Difference between revisions of "Template:ArbitrationCompensationTable"

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(Created page with "{{Admonition_Warn|All trades placed from 1st January 2023 will use a new trade protocol (Burning Men Protocol) that is designed to further improve the decentra...")
 
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{{Admonition_Warn|All trades placed from 1st January 2023 will use a new trade protocol ([[Burning Men|Burning Men Protocol]]) that is designed to further improve the decentralization of Bisq. The new protocol is a result of the proposal [https://github.com/bisq-network/proposals/issues/390 Distribute Burningman role to contributors who burned BSQ] which was vote on in Bisq DAO cycle 41 with 100% approval.
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{{Admonition_Warn|All trades placed from 1st January 2023 will use a new trade protocol ([[Burning Men|Burning Men Protocol]]) that is designed to further improve the decentralization of Bisq. The new protocol is a result of the proposal [https://github.com/bisq-network/proposals/issues/390 Distribute Burningman role to contributors who burned BSQ] which was voted in Bisq DAO cycle 41 with 100% approval.
  
The protocol change means trades placed from 1st January 2023 will have an important difference should the trade end in arbitration. This is as a result of the accepted proposal [https://github.com/bisq-network/proposals/issues/386 do not pay out the security deposit of the trade peer to the arbitration case winner], with further clarification from [https://github.com/bisq-network/proposals/issues/411 Security deposit compensation table] that allows limited compensation under certain conditions.
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The protocol change means trades placed from 1st January 2023 will be treated differently in arbitration, as a result of the accepted proposal [https://github.com/bisq-network/proposals/issues/386 do not pay out the security deposit of the trade peer to the arbitration case winner], with further improvements from [https://github.com/bisq-network/proposals/issues/411 Security deposit compensation table] that allows limited compensation under certain conditions.
  
What this means in practice is IF a trade ends in arbitration the arbitrator will pay out the trade amount plus, in some cases, a limited portion of the losing user's security deposit. Previously they paid out the trade amount plus both user's security deposits. Therefore, traders ending in arbitration will notice the following:
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If a dispute escalates to arbitration, the RefundAgent will pay out the trade amount plus, in some cases, a limited portion of the losing user's security deposit. Previously they paid out the trade amount plus both user's security deposits. Therefore, traders in arbitration will notice the following:
  
* The arbitration 'winner' will be compensated for the trade amount and, depending on the deposit %, may also receive a limited portion of the losing peer's deposit.
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* The arbitration winning party will be compensated with the trade amount, their own deposit, and, depending on the deposit %, may also receive a limited portion of the losing peer's deposit.
* The arbitration 'loser' may lose only part of their deposit, rather than the full amount.
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* The arbitration losing party may lose only part of their deposit, rather than the full amount.
  
 
This change is necessary for the security of the new protocol.  
 
This change is necessary for the security of the new protocol.  
  
Remember arbitration should be seen as the last resort. All efforts should be made for traders to come to an agreement with themselves or via the mediator.}}
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'''Arbitration should be seen as a last resort'''. All efforts should be made by traders to come to an agreement during mediation.}}

Revision as of 08:08, 10 May 2026

Warn
All trades placed from 1st January 2023 will use a new trade protocol (Burning Men Protocol) that is designed to further improve the decentralization of Bisq. The new protocol is a result of the proposal Distribute Burningman role to contributors who burned BSQ which was voted in Bisq DAO cycle 41 with 100% approval.

The protocol change means trades placed from 1st January 2023 will be treated differently in arbitration, as a result of the accepted proposal do not pay out the security deposit of the trade peer to the arbitration case winner, with further improvements from Security deposit compensation table that allows limited compensation under certain conditions.

If a dispute escalates to arbitration, the RefundAgent will pay out the trade amount plus, in some cases, a limited portion of the losing user's security deposit. Previously they paid out the trade amount plus both user's security deposits. Therefore, traders in arbitration will notice the following:

  • The arbitration winning party will be compensated with the trade amount, their