Decentralized climate infrastructure platform dClimate has launched Tyche, a blockchain-based platform designed to facilitate insurance risk transactions.
The platform initially focuses on catastrophe reinsurance before expanding to energy-linked weather derivatives and collateral facilities.
The New York-based company raised $3.5 million in seed funding in 2021 led by CoinFund and Multicoin Capital, with billionaire investor Mark Cuban joining as a strategic adviser. dClimate launched dClimate Labs in June 2025 as an enterprise product arm.
Tyche enables investment in reinsurance transactions through ERC-20 tokens – standardized digital tokens on the Ethereum blockchain – which are fractionalized and recorded on-chain. The structure is intended to provide verifiability, transparency, and tradability for participants.
The platform processed $20 million in notional risk during the most recent hurricane season. dClimate said it is developing yield-generating vaults that would allow new market participants to engage in insurance transactions without directly assuming insurance risk.
The launch comes as tokenized reinsurance draws interest from digital-asset investors seeking yield that is less correlated with traditional crypto market cycles. The global reinsurance sector is valued at more than $784 billion and is projected to approach $2 trillion over the next decade, presenting a substantial addressable market for on-chain platforms.
Reinsurance returns have traditionally been available only to institutional investors able to deploy tens of millions per contract. Catastrophe-risk products such as CAT bonds have reached record issuance levels in recent years. However, the underlying market remains illiquid and concentrated among a limited number of brokers and reinsurance firms.
Tyche aims to create secondary-market liquidity and reduce friction through disintermediation and programmable settlement. The platform would allow token holders to monitor ongoing risk exposure and adjust positions throughout the year, including during hurricane season.
"Reinsurance is traditionally opaque, illiquid, and difficult to access. By tokenizing these transactions, we're making climate finance programmable, transparent, and accessible to a broader market," said Osho Jha (pictured above), CEO of dClimate.
Jha described the platform as an example of how real-world asset tokenization should function, emphasizing that it is "financially sound, legally robust, and solving a pressing societal need."
Transactions on Tyche are supported by Aegis, dClimate's AI-powered risk modeling engine. The system provides real-time pricing, expected loss modeling, and yield estimation to determine token pricing.
According to the company, the modeling infrastructure is designed to allow institutional and decentralized capital to participate in shared risk pools with transparent pricing mechanisms.
dClimate indicated that future releases of Tyche will include leverage facilities, on-chain trading, automated payout execution, and pooled climate risk contracts. These features are intended to further integrate climate finance with decentralized finance infrastructure.
