USDA Submission Package
Proposed Crop Insurance Schedule for Oyster Aquaculture
Submitted by Verity One Ltd.
CAGE Code: 8JSY1
SAM Registered | Veteran-Owned | Product of USA Certified®
I. Crop Overview
- Yield losses due to disease, predation, toxins, and extreme weather
- Physical damage to aquaculture infrastructure
- Loss of verified Nutrient Credits via Verity One NFTs
II. Covered Oyster Species
| Species | Region | Avg. Price/1k | Notes |
|---|---|---|---|
| Eastern Oyster (C. virginica) | East/Gulf | $150–$250 | Standard wholesale oyster |
| Pacific Oyster (C. gigas) | West | $150–$250 | Fast-growing, high yield |
| Kumamoto (C. sikamea) | West | $200–$300 | Small, premium boutique oyster |
| Olympia (O. lurida) | West | $180–$280 | Native restoration species |
| European Flat (O. edulis) | WA | $250–$350 | Specialty mineral-flavor oyster |
III. Dual-Index Valuation Model
- Market Value Index: Based on stage-based market price ($0.15–$0.25/oyster)
- Environmental Value Index: Certified nitrogen removal, 1 Nutrient Credit per 10,000 oysters
- Verity One NFT Certificate: Digitally issued per insured batch to anchor indemnity claim
III-a. Nutrient Credit Cost Estimate
For every 10,000 oysters farmed, 1 Nutrient Credit is issued. Estimated wholesale value:
- At $0.15/oyster: 10,000 oysters = $1,500
- At $0.25/oyster: 10,000 oysters = $2,500
Important Clarification: Crop insurance would never cost $0.15 per oyster. That would be 100% of your revenue. Instead, USDA-backed insurance programs typically charge a small percentage of value (often 3%–8%).
So to insure $1,000 worth of oysters, the farmer might pay just $30–$80, not $1,000. The goal is affordable protection, not breakeven cost.
III-b. Per-Oyster Insurance Cost Breakdown
| Oyster Sale Price | Insurance Rate | Cost per Oyster |
|---|---|---|
| $0.15 | 3% | $0.0045 |
| $0.15 | 5% | $0.0075 |
| $0.15 | 8% | $0.012 |
| $0.25 | 3% | $0.0075 |
| $0.25 | 5% | $0.0125 |
| $0.25 | 8% | $0.02 |
In Summary: Most oyster farmers would pay between .055 to .002 per oyster in insurance premiums, depending on the market value and level of coverage selected.
IV. Integrated Technology Framework
| Layer | System | Function |
|---|---|---|
| IoT | Sensor Grid | Salinity, temperature, dissolved oxygen, turbidity |
| AI | Risk Engine | Disease risk modeling, growth stage valuation |
| Blockchain | Certification Log | Immutable ledger for all lifecycle & insurance events |
| NFT | Ecosystem Asset | Verity Certified™ QR-coded proof for nutrient removal |
V. Claims Process Flow
- Incident reported or flagged via sensor/API
- NFT token + data logs retrieved for affected oyster batch
- Claims engine processes both economic and NC values
- Audit-ready payout authorized and digitally signed
VI. USDA Requested Actions
- Accept this as an RMA aquaculture insurance class for pilot and expansion
- Authorize pilot programs in coastal restoration regions including WA, OR, CA, VA, MD, and CT
- Recognize Verity One's tech stack as a model for traceability and payout automation
- Add to the SAM Schedule under CAGE Code 8JSY1
VII. Enclosures
- NFT Certificate Sample w/ QR Verification
- Nutrient Credit Certification Diagram
- Verity One Tech & Claims Architecture Overview
Visit: https://verity.one
Certification Signup: https://verity.one/product-of-usa-certification
USDA Submission Package
Proposed Crop Insurance Schedule for Oyster Aquaculture
Submitted by Verity One Ltd.
CAGE Code: 8JSY1
SAM Registered | Veteran-Owned | Product of USA Certified®
I. Crop Overview
- Yield losses due to disease, predation, toxins, and extreme weather
- Physical damage to aquaculture infrastructure
- Loss of verified Nutrient Credits via Verity One NFTs
II. Covered Oyster Species
| Species | Region | Avg. Price/1k | Notes |
|---|---|---|---|
| Eastern Oyster (C. virginica) | East/Gulf | $150–$250 | Standard wholesale oyster |
| Pacific Oyster (C. gigas) | West | $150–$250 | Fast-growing, high yield |
| Kumamoto (C. sikamea) | West | $200–$300 | Small, premium boutique oyster |
| Olympia (O. lurida) | West | $180–$280 | Native restoration species |
| European Flat (O. edulis) | WA | $250–$350 | Specialty mineral-flavor oyster |
III. Dual-Index Valuation Model
- Market Value Index: Based on stage-based market price ($0.15–$0.25/oyster)
- Environmental Value Index: Certified nitrogen removal, 1 Nutrient Credit per 10,000 oysters
- Verity One NFT Certificate: Digitally issued per insured batch to anchor indemnity claim
III-a. Nutrient Credit Cost Estimate
For every 10,000 oysters farmed, 1 Nutrient Credit is issued. Estimated wholesale value:
- At $0.15/oyster: 10,000 oysters = $1,500
- At $0.25/oyster: 10,000 oysters = $2,500
Important Clarification: Crop insurance would never cost $0.15 per oyster. That would be 100% of your revenue. Instead, USDA-backed insurance programs typically charge a small percentage of value (often 3%–8%).
So to insure $1,000 worth of oysters, the farmer might pay just $30–$80, not $1,000. The goal is affordable protection, not breakeven cost.
III-b. Per-Oyster Insurance Cost Breakdown
| Oyster Sale Price | Insurance Rate | Cost per Oyster |
|---|---|---|
| $0.15 | 3% | $0.0045 |
| $0.15 | 5% | $0.0075 |
| $0.15 | 8% | $0.012 |
| $0.25 | 3% | $0.0075 |
| $0.25 | 5% | $0.0125 |
| $0.25 | 8% | $0.02 |
In Summary: Most oyster farmers would pay between .055 to .002 per oyster in insurance premiums, depending on the market value and level of coverage selected.
IV. Integrated Technology Framework
| Layer | System | Function |
|---|---|---|
| IoT | Sensor Grid | Salinity, temperature, dissolved oxygen, turbidity |
| AI | Risk Engine | Disease risk modeling, growth stage valuation |
| Blockchain | Certification Log | Immutable ledger for all lifecycle & insurance events |
| NFT | Ecosystem Asset | Verity Certified™ QR-coded proof for nutrient removal |
V. Claims Process Flow
- Incident reported or flagged via sensor/API
- NFT token + data logs retrieved for affected oyster batch
- Claims engine processes both economic and NC values
- Audit-ready payout authorized and digitally signed
VI. USDA Requested Actions
- Accept this as an RMA aquaculture insurance class for pilot and expansion
- Authorize pilot programs in coastal restoration regions including WA, OR, CA, VA, MD, and CT
- Recognize Verity One's tech stack as a model for traceability and payout automation
- Add to the SAM Schedule under CAGE Code 8JSY1
VII. Enclosures
- NFT Certificate Sample w/ QR Verification
- Nutrient Credit Certification Diagram
- Verity One Tech & Claims Architecture Overview
Visit: https://verity.one
Certification Signup: https://verity.one/product-of-usa-certification