What is RE
I. Project Introduction
1. What Is Re Protocol?
Re Protocol is a decentralized reinsurance protocol that connects stablecoin capital to regulated real-world reinsurance markets. Users deposit stablecoins into the Insurance Capital Layer (ICL) smart contract. The deposited funds are used to back fully collateralized reinsurance contracts, and depositors earn rewards in return. Yield is derived from both on-chain and off-chain sources, plus token-specific spreads. The protocol operates on multiple chains including Ethereum, Avalanche, and Arbitrum.
2. How Does Re Protocol Work?
Users deposit approved assets (such as USDC, USDe, sUSDe) into ICL smart contracts to mint one of two yield-bearing tokens. Funds are aggregated daily into a Fireblocks custody vault, held under multi-signature control, with balances published daily to Chainlink oracles. When licensed reinsurers draw funds pursuant to a Surplus Note, a portion of capital is transferred to U.S.-domiciled §114 reinsurance trust accounts, serving as compliant collateral for the reinsurer's policies. As reinsurance contracts mature and the actuarial team releases capital, liquidity flows back to the protocol, supporting reUSD redemptions and accruing yield for both tokens.
The protocol offers two tokens corresponding to different tranches in the capital structure:
reUSD (Basis-Plus, Senior Tranche): Yield is a blended rate (weighted average of SOFR and 7-day trailing sUSDe rate) plus a 250 basis point spread. It offers higher liquidity and supports instant redemption when capacity is available.
reUSDe (Insurance Alpha, Junior Tranche): Yield is the same blended rate plus an 850 basis point spread, in exchange for absorbing losses ahead of the senior tranche. Redemptions are quarterly. reUSDe has a minimum holding period of at least 40 days.
Capital Protection Layering: The reinsurer's own equity absorbs losses first, followed by reUSDe, with reUSD as the most senior tranche protected by the two layers below it.
3. Who Founded Re Protocol?
Karn Saroya, Co-Founder and CEO, graduated from MIT. He previously founded the venture-backed insurtech platform Cover (a licensed brokerage, later ceased operations) and earlier founded fashion app Stylekick (acquired by Shopify in 2015). He also previously worked in financial services consulting.
Funding Details:
September 2022: Re completed a $14 million Seed round led by Tribe Capital (incubated through its Tribe Crypto Labs), with participation from Framework Ventures, Morgan Creek Digital, Defy VC, Stratos, Exor, SiriusPoint, and others.
May 2024: Completed a $7 million funding round led by Electric Capital.
4. Re Protocol Tokenomics
RE is Re Protocol's governance token with a fixed total supply of 1 billion tokens, no inflationary mechanism, and no continuous minting plan. The token is used for governance via a stake-to-vote model, covering market access, incentive budgets, staking and delegation, committees, protocol upgrades, and shared resilience capital.
Token distribution:
Ecosystem (50%): Used for staking rewards, governance participation, liquidity, integrations, grants, market expansion, and ecosystem growth. 159.6 million tokens are circulating at TGE, with the remainder subject to linear vesting over 48 months.
Core Contributors (20%): Includes core contributors and advisors who build the protocol, governance systems, integrations, risk frameworks, and market infrastructure; 12-month cliff plus 36-month linear vesting.
Investors (17%): Strategic backers; 12-month cliff plus 36-month linear vesting.
Ecosystem Development Reserve (13%): Long-term reserve for future contributions and contributors.
5. Timeline of Key Milestones
September 2022: Re completed a $14 million Seed round, publicly debuted, and positioned itself as the first blockchain-powered reinsurance protocol, initially built on Avalanche.
May 2024: Completed a $7 million funding round led by Electric Capital.
June 18, 2026: $RE token officially launched.
II. Token Information
Token name: RE(Re)
III. Related Links
Website：https://re.xyz/
Explorers：https://etherscan.io/token/0x526526528f35ac738177003b8773b402b8df8143
Twitter：https://twitter.com/re
Note: The project introduction comes from the materials published or provided by the official project team, which is for reference only and does not constitute investment advice. HTX does not take responsibility for any resulting direct or indirect losses.
