Bet against a default.
Open Coverage is SPICE's on-chain credit default swap (dCDS). A lender opens a cover position referencing a specific credit facility; on an attested default event the contract settles the full covered notional to the position holder.
Four contract states, settled on-chain.
Reference
Select a reference facility. The contract pulls its on-chain reputation score and the live coverage spread, quoted in basis points.
Open position
Open a cover position for a chosen notional. Protection collateral and counterparty are matched programmatically by the protocol.
Stream premium
Pay a periodic premium — bps of notional per interval — for the position tenor, priced continuously to reference risk.
Settle
On an attested credit event the contract pays the covered notional to the holder; absent a trigger, the position expires at tenor.
A credit default swap transfers default risk from a protection buyer to a protection seller, in exchange for a periodic premium.
The contract, at a glance.
- Instrument
- Decentralised credit default swap (dCDS)
- Reference asset
- Curated SPICE private-credit facility
- Covered notional
- Lender-defined, protected 1:1
- Premium
- Periodic, quoted in bps of notional
- Settlement trigger
- Attested on-chain credit / default event
- Tenor
- Matched to the reference facility
- Transferability
- Tokenised position · secondary-market liquid
The risk-transfer layer for on-chain private credit.
Full-notional protection
Cover the entire principal notional of a reference position. A verified credit event settles the covered amount to the holder — no haircut, no recovery wait.
Transparent spread
Coverage spreads are computed on-chain from borrower reputation and facility parameters and quoted in basis points. No opaque underwriting desk.
Composable & liquid
Positions are tokenised, transferable instruments. Open, hold, hedge or exit on the secondary market as exposure changes.