Cryptocurrency P2P-exchange Hodl Hodl announced the launch of multisig-contracts "2 of 3". Thanks to the new option, platform users were able to trade using an escrow using only two keys out of three.
Hodl Hodl introduces 2 out of 3 multisig escrow https://t.co/UwSE5GJEg4 pic.twitter.com/REXQgH0QN1
– Hodl Hodl (@hodlhodl) October 22, 2018
As stated in the blog of the platform, contracts of this type require two keys out of three for the release of funds, which belong to the buyer, the seller and the exchange itself, respectively.
During each transaction, Hodl Hodl generates a unique escrow address where it blocks the seller’s funds until the buyer sends the Fiat in accordance with the agreed payment method. The seller then acknowledges receipt of the payment and releases the funds directly to the buyer's wallet.
If the transaction passes without problems, the buyer will not need a key. It will be necessary only in case of a dispute. If the administrator of Hodl Hodl resolves a dispute in favor of the buyer, he can sign the transaction with his key and receive funds without the participation of the seller.
Thus, users get some control over their funds. As explained by representatives of the platform, a similar function was created at the request of institutional brokers and large traders.
Earlier, representatives of Hodl Hodl announced the launch of an OTC platform with non-custodial escrow addresses for safe trading in large volumes. Also in the plans of the platform launch p2p-futures.
Follow BlockchainJournal on Twitter !
BlockchainJournal.news
