There are several services on Alphateca to provide you safe deals. Today we are going to tell you more about Guarantor and Hold.
- Guarantor service
Users of the platform can always use the services of the guarantor to conduct a secure transaction. The guarantor is an intermediary between the seller and the buyer. He monitors the terms of the transaction and is the first stage of arbitration.
For example, you are going to buy a precious metal with cryptocurrency — and you have already found a seller on Alphateca. Using the Guarantor service, you transfer the amount to a secure account, which is frozen until the end of the transaction. The buyer and the seller carry out the transaction; the guarantor monitors the observance of all the subtleties and the fulfillment of all obligations. As soon as he made sure of a positive outcome, the cryptocurrency passes from the frozen account to the seller, and the buyer receives the precious metal. Otherwise, the cryptocurrency is immediately returned to the buyer’s account.
The Guarantor is an interface of three parties. It allows Alphateca to conduct transactions with an increased level of security using a third party and internal wallets.
The guarantor has a deposit. Each guarantor can work only within the limits of the deposit. (i.e. the total amount of active transactions cannot exceed his deposit)
Arbitrage
In arbitrage each vote is issued when creating the guarantor’s account. It is unique, located in the blockchain network and has all the characteristics of the blockchain link. Thus, he is incapable of cheating or fraudulent manipulation.
This service will be implemented on the basis of Blockchain technology using a smart contract.
Smart contract is a computer algorithm that contains information about the obligations of the parties and sanctions for their violation, and also automatically ensures the fulfillment of all conditions of the contract.
- Hold service
The buyer has an option to put the payment on Hold for a while. This is a fully automatic system, which transfers the buyer’s cryptocurrency to a secure wallet and transfers it to the seller after some time (Hold period). The presence of Hold in the transaction prevents the buyer from cheating on the one hand, and confirms his serious intentions for the seller on the other hand.
For example, Hold is a great tool when planning holidays and rental housing. Hold is automatically “defrosted” on the day of arrival, if the buyer has not cancelled the payment for any reason. The presence of Hold guarantees the seller that the entire amount has already been paid by the buyer, and the buyer can check the conditions specified in the lease announcement, before further movement of funds.
