Replying to @ExponentFinance
3/ ONyc risk and Senior protection
ONyc generates yield from two sources:
→ reinsurance premiums
→ collateral base across T-bills, stablecoins, and RWAs
The key risk is a negative NAV event, most likely triggered by a large reinsurance claim. srONyc provides protection against this through a minimum Junior coverage of 20%, where Junior absorbs the first loss before Senior is affected
