1. Contract Creation:
The platform owner creates weather derivative contracts, specifying contract terms, premium amounts, conditions and % Returns after completion of the contract (e.g., based on weather data like temperature or rainfall).
2. Contract Listing:
Newly created contracts are listed on a platform for potential buyers to browse and purchase.
3. Contract Purchase:
Buyers can choose and purchase contracts listed by the platform. Each buyer pays the specified premium amount.
4. Vault Management:
The total funds collected from all buyers for a specific contract are stored in a secure vault.
5. Data Monitoring:
Our Platform continuously monitors relevant weather data or external data feeds to determine if the contract conditions have been met.
6. Payout Calculation:
When the conditions are met, the platform calculates the payout for each buyer based on the contract terms.
7. Payout from Vault:
Payouts are automatically distributed to the wallets of the buyers from the vault. The smart contract ensures a fair and secure distribution of funds.
8. Contract Completion:
Once the conditions are met and payouts are made, the contract is considered complete, and it may be closed or expired.
Platform charges will be collected from the users, when they pay the premium.
