Sherlock

Submitting a claim

Claims may be submitted by a protocol agent (representative of a covered protocol) immediately after a fund loss event and up to 7 days after the cover period has ended using the Sherlock dApp.

When submitting a claim, the claimant must provide:

• An event timestamp
• An amount to be reimbursed, which may be a current or a previous amount covered

There is no fee associated with this step of claim submission.

Sherlock claim assessment

Immediately after a claim is submitted, Sherlock’s Watsons (independent security experts) work with the covered protocol’s development team to stop the exploit (if still in progress), understand its scope and assist with determining if the exploit could be covered under Sherlock’s Audit Cover terms. If applicable, the Watsons also assist with claim submission.

When a claim is submitted, the Sherlock Protocol Claims Committee (SPCC) initially votes to determine whether to approve or deny a claim. This initial voting period may last up to 7 days.

If the claim is denied, the claimant may re-submit the claim with a different claim amount to the SPCC.

Alternatively, the claimant may escalate the claim to UMA by paying a fee (9,600 USDC plus an UMA fee that is subject to change).

If the claim is ultimately approved through UMA, half of the fee is returned to the claimant. The fee is kept by UMA otherwise.

Who is on the Sherlock Claims Committee (SPCC)?

The SPCC is composed of Sherlock core team members and security advisors.

It currently includes Sherlock founder Jack Sanford, Evert Kors, John Mardlin, Rajeev Gopalakrishna, Emiliano Bonassi, Mikko Ohtamaa and Mick de Graaf.

What is UMA?

UMA is a decentralized dispute arbitration service and optimistic oracle (a third-party entity that connects smart contracts to off-chain data).

How many times can a claim be submitted?

The claimant may re-submit a claim to the SPCC with a new claim amount or escalate an existing claim to UMA arbitration for a fee. The UMA decision is final and cannot be appealed.