Leading Singapore-based blockchain protocol for digital insurance, Aigang Network has announced its mission to reinvent the insurance industry with blockchain technology.
[Note: This is a press release.]
The company has released a new whitepaper (v0.3) that outlines its plans in detail and offers a sizeable amount of new content, including a new roadmap. Aigang offers an automated insurance protocol, through the implementation of smart contracts and IoT devices.
The Aigang Network’s blockchain protocol provides future-tech digital insurance for Internet-of-Things (IoT) devices through Decentralized Autonomous Organization (DAO) and smart contracts. The company has focused its efforts on the insurance side of the technology sector and is set to release a new series of technology changes in the near future. Aigang’s recent demo app is built on Ethereum testnet and will be preceded by its mainnet release sometime in 2017.
Aigang’s latest update to its whitepaper sees many significant new additions that help users and investors to understand better the service and all the things it has to offer after the official launch.
Investing in DAO Insurance and Token Model
Aigang provides investors a chance to diversify their holdings by investing in pools of multiple products with varying levels of risk potential profit. The company has launched the demo for phone batteries, which can be applied to drones, smart cars, and many other popular products. The company’s new business model enables investors to back reserve pools directly and trade them on the secondary market.
Peer to Peer Investment Platform
Currently in alpha stage, Aigang’s peer to peer investment platform is being developed to meet several key targets:
- Perform calculation and build statistical models for needed reserves and risk assessment.
- Tokenize the reserves.
- To list all insurance product pools with assessed risk, predicted profit, etc.
- Enable investors to purchase tokens for various insurance product pools.
- Display complete investor profile: funds, projected earnings, risk and the status of each pool.
- Allow secondary market trading.
- Collect and monitor premiums, process claims, and payouts.
- This platform will be the protocol’s core, as it will enable full peer to peer insurance vision.
- It will cover many complex insurance parts and help automate the whole process.
- Device data tracking and claim processes.
- Aigang Protocol showcase: A Demo for Smartphones Battery Insurance.
- Insurance Pricing simulation with Machine Learning (Machine learning techniques will be used to capture the significant risk factors for pricing).
- Device Data Tracking and Claim Processes
Aigang’s IoT software has been developed to prevent the increasing level of fraud in the insurance market. The fraud is currently a big issue due to a lack of accurate data. The software is built for devices or product makers where API’s will be used to retrieve data about the device state. This software is designed to be able to process claims automatically and register the potential possibility and accuracy of the accident claim.
The policy holder must activate the claim manually, and the software does the rest. The Aigang software uses algorithms to access data validation, detect damage, data history, and machine learning to calculate the payout and validity of any claims. Initially, there will be a support team to monitor frauds until the protocol can be moved to fully autonomous insurance driven by AI and blockchain.
Aigang Protocol Showcase: Demo Battery Insurance for Smartphones
To showcase blockchain protocol for digital insurance, Aigang has chosen to use smartphones. Studies indicate that battery malfunction is the most common technical issue for today’s smartphones. This issue has been highlighted by a market trend in decreased warranty periods, resulting in expensive repairs and battery replacement for many owners.
To address this issue, Aigang has implemented risk assessment software that monitors the degradation of phone batteries. When the battery reaches a critical condition, the insurance payout is automatically processed and executed by smart contracts.
Insurance Pricing Simulation with Machine Learning
Aigang has introduced insurance pricing simulation and machine learning, embedded using smart contracts to govern risk selection pricing. This will be vital in ensuring the profitability of the portfolio, and appropriate return to investors. Machine learning techniques are used to capture the significant risk factors for pricing and to assure that the pricing structure captures the important risk factors of each policy.
Architecture of the Protocol
Based on their vision, Aigang has proposed an architectural model of its protocol and platform that they are currently in the process of developing with the primary goal to implement fully autonomous insurance. The company’s technical goal is to build a protocol on a blockchain which would enable community, companies, developers create insurance modules themselves, using its infrastructure.
Images courtesy of Aigang