.

3/ After UST De-Pegged, triggering an insurable event with us, we followed our documentation & processes to the letter.

The ensuing Group Claim meant we paid out $11.7 million to 170 affected UST users. This is the largest payout of its kind, a historic move for this industry.

4/ 98.6% of all claims were paid out following our process. Ninety Eight percent.

Unfortunately, a vocal few whose claims were rejected reached out to influencers instead of pursuing other courses of action.

5/ The voting system worked, voted on by stakers, despite facing losing 26% of their own staked assets, they voted to payout those who had lost 100% of their investments.

The team did not vote.

The vote was accepted by 96% of the votes.

6/ Some claims, which according to our documentation should have been excluded, were given a separate vote. The first was for having less than $1UST in the wallet at the time of purchase ($38k), and the second was for late claims after a deadline ($182k).

7/ These separate votes were rejected by the same voters as before, however, there was no potential loss to the stakers. Therefore, no motivation to vote in any biased direction. Thus, showing that they were indeed invalid claims.

8/ Whilst the system is not perfect, this is a huge, positive step for the industry and many aspects of systems and policy wordings are being immediately improved for clarity and efficiency.

We are excited to get back to business with these improvements in place.

9/ FatManTerra has been on a witch-hunt here to sustain his ‘fame’ at trying to take down builders in this space (he has done the same with others:

https://twitter.com/jt_hodlnaut/status/1545400574895566848?s=20&t=g441zZt4T0mdqkyQc_tvkQ

)

He has done a lot of good for Terra victims. But we are not the bad guys here. Quite the opposite.

10/ FatMan had communication with our senior team, both in private DMs and in public forums on Discord, where he helped to create a public poll on whether or not the wording of the claims was unfair.

Regularly he would take the side of the ‘victim’ ignoring the other sides.

11/ The poll was also voted down.

Obviously dissatisfied with something not going his way, Fatman has chosen to vilify us publicly, and anonymously.

12/ He repeatedly, publicly, said he would not contribute, or vote in these cases.
Nor did he help this community poll in any meaningful way when he had a platform to do so.
Not willing to participate but instead aggravating the situation, focusing on the negatives.

There is no actual care here beyond his own ‘fame’ at this point. Hence why there is no mention of the 98% of successful payouts, only negatives.

13/ We created a full blog post breaking down the UST De-Peg event and our response, it can be found here: insurace.io/blog/?p=3155

All claim records can be found here: data.insurace.io/claim-records

14/ CLARIFICATION ON MISINFORMATION FROM FATMAN:

> Our voting system is decentralized, anyone can buy INSUR tokens to stake, there’s a maximum vote of 5% per user.

> The ‘wording’ of proposals is presented as unbiased, the claims submitted by claimants is also included. To assume that voters do not read all of the information is to call them dumb or lazy.

15/ The issue surrounding one claimant holding less than $1UST is that they had 0.00091ust, dust leftover from the sale of 100% of their UST on an exchange. This presented sufficient ambiguity as to whether or not the ‘dust’ has value. The claim was rejected by 75% of the votes.

16/ Second case: Late Claims, <1.5% of the claims. 98% of claims arrived within the deadline. Tt can hardly be called “arbitrarily and unusually short”. The wording in the documentation was always clear that a deadline may be set. The claim was rejected by 90% of the votes.

17/ Calling this a scam or fraud, as FatMan has done on multiple occasions, implies someone benefited from not paying out claims, neither the team, nor stakers, nor INSUR token holders benefited from not paying out these separate cases.

The only benefit here now is for FatMan.

18/ We will continue to #buidl our protocol, this was a huge test for us and the whole of DeFi, and with a 98% payout, we can show that it works. There are many improvements we will continue to implement, and we will continue to make crypto safer for everyone.

19/ Don’t just take it from us, there are many examples of satisfied claim recipients.

20/ We’re happy to engage in more discussion on this, perhaps FatManTerra would be willing to participate in a Twitter Spaces with our CMO, Dan @vagrantcrypto.

Or, our founder Oliver (@insurance4web3) invites FatMan to a live stream debate on this topic.