Nexus Mutual is a decentralized insurance protocol built on Ethereum that offers blockchain-native alternatives to traditional coverage. Operating as a discretionary mutual, it allows members to pool capital in a shared Capital Pool and underwrite various types of risk, ranging from smart contract exploits and exchange hacks to validator slashing and custody breaches. Coverage is purchased via the Nexus app and issued as ERC-721 NFTs, which detail the scope and duration of the protection. Members who hold NXM tokens participate in every layer of the protocol’s governance and operations: from assessing claims and staking capital to voting on proposals and adjusting parameters. The Capital Pool, composed of ETH, USDC, and cbBTC, receives all cover premiums and funds valid claims, with its solvency and growth governed by the Minimum Capital Requirement (MCR). The NXM token uses a Ratcheting Automated Market Maker (RAMM) to determine price and issuance based on how well the pool is capitalized, ensuring dynamic alignment between risk exposure and funding. NXM is non-transferable and only available through the Nexus Mutual app, while wrapped NXM (wNXM) enables ERC-20 trading on exchanges like Binance, Gate.io, and Uniswap. Users can purchase cover, stake to earn fees from underwriting, vote on claims and governance proposals, or redeem their capital depending on the health of the Capital Pool. Nexus Mutual’s model blends cooperative risk sharing, community-driven governance, and on-chain infrastructure to create a robust, transparent insurance alternative for DeFi and Web3 users.