A financial index is used as a benchmark to scale the movement and performance of market segments.
Starting 2022 on a strong note!
Otonomi’s Data & Analytics team is psyched to introduce the first-ever smart-contract-powered air freight insurance index.
The vision behind the index is to provide you with an informative, balanced snapshot of the supply chain sector’s real-time performance.
The sector has been hampered by significant delays and interruptions in the light of the Suez Canal debacle and more recent backlog in the port of LA and Long Beach. We are bringing transparency to an awfully opaque industry.
Blockchain is everywhere in the industry but it’s difficult to find useful information as we are surrounded by crypto memes and altcoins. It’s time for real-life assets blockchain applications!
Our index OTO-USA-1 is bound to unlock unique cargo assets investment potential and create a bridge between insurance capital capacity and crypto capital markets.
It’s time for the whole transportation industry to get a unique insight into cargo delays & interruptions insurance data.
How does the index work?
- The OTO-USA-1 index replicates a blended basket of air cargo delay insurance policies, managed on Web3 and the blockchain, with data provided using Chainlink oracles and OAG aviation data.
- The deployed smart contracts represent unique air cargo insurance policies (e.g. JFK — LAX air shipment).
- We track the performance of those air cargo smart policies on a daily basis.
- The blended index price is calculated as the weighted-average price of each underlying air freight contract in the portfolio.
- Relative weights are recalibrated on a quarterly basis, based on market volumetrics.
What are the main benefits of our OTO-USA-1 index?
- The index gives you access to the real-time performance of the supply chain sector.
- Trends, underperformance, and recovery are swiftly and accurately captured by the index price.
- It provides a comprehensive snapshot of the market behaviors.
- The index opens up future investment and hedging opportunities to buy-side investors, hedge funds, assets managers, bankers, and insurers.
- Since this index is blockchain-native, it is bound to create a bridge between crypto traders and the insurance market, leveraging a unique decentralized insurance model.
Check out our live index screen within our newly released website:
(Click the link to learn more)
We are very excited about the launch of our index in collaboration with Nasdaq. Our index is now available through Nasdaq Global Index Data Services platform, making it widely available through their third-party distribution network.
We model and calculate our index data using best-in-class technology from OAG (aviation data provider) and Chainlink (blockchain oracle solution).
We will continue to innovate in the DeFi space and will soon propose exciting products in automated trading and token economics.
Keep following us as we have more news to come in 2022.
OTONOMI is a blockchain-enabled parametric platform that transforms cargo insurance policies into fast, cost-effective, and transparent digital products.
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