Using IsabiPay Escrow

Creating an Escrow Transaction

Creating an escrow transaction on IsabiPay is a straightforward process, thanks to the automated smart contracts on the Solana blockchain. Follow these steps to create an escrow transaction:

Step 1: Initiate a New Escrow Transaction

After connecting your wallet to the IsabiPay platform, navigate to the “Escrow” section.

Click on “Create Escrow” to begin the process.

Step 2: Enter Transaction Details

You will be prompted to fill in the details of the transaction, such as:

Transaction Type: whether "I am selling" or " I am buying" Transaction catergories: whether "Digital Goods", " Services" or " Physical Goods". Amount: Specify the amount of USDC to be held in escrow. and click on "Continue"

Step 3: Enter Transaction Additional Details

Transaction Title: Enter the title of the transaction Transaction Parties: Enter the email address of the other party (the counterparty). Fee Payee: Select Who will pay for transaction fee Terms of the Agreement: Clearly define the conditions that need to be met for the release of funds. This could include delivery of goods, completion of services, or any other agreement between you and the counterparty. Timeline: Set a deadline for when the conditions should be met (optional).

Step 4: Review and Confirm

Once all the details are filled in, carefully review them before confirming the transaction. Both parties will need to agree to the terms. Upon confirmation, the smart contract will lock the funds in escrow, ensuring that they remain secure until the conditions of the contract are fulfilled.

Managing an Ongoing Escrow

After setting up the escrow transaction, you can manage it through the IsabiPay platform. This includes monitoring progress, communicating with the counterparty, and modifying the transaction if necessary.

Step 1: Track the Transaction

Go to the "Ongoing Escrows" section of your dashboard, where you will see a list of active transactions. Here, you can view the current status, including whether the contract conditions have been met or if any updates have been made by the counterparty.

Step 2: Communicate with the Counterparty

You can use the platform’s integrated messaging feature to communicate with the other party directly, discussing progress or resolving potential issues related to the transaction. Make sure any changes to the agreement are formally updated within the platform, if necessary.

Step 3: Modify the Escrow (if applicable)

In certain cases, the terms of the escrow agreement may need to be modified. For example, the delivery date could change, or additional conditions might be added. Both parties will need to agree to any changes, and the smart contract will be updated automatically. Note that modification might require additional approval and could incur small transaction fees.

Completing the Escrow Transaction

Once the terms of the agreement have been fulfilled, it’s time to complete the transaction and release the funds to the seller (or the party entitled to receive them).

Step 1: Mark Conditions as Met

The buyer or seller will mark the transaction conditions as completed. If all parties agree that the terms have been satisfied, the next step will be to finalize the escrow. The platform will notify both parties when all conditions are marked as completed.

Step 2: Release the Funds

The funds are automatically released from the escrow contract by the smart contract, provided all conditions have been met. Both parties will receive notifications once the funds have been released and the transaction is successfully completed.

Step 3: Provide Feedback (Optional)

After the transaction is completed, both parties can leave feedback or rate their experience. This helps maintain trust and transparency in the community.

Resolving Disputes

In cases where the parties disagree about whether the terms of the contract have been fulfilled, IsabiPay Escrow includes a built-in dispute resolution mechanism.

Step 1: Initiate a Dispute

If a dispute arises, either party can initiate the dispute process by clicking the “Dispute” button in the transaction dashboard. This will pause the release of funds and trigger the platform’s arbitration process.

Step 2: Arbitration Process

The platform's arbitration process may involve third-party mediators (if agreed upon), or it may rely on the multi-signature resolution system, where the involved parties and/or platform representatives review the case. The decision will be based on the evidence provided by both parties (e.g., proof of delivery, communication logs, etc.).

Step 3: Finalizing the Dispute

Once a decision is made, the smart contract will release the funds based on the arbitration outcome. This process is transparent and designed to ensure fairness for both parties. With these tools and processes, IsabiPay Escrow provides a secure, automated way to handle transactions, allowing users to manage their escrow agreements with confidence.