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🌦️ Arc Climate Pay

Parametric Weather Insurance · AI Agent · Nano-Payments · On-Chain

Builder: @wentyom · © 2026 All rights reserved


What is it?

Arc Climate Pay is a parametric weather insurance protocol on Arc Network. Users buy on-chain USDC policies against real weather conditions (frost, heat, heavy rain, drought, high wind). When the oracle confirms a trigger, the smart contract pays out automatically.

The key innovation: an AI agent that accepts a 0.01 USDC nano-payment on-chain, analyzes live weather data via Groq LLM, and generates a complete ready-to-deploy insurance policy in seconds. The user pays → AI analyzes → policy deploys. Two clicks. No manual parameter tuning.


Nano-Payment Flow

This is where Arc + nano-payments unlock something previously impossible:

User clicks "Run AI"
 ↓
0.01 USDC transferred on-chain to ArcTreasury contract
 ↓ (sub-second, predictable USDC fee, no gas overhead)
Payment confirmed → AI analysis unlocked
 ↓
Groq LLM (llama-3.3-70b-versatile) analyzes live oracle weather data
 ↓
Structured policy parameters returned (threshold, risk, payout estimate)
 ↓
User clicks "Buy Policy" → ClimateInsurance contract deployed
 ↓
Oracle monitors 24/7 → auto-payout if condition triggered

The 0.01 USDC fee is per-action pricing — the AI agent earns revenue every time it runs. This is the core of the agentic economy model: AI agents as economic actors that charge for their services at a usage-based, micro level that was previously impossible with traditional gas cost models.


AI Agent Details

Component Detail
Model llama-3.3-70b-versatile via Groq
Input Live weather data from on-chain oracle (temp, precip, wind)
Output Threshold · Risk level · Analysis reason · Expected trigger scenario
Fee 0.01 USDC per analysis (on-chain, to ArcTreasury)
Proxy Server-side PHP — API key never in browser
Fallback None — real AI or hard error. No fake local output.

Why per-action pricing matters here: Traditional gas fees would make 0.01 USDC transactions economically unviable. Arc's predictable USDC-denominated fees and sub-second finality make this micro-payment model work at scale.


On-Chain Transaction Volume

Each user interaction produces multiple on-chain transactions:

Action Transactions
AI Agent run 1 (USDC transfer → ArcTreasury)
Policy purchase 2 (USDC approve + buyPolicy)
Claim 1 (claim + auto-payout)

A single insurance lifecycle = 4 on-chain transactions, all settled in USDC on Arc.


Smart Contracts (Arc Testnet · Chain ID 5042002)

Contract Address
WeatherOracle 0x91ead468f0f6eD9a6FD95CBd9D32905bbfe51Eb7
ClimateInsurance 0xe1C64B2Db76499c0A82336Cc0eBdC10c79656555
ArcTreasury 0x1bcEce52fA6AC49A4cd1622C2B0f68326E651a7E
USDC 0x3600000000000000000000000000000000000000

Explorer: testnet.arcscan.app


Coverage

11 cities: Istanbul · New York · London · Tokyo · São Paulo · Seoul · Paris · Berlin · Dubai · Sydney · Mumbai

5 risk types: ❄ Frost · 🔥 Heat · 🌧 Heavy Rain · 🏜 Drought · 🌬 High Wind

Policy parameters:

  • Premium: 5–20 USDC
  • Duration: 7 / 10 / 30 days
  • Payout: up to ×ばつ net premium
  • Platform fee: 7%
  • Per-wallet cooldown: 48 hours

Tech Stack

Layer Technology
Blockchain Arc Network Testnet
Settlement Circle USDC
Smart Contracts Solidity 0.8.20
AI Model Groq llama-3.3-70b-versatile
Weather Oracle Open-Meteo API → on-chain every 10 min
Frontend HTML + ethers.js v6
Wallet MetaMask / OKX / Rainbow / Coinbase

Security

  • ReentrancyGuard on all state-changing functions
  • 48-hour cooldown per wallet
  • 60 USDC weekly payout cap per wallet
  • Emergency pause() mechanism
  • Pool solvency check before every policy creation
  • AI API key server-side only (never in browser)

Network Config

RPC: https://rpc.testnet.arc.network
Chain ID: 5042002
Explorer: https://testnet.arcscan.app
USDC: 0x3600000000000000000000000000000000000000

License

MIT · © 2026 wentyom

Original concept, architecture, and implementation by @wentyom. If you build on this, give proper credit.

Built on Arc Network · Circle USDC · Groq

@wentyom

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Parametric weather insurance on Arc Network — on-chain USDC payouts triggered by real weather data

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