Parea Profiles: Day By Day

9 min readApr 10, 2022

Welcome to Parea Profiles! This is a series where we will be creating profiles for each of our public investments in the cryptocurrency/blockchain space. Stay tuned weekly! If you don’t know who we are, check out this article to get acquainted with the best community-based crypto investment club in the Algorand ecosystem!

Our first profile is on Day By Day, who are building #InsureFi on Algorand.

Background and Web 2.0 Origins

Day By Day is reimagining insurance using NFTs and DeFi to make it fair, accessible, and transparent for its users. Day By Day was developed by Asta Solutions in Melbourne, Australia. Bill Angelidis, the founder and CEO, wanted to create an easier, more logical way to keep assets recorded. The solution that they developed allows for customers to easily prove ownership, and makes their claims process easier and quicker. Backed by numerous notable partners including Algorand, Polygon, and of course ourselves (Parea Capital), Day By Day is attempting to take their solution to Web 3.0. Between its asset registry app, InsureFi platform, and $DBD tokens, customers can take better control over their assets and insurance, with complete visibility.

History

The idea first came after Asta Solutions experienced firsthand the limitations of existing insurance. They needed two completely separate claims after water damage resulted in significant IT equipment damage, which impacted their customer base. To prevent future problems like this from emerging for both businesses and individuals alike, Day By Day was founded to help people deal with insurance claims in a faster, more transparent manner. With a functioning Web 2.0 platform that was built in 2018, Day By Day is building its infrastructure on Algorand to enter Web 3.0.

Team

Partners

Asset Registry App

Day By Day created its existing Web 2.0 business management platform in 2018, and its asset registry mobile app connects to its Web 3.0 technology to make insurance trustworthy and transparent. The app uses blockchain technology and offers both security and accessibility to keep up to date with all insurance information. $DBD tokens, in this Web 2.0 proposition, are used as a reward system that can be exchanged for vouchers to be used in Australian stores, and currently Amazon (05/04/22) as well. Customers are rewarded for keeping their asset information up-to-date, which allows for transparency and accuracy in calculating the value of their holdings. The billions excluded from insurance can just use an app and insure their assets securely. After the scale of development in the last two years in the blockchain and crypto space, Day By Day is now entering DeFi to create an InsureFi solution on Algorand.

InsureFi — DAO and $DBD

The emergence of DeFi in the Algorand (and wider cryptocurrency space) in the last year has allowed for the use of NFTs, staking, and DAOs to be implemented into Day By Day’s Web 2.0 offering. Day By Day’s move into Web 3.0 will create a decentralised insurance marketplace that will connect insurers and buyers, and will allow customers to insure real-world assets using NFTs. The most exciting part of the transition to Web 3.0, however, is the creation of the Day By Day DAO and its use of the $DBD tokens. With experience in the InsureTech space already, the potential onboarding of insurance customers into the DAO becomes much easier. Day By Day will use DAO governance mechanisms with the $DBD token used as the governance token for voting and incentive purposes.

$DBD

The $DBD token will have many uses within the DAO and outside it — governance, staking, reputation scoring, investment into liquidity pools, monetising insured assets, buying gift cards, and NFT insurance policy ownership. You can also earn $DBD with Proof of Asset ownership, and it is the token paid to you for insurance premium payments.

To be a DAO participant, Day By Day will require a minimum amount of $DBD to enter the ecosystem, which is then locked as collateral. Depending on the service, a different number of DBD tokens will be needed. Simple services require a small amount, and complex or critical services require more.

Governance

The principles for Day By Day governance are:

The security of members’ capital is the top priority. The use/movement/ investment of member capital is decided by the community.
The day-to-day operations of the Day By Day platform are not impacted, even without community involvement.
Maximum community participation is encouraged in key areas. For example, business design, product listing/delisting, feature addition/removal, technology evolvement, and version releases.
If community governance fails, there are contingency procedures in place.

Day By Day’s governance framework is made up of 2 approaches:

Community Voting: The community can vote for or against new proposals until consensus is reached.
Advisory Board: This is made up of Day By Day employees as well as 3rd-party independent advisors with technical, insurance, and compliance expertise. They work as the oversight committee to set certain rules, review community proposals, as well as to take charge of the contingency plan if the community voting mechanism fails.

The fundamental voting mechanism is that the $DBD token represents voting rights, with a cap per member set to avoid the concentration risk.

