The move to a digital world, and the proliferation of cryptocurrencies, has unlocked exciting opportunities — but it’s also created new problems that need to be solved.
A new DApp offers an escrow service for transactions involving cryptocurrencies, as well as a decentralized arbitration service that delivers resolutions quickly and inexpensively — irrespective of how complicated the dispute is.
PayrLink says its solution is vital because we’re increasingly living in a world where everything happens online, meaning that it’s hard to trust anyone. As the project’s whitepaper explains: “The days of meeting people, shaking their hands, doing a deal is long gone. We need to feel safe and private when doing transactions online.”
Although blockchain technology serves as a powerful tool because of how it delivers transparency, not everyone wants their transactions and balances to be publicly viewed by everyone. PayrLink ensures that users can be afforded anonymity and privacy, all while giving them some much-needed peace of mind.
How the escrow service works
PayrLink says it helps to eliminate fraud by serving as an arbitrator. Smart contracts enable users to decide how many jurors they would like, and which decentralized court should hear their case, in the event of a dispute. This ensures that their case will be heard by people who are familiar with the sector that the payment falls into — such as software development or insurance.
Jurors review the evidence that’s presented to them and then vote over the blockchain, and each of these participants has to stake cryptocurrency in order to ensure they act faithfully. Ballots are kept private during the voting process to ensure that jurors cannot affect the actions of others.
PayrLink recently set out a use case that illustrates how its infrastructure works. In this case, Alice is an entrepreneur in the U.S. who hires Bob, a programmer in another country. Alice ends up unsatisfied with the quality of the work that has been delivered, but Bob argues that what he produced was exactly in line with the project’s specifications. Given the sheer expense associated with international disputes of this nature, PayrLink’s infrastructure helps offer a more affordable alternative.
Jurors who are specialized in these areas have the chance to assess who they think is right, being rewarded for their efforts. Both participants in the case end up being informed by email about the outcome of the dispute, and a smart contract releases funds to that party.
As well as offering a more cost-friendly alternative, PayrLink’s approach reduces the risk of people getting caught up in escrow scams — and it prevents the unfair outcomes that can arise through centralized rivals.
An undisputedly good idea
When compared with alternatives, PayrLink achieves a number of things: It encourages the use of crypto, has low transaction fees, dispute arbitration fees that are lower than rivals, and decentralized voting arbitration — something that isn’t yet common in the marketplace.
A public sale for PAYR tokens, which underpin the network, is currently taking place — and the first iteration of its DApp is expected to launch this month. Looking ahead, PayrLink plans to release v1 on the Ethereum mainnet in the third quarter of 2021, followed by Binance Smart Chain in the final three months of the year. From here, the project will expand its services — and build bridges to other networks in order to achieve true interoperability.
Partnerships have already been established with the likes of Solidity Finance and DMEX.
As the whitepaper concluded: “Cryptocurrencies are helping millions achieve financial inclusion. PayrLink will do the same in access to justice by enabling arbitration in a large number of contracts that are too costly to pursue in court in a private manner. Just as Bitcoin brought ‘banking for the unbanked.’”