According to Blockworks, Obol Labs has partnered with crypto insurance platforms Relm and Chainproof to provide insurance for Ethereum validators using Obol's distributed verification technology. If the insurance price is cheap enough, it may attract risk-conscious institutions to participate in Obol's distributed verification. Obol's distributed validator aims to provide a path for a more decentralized Ethereum network. Currently, it takes 32 ETH to run a full Ethereum node, equivalent to more than $100,000 at current prices. Obol's distributed validator allows validators to run on multiple nodes, which allows community members to start verifying transactions with less than 32 ETH, which may help to decentralize ETH's validator pool. Obol has also begun working with EigenLayer, which focuses on Ethereum re-staking. With the launch of insurance, groups of node operators running Obol's distributed validators can apply for insurance quotes from Relm or Chainproof, and the price will vary depending on their settings. Chainproof's insurance will cover slashing, downtime losses, and private key compromises. What Relm's insurance will cover is not yet clear. Max Sherwood, content and communications manager at Obol Labs, said the success of distributed validator insurance depends largely on the final cost. However, if insurance economics are feasible, it may attract institutions with higher risk and compliance standards to participate in DV staking.
