those token will be used when CCI will be needing that, such as Certain cases when Platform will see too many losses!
thats how insurance will work i guess!
But for this to work, they must sell many tokens and they must also have a certain value. Otherwise, there is not enough money for insurance in the end
However, what CCI could do if they sell too few tokens: They buy their own tokens from the first winnings and keep them as insurance
A buy back strategy have proven too many times to be this useful and increases the value, I am following a project who did same and have experience over 100% gain in less than 48hrs but if not done properly will hurt the value as well
i think that's the best strategy right now but like you said if not executed properly it will be very bad to the token i have seen a project that did that and to be honest there was a rise in the value of the token