Start the deal
«Pravda Arbitrage» - is a service that allows to execute complex real-life contracts that are paid in crypto. No custody over the payment by third-parties. Safe execution and control over the payment.
Secured deals via blockchain
DRAFT THE CONTRACT
Drafting the contract that suits your deal in details. Legal advice.
OUR SERVICES
ARBITRATION
In case of a dispute, submit the claim to the arbiter, who would adjudicate it upon the contractual terms
EXECUTE YOUR DEAL VIA BLOCKCHAIN
The payment would be transferred via a tripartite DAO constituted by 2 parties and 1 arbiter
HOW IT WORKS?
DAO CREATION
Tune the DAO and distribute the governance tokens among the parties and the arbiter.
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DEPOSIT THE PAYMENT
Put the payment tokens into the DAO smart-contract
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EXECUTION OF THE DEAL
The payment is transferred to the contractor upon the agreement of both parties OR upon the arbiter’s vote in case of a dispute.
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WE REVIEW THE CONTRACT
Analyzing the contract to make sure it is clear and executable
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CONTACT US
Provide an input for the future deal
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Drafting or reviewing the contract
Contract’s preparation
Arbiter and the prevailing party jointly authorize the payment transaction
Party 1 and Party 2 jointly authorize the payment transaction and withdraw the funds from the DAO
Arbiter adjudicates the dispute
Contact “Pravda Arbitrage”
Idea of the deal
Deposition of payment into the DAO
DAO creation for 2 parties and 1 arbiter
Execution
of the deal
of the deal
Any Dispute?
No Dispute
Dispute
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06
05
04
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* the detailed description of the blockchain deal is available at the section Execution details
WHEN CAN I USE IT?
The service works for any deal that is paid in crypto and has a time-gap between the payment and performance
SUPPLY OF GOODs
Failed delivery and low-quality protection
SOFTWARE DEVELOPMENT
Protect the prepayment OR Secure the payment
REAL ESTATE PURCHASE
Safe payment after the title registration
HOW ARBITER ADJUDICATES THE DISPUTE?
The adjudication procedure is quite similar to the traditional litigation but rather more expedient, flexible and adapted towards the particular contract.
The Arbiter requires the clarifications from both Parties, and collects the evidence on his own (for example, requests an extract from the Real estate register, hires a specialist to carry out an expertise, or demands a video-call at the site).
When all essential matters have been established beyond reasonable doubts, the Arbiter and the prevailing Party would jointly authorize the transaction and withdraw the crypto-funds from the DAO. If the obligation was carried out partially, the payment might be proportionally distributed between the Parties
The Arbiter requires the clarifications from both Parties, and collects the evidence on his own (for example, requests an extract from the Real estate register, hires a specialist to carry out an expertise, or demands a video-call at the site).
When all essential matters have been established beyond reasonable doubts, the Arbiter and the prevailing Party would jointly authorize the transaction and withdraw the crypto-funds from the DAO. If the obligation was carried out partially, the payment might be proportionally distributed between the Parties
* the adjudication procedure is described in the Execution details
* the Arbitration Rules available at Documents
* the Arbitration Rules available at Documents
SUPPLY OF GOODS
The Buyer and the Supplier agreed to deliver a car from China.
The Parties contact «Pravda Arbitrage» and make a Goods Delivery Agreement. A DAO is created for three participants (Buyer, Supplier, and Arbitrator).
The Buyer deposits USDT into the DAO deposit. The Supplier bears the initial costs of purchasing, transporting, and clearing the goods. The contractual trigger for the USDT transfer is the registration of the Buyer as the owner of the car by the traffic police.
Soon after, the Supplier demanded more payment due to the increase in the base price and customs duties.
The Buyer refused to pay more and demanded a refund of USDT.
The Seller refused to refund the payment. The Buyer turned to the Arbitrator for a dispute. Having established that the Supplier did not provide evidence of the car purchase, the Arbitrator and the Buyer authorized a transaction to return the funds from the DAO by 2 votes out of 3.
Alternative scenario: The Buyer agreed to pay extra and the Seller faithfully handed over the car to him within the agreed time. The parties jointly authorized the transaction for the transfer of USDT to the Supplier.
The Parties contact «Pravda Arbitrage» and make a Goods Delivery Agreement. A DAO is created for three participants (Buyer, Supplier, and Arbitrator).
The Buyer deposits USDT into the DAO deposit. The Supplier bears the initial costs of purchasing, transporting, and clearing the goods. The contractual trigger for the USDT transfer is the registration of the Buyer as the owner of the car by the traffic police.
Soon after, the Supplier demanded more payment due to the increase in the base price and customs duties.
The Buyer refused to pay more and demanded a refund of USDT.
The Seller refused to refund the payment. The Buyer turned to the Arbitrator for a dispute. Having established that the Supplier did not provide evidence of the car purchase, the Arbitrator and the Buyer authorized a transaction to return the funds from the DAO by 2 votes out of 3.
Alternative scenario: The Buyer agreed to pay extra and the Seller faithfully handed over the car to him within the agreed time. The parties jointly authorized the transaction for the transfer of USDT to the Supplier.
SOFTWARE DEVELOPMENT
The Customer hired the Developer to develop a program. The development should proceed in stages, the payment is made in cryptocurrency for each completed stage.
The parties contact «Pravda Arbitrage» and they make a Software Development Agreement. A DAO is set for three participants (Customer, Developer, and Arbitrator). The Customer deposits USDT into the DAO account.
