Price Model

PRICE Model - the new way of covering Political Sanctions, Reputation, Innovation Failure, Cyber Attack, Climate Change and Equity

We offer a hedging platform for PRICE risks embedded in a B2B ecosystem, bringing together risk management units and institutional investors in a blockchain based p2p approach supported by AI and an internal token.

Use Case

Political Sanctions

US Blacklist - Business with Iran

Result: Bankruptcy

Deutsche Forfait: It was not possible for the company to conduct business in dollars.

Protection against unjustified political sanctions

Trigger I: Blacklisted by USA
Trigger II: Increase of peer group sales (X percent)

Use Case

Innovation Failure

Result: approx. 2 bn € loss

Investment in a battery factory in Kamenz, Germany did not succeed – the competition was too strong (LG/Samsung).

Protection against loss due to innovation costs
(if the innovation fails)

Trigger I: Failure of Innovation (X RYS Hedging Sum)
Trigger II: Increase in Sales of Tesla Inc. (X percent)

Misinvestment in electric batteries

Use Case

Cyber Attack

Protection against cyber attack

Result: approx. 500 mn € loss

A German company of the Chemical industry got hacked by Russian hackers and customer data has been stolen.

Protection against loss due to Random / Reputation / Remediation
(if the system gets externally hacked)

Trigger I: Data theft through external hacker attack (X RYS Hedging Sum)
Trigger II: RYSKEX / SHE Cyber Index (Independent Oracle)

Use Case

Climate Change

Result: approx. 50 mn € loss

A German Energy corporate - specialized on alternative power generation - has too little wind movement in 2017.

Protection against loss due to loss of profit
(if the innovation fails)

Trigger I: Loss of profit X percent (X RYS Hedging Sum)
Trigger II: European Climate Stock (Independent Oracle)

Too little wind movement

Pilot Case

Equity

Heading sum: 3 Mio €

Oracle: Federal Bankruptcy Court (Parametric Approach: Payout trough blockchain in case of Chapter 11)

Protection against capital losses
(Chapter 11 of Tesla Inc.)

Trigger I: Chapter 11
Trigger II: n.n.