Nexus Mutual, a DeFi coverage protocol, recently conducted a large on-chain swap using the CoW Swap DEX aggregator. The swap involved exchanging 14,390 ETH (equivalent to $27.3 million) from its “safety insurance module” for Rocket Pool’s rETH liquid staking token.

Nexus Mutual diversifies $27.3 million

This was done as part of Nexus Mutual’s diversification strategy for the coverage protocol. On-chain data shows that the purchase of rETH was completed in two transactions, one for 14,140 ETH and the other for an undisclosed amount, using CoW Swap’s trade routes.

It’s worth noting that this is one of the largest on-chain swaps ever conducted by Nexus Mutual.

As part of Nexus Mutual’s diversification strategy, transactions were conducted by the investment committee within the Nexus Mutual DAO.

The committee recommended reallocating funds from the insurance module, which provides coverage for security incidents like hacks, to liquid-staked ether. Consequently, the project decided to invest in Rocket Pool ether (rETH), which is generated by the liquid staking project, Rocket Pool.

According to a spokesperson from Nexus Mutual, staking with the Rocket Pool protocol would amplify the investment in liquid-staked ETH and add protocol diversity.

This would limit the risk of exposure to any single staking provider.

Role of CoW Swap

The team at Nexus Mutual has selected CoW Swap as their preferred DEX aggregator due to its capacity to match prices, safeguard against maximal extractable value (MEV), and handle large volumes without significant slippage.

CoW Swap has successfully facilitated transactions for other DAOs in the past, including the Ethereum Name Service’s exchange of 10,000 ETH for USDC stablecoin in February.

Most recently, the Aave community purchased $2 million in Balancer LP tokens through the protocol.

Here’s more news about Solana’s rival, Ethereum’s price predictions.

ETH could surge past $9,700

It has been predicted by Per Blofin that Ethereum’s value could surpass $9,700 per ETH in the first quarter of 2024 after the Cancun upgrade. This is the most optimistic scenario.

Many people are curious about the potential price of Solana if Ethereum reaches $9,700. Per Blofin has calculated that it would be at least $250. It is important to note that $9,700 represents a more than fivefold increase from its current value.

Furthermore, Solana’s value is expected to increase more quickly than Ethereum’s during that period. Although the InvestAnswers host believes that Ethereum could eventually reach $9,700, he does not anticipate it happening in the near future.

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