At the finishing stage, a dispute arises regarding the program's compliance with the technical specifications. The Parties resolve the dispute by agreeing that the Customer pays a smaller amount than specified in the Agreement. The Customer and the Developer, by 2 out of 3 votes, independently distribute the payment from the DAO, and the Customer receives part of the payment back.
Alternative scenario: the Parties could not agree and the case is considered by the Arbitrator. The Arbitrator determines that the program lacks some of the necessary functions, but overall it meets the task. The Arbitrator decides to reduce the payment under the agreement. The payment is withdrawn from the DAO in two transactions, one of them in favor of the Customer. Each transaction is authorized by 2/3 of the votes.
The described scheme applies to any service contract.
The parties contact «Pravda Arbitrage» and they make a Software Development Agreement. A DAO is set for three participants (Customer, Developer, and Arbitrator). The Customer deposits USDT into the DAO account.
At the finishing stage, a dispute arises regarding the program's compliance with the technical specifications. The Parties resolve the dispute by agreeing that the Customer pays a smaller amount than specified in the Agreement. The Customer and the Developer, by 2 out of 3 votes, independently distribute the payment from the DAO, and the Customer receives part of the payment back.
Alternative scenario: the Parties could not agree and the case is considered by the Arbitrator. The Arbitrator determines that the program lacks some of the necessary functions, but overall it meets the task. The Arbitrator decides to reduce the payment under the agreement. The payment is withdrawn from the DAO in two transactions, one of them in favor of the Customer. Each transaction is authorized by 2/3 of the votes.
The described scheme applies to any service contract.
REAL ESTATE PURCHASE
The Buyer wants to buy a house in the UAE for USDT. The Parties are afraid of being deceived by each other because there is a time gap between the payment and the title registration.
The Parties contact «Pravda Arbitrage» and a Sales Agreement is signed. A DAO is set up for three participants (Seller, Buyer, and Arbitrator). The Buyer deposits USDT into this DAO.
After the ownership transfer, the Buyer evades making the payment. The Seller calls on «Pravda» to initiate the adjudication.
The Arbitrator examines the Seller's documents and contacts the Buyer. The Buyer claims that the extract from the property register was forged by the Seller and the title has not been transferred to him.
The Arbitrator independently requests information from the UAE real estate registry. The Arbitrator comes to the conclusion that the Seller has indeed transferred the title, and the Buyer simply does not want to pay. As a result, the Arbitrator and the Seller by 2/3 of the votes authorize a transaction to transfer USDT from the DAO to the Seller's account.
The Parties contact «Pravda Arbitrage» and a Sales Agreement is signed. A DAO is set up for three participants (Seller, Buyer, and Arbitrator). The Buyer deposits USDT into this DAO.
After the ownership transfer, the Buyer evades making the payment. The Seller calls on «Pravda» to initiate the adjudication.
The Arbitrator examines the Seller's documents and contacts the Buyer. The Buyer claims that the extract from the property register was forged by the Seller and the title has not been transferred to him.
The Arbitrator independently requests information from the UAE real estate registry. The Arbitrator comes to the conclusion that the Seller has indeed transferred the title, and the Buyer simply does not want to pay. As a result, the Arbitrator and the Seller by 2/3 of the votes authorize a transaction to transfer USDT from the DAO to the Seller's account.
WHY IS “PRAVDA ARBITRAGE” SECURE?
TIME-TESTED XDAO SMART-CONTRACTS
Total turn-over is more that 100 mln. USDT.
No hacks for 4+ years.
No hacks for 4+ years.
FAIR DISTRIBUTION OF THE CONTROL
Retain control over the payment according to the contractual terms. If no dispute occurs - close the deal on your own.
PERSONAL RESPONSIBILITY OF THE ARBITER
The Arbiter’s personal data are known and he can be persecuted in case of misconduct.
A customary scheme implies the Guarantor (escrow), who receives the funds in the custody, bound with legal obligations only. “Pravda” uses a blockchain solution, which is cheaper, and provides the Parties with direct control over the payment, and thus requires way less trust to the third party.
“Pravda” uses XDAO smart-contracts, which is a platform for the creation of the custom DAOs. The user can set the parameters of the DAO, its blockchain, and the distribution of the governance tokens. Generally, the people use XDAO for collective investment schemes, when users put their crypto-funds into the jointly administrated “treasury”, and further govern it by authorizing outbound transactions with their votes.
“Pravda” uses XDAO smart-contracts, which is a platform for the creation of the custom DAOs. The user can set the parameters of the DAO, its blockchain, and the distribution of the governance tokens. Generally, the people use XDAO for collective investment schemes, when users put their crypto-funds into the jointly administrated “treasury”, and further govern it by authorizing outbound transactions with their votes.
* code audits for XDAO smart-contracts are present in the Code audits section
HOW MUCH?
DISPUTE STAGE (optional)
PRE-DEAL STAGE
Adjudication starts from 160 USDT + % of the dispute’s value (1-6% depedending on the value).
Contract drafting/review and DAO set-up: starts from 70 USDT.
Includes 2 hours of the Arbiter’s work
Includes 2 hours of the Arbiter’s work
* the detailed pricing see in the “Fees” file at the Documents section
WHO ARE WE?
We are the team of the lawyers, who are experienced at litigation and contract drafting (mostly of the I.T. marketing, corporate, and real estate thematic).
We believe that the foundation of the legal job is the attorney’s personality: his fairness, devotion to the client’s interests, and high standards of the professional ethics.
Our mission is to make the online deals safe for their parties.
We believe that the foundation of the legal job is the attorney’s personality: his fairness, devotion to the client’s interests, and high standards of the professional ethics.
Our mission is to make the online deals safe for their parties.
OUR PARTNERS