NFTs, Reputation, and Staking

NFTs are used to represent real-world assets that are registered on the Asset Registry App via blockchain, as well as the different, customisable insurance policies. Traditionally the cost of even only one cover policy is high, sometimes greater than the premiums charged for those who cannot access insurance for their assets. However, with Day By Day, it will be possible to create customisable insurance products that more closely match the needs of consumers using their NFTs.

Using an Uber-like system, a Day By Day Rating score is constructed by using reviews, $DBD Token holdings, and community recognition, and is visible to all Day By Day Platform users. The more a customer interacts with the Day By Day Platform, and completes their obligations, the better their reputation rating score and trustworthiness.

Staking is used to build liquidity for the claims liquidity pool in return for rewards. Claim assessments will rely on community claim assessors and the Advisory Board. The assessors will need to have a minimum amount of the $DBD token staked.

Views from the Parea

Aligning perfectly with our mission (which you can read more about here), Day By Day is solving a problem that we have all faced when trying to insure our assets. InsureFi is here!

Here are some of our takes and opinions from the parea:

“I am quite excited about Day By Day. Without even getting into the crypto aspect of the business, the Day By Day app is a great tool for anyone looking to protect and catalogue their valuables. The app is simple, easy to use, and you immediately get rewarded with $DBD for entering information on your valuables. Even if you choose not to use the Day By Day insurance services in the future, the app is extremely helpful for your current insurance needs. By using the app you gather photos and information on your protected items and it’s all stored on the app, so if you have those valuables damaged you can show your insurance company the information easily and get compensation. I highly recommend the app straight away!”

“I think it’s excellent and innovative, Day By Day is taking something that would normally be such a pain and making it much easier and more transparent. It is easy to use from an individual perspective, being able to take a picture of something and insuring it without leaving my house is pretty baller.”

“Insurance has never been easier, more transparent, or more secure. Because of the Algorand blockchain’s technology and Day By Day’s solution, all that it takes is to tap a few buttons on your phone, open the app, Point > Shoot > Insure, it’s as easy as that!”

“The future is bright on Web 3.0 with Day By Day taking a visionary future outlook of people needing and using decentralised insurance protection. The service will be a DAO, where token holders will vote to pay out individuals who use the service. There are incentives to do this fairly and with due diligence from the token holders and voters. This is truly a unique way of using the blockchain in a truly disruptive manner in a very entrenched and goliath insurance field. The team is well led by impressive and talented individuals and the community is already growing well. I can see this as a fantastic service for individuals and small businesses with valuables they want to protect.”

“The insurance industry is dominated by centralised, bottom-line focused companies — Day By Day is making things much better for the consumers through decentralisation. Participation and loyalty are encouraged in Day By Day users by the fact that they can have a say in major decisions via the Day By Day DAO. The full transparency and rewards for keeping information up-to-date are great incentives to limit the asymmetric information that is commonplace in the insurance market. Using blockchain technology in insurance creates far more accessibility, efficiency, and automation for claimants (no longer relying on human approval). Those normally excluded from the insurance market can potentially access it for the first time, the operating costs of existing insurance providers will drop, and the principal-agent dilemma is solved through decentralised, community governance. With a solid team, and solid backers, as well as an existing product, the progression of Day By Day is definitely something to follow closely. Insurance is about to change for the better.”

“In the future, I hope Day By Day will partner with those in developing countries, and bring their unparalleled technology to the billions who cannot access insurance. Day By Day has the potential to change the world for the better. Microinsurance is needed by many but often denied due to the high requirements of existing providers. Day By Day is removing that barrier. Transparent, accessible insurance is now at our fingertips”

Next Time on Parea Profiles

We hope you enjoyed reading our profile on Day By Day! Be sure to follow them on Twitter and visit their website to find out more.

Follow us, Parea Capital, here on Medium, on Twitter, or on Instagram to keep up to date with what we’re doing. Our next profile will be on PactFi — the most user-friendly AMM in the Algorand ecosystem — you won’t want to miss this one!

See you next Sunday for another edition of Parea Profiles! WAGMI!

How to keep up with what we’re doing?

Feel free to email us at business@parea.capital or DM us on Twitter to discuss funding opportunities.

Day By Day:

“We’re so glad to have an amazing backer like @Parea_Capital helping us build insurance for real-world assets on #Web3. Couldn’t have asked for a better investor!”