KYC/Audit doesn't seem to deter bad actors It's a nice idea and it's definitely still an extra layer of security but it's not enough of a deterrent for some project owners to perform an exit scam.This is where the unique insured funding comes into its own.
Investors insure a portion of their investment over the total raise. This insurance and its amount are determined by the project owner.
If any fraud is detected in the first 3-day period after the launch, the insurance kicks in and the losses of the investors are covered from this fund. If the project owner fulfills the necessary conditions, all or some of the insurance fund can be withdrawn at the end of 3 days.
!If fraud is detected in a project, the project owner cannot claim the insurance back and the investors' losses are covered instead. This can usually take several business days. Investors are evaluated on their initial investments, transactions after launch are not taken into account.
We currently only support launches on Pinksale.
For projects that want to get a VIP badge, there is a KYC&Audit badge requirement on Pinksale.