Multisig Escrow System Explained

Understanding Vortex Market's escrow system protects both buyers and vendors from scams.

What is Escrow?

Escrow is a third-party holding service:

Buyer sends payment to escrow (not vendor)
Vendor ships product
Buyer confirms receipt
Escrow releases payment to vendor

✅ Buyer Protection: If vendor doesn't ship, funds are returned
✅ Vendor Protection: Funds guaranteed after delivery

Vortex Market Escrow Types

1. Classic Escrow (Standard)

Market holds funds in central wallet

✅ Simple to use
⚠️ Market controls funds
⚠️ Vulnerable to exit scam

2. Multisig Escrow (Claimed)

2-of-3 multisignature wallet (buyer, vendor, market)

✅ More secure than classic
✅ Requires 2 signatures to release
✅ Market can't steal alone
⚠️ Implementation verification needed

How an Escrow Transaction Works

Step 1: Place Order

Buyer selects product, enters shipping info (PGP encrypted)

Step 2: Payment to Escrow

Funds deducted from buyer's wallet → held in escrow

Step 3: Vendor Confirms

Vendor sees payment, prepares shipment

Step 4: Shipping

Vendor marks "Shipped", provides tracking (optional)

Step 5: Delivery

Buyer receives package

Step 6: Finalize

Buyer clicks "Finalize Order" → funds released to vendor

Escrow Period

Standard: 14 days
Auto-finalize: If no action after 14 days, order auto-finalizes
Extensions: Can request extension if needed

What is "Finalize Early" (FE)?

Releasing payment before receiving product.

⚠️ NEVER FINALIZE EARLY!

Removes all buyer protection
Vendor gets paid without shipping
Common scam tactic
No recourse if scammed

Only FE if:

Trusted vendor with 1000+ positive reviews
Long-term relationship established
You fully accept the risk

Dispute Resolution

If problem arises, open a dispute:

Navigate to order page
Click "Open Dispute"
Explain issue with evidence:
- Screenshots of conversation
- Photos of damaged/wrong product
- Tracking info showing non-delivery
Market moderator reviews
Decision made within 3-7 days

Dispute Outcomes

Full refund: Clear vendor fault (non-delivery)
Partial refund: Compromise (wrong quantity, quality issue)
No refund: Buyer fault or insufficient evidence
Reship: Vendor sends replacement

Best Practices

✅ Always use escrow (never direct pay)
✅ Check vendor reviews before ordering
✅ Communicate with vendor via PGP
✅ Save all messages/screenshots
✅ Finalize promptly after receiving (support vendor)
❌ Never FE unless absolutely trusted
❌ Don't threaten vendor with bad review during dispute
❌ Don't abuse dispute system

Commission Rates

Vortex Market charges 4% commission on finalized orders (paid by vendor)