Core Concepts & Escrow Glossary
What is escrow? Blockchain-based escrows vs. traditional solutions.
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What is escrow? Blockchain-based escrows vs. traditional solutions.
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An arrangement in which a third party temporarily holds funds or assets on behalf of two other parties who are completing a transaction.
In traditional finance, escrow services are often offered by banks, lawyers, or specialized custodians.
In Trustless Work, escrow is managed by a smart contract — no third-party custodian needed.
A blockchain-based escrow contract that executes programmable rules.
Automatically releases funds based on milestone completion
Ensures no single party can unilaterally move funds
Fully auditable and transparent
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Each participant in an escrow plays one or more roles:
Milestone Marker – submits work or progress
Approver – validates the work
Release Signer – signs off on fund release
Receiver – ultimately receives payment
Platform – optionally collects fees or mediates disputes
A structured flow that defines how a transaction progresses:
Initiation – Create the contract and define rules
Funding – Lock funds into escrow
Milestone Update – Mark work as complete
Approval – Approver verifies the milestone
Release – Funds are released
Dispute Resolution – (Optional) arbitration if there's disagreement
A cryptocurrency pegged to a stable asset, such as the US dollar.
Trustless Work supports:
USDC on Stellar
Testnet assets for development
Means that no centralized party holds your funds. Only the contract and designated signers can move assets. This is core to how Trustless Work operates.
A reference field that links an escrow to an external system — like an invoice number, contract, or project.
Useful for indexing, notifications, or dispute resolution.
A setting on the Stellar network that lets an account accept a specific token.
Required for using USDC or other stablecoins
Trustless Work escrows require that the sender and receiver both have trustlines to the asset used
The structure of the data that defines an escrow contract.
Common fields:
escrow_id
engagement_id
amount
asset
receiver
approver
release_signer
We’re always expanding this section. Let us know what terms you'd like us to clarify!
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🔗 Full structure in the