Escrow
General
Funds held by a trusted party until conditions are met.
Escrow locks funds with a third party or a smart contract until conditions are met. On chain escrows release funds when both sides meet clear rules. This setup reduces counterparty risk for trades and services.
Frequently asked questions
How does on chain escrow work?
A smart contract locks funds and releases them only when preset conditions are fulfilled.When is escrow useful?
Marketplace payments, milestone based deals, and dispute resolution. It reduces counterparty risk.What should I check before using escrow?
Contract address, rules for release, and who can resolve disputes. Test with a small amount first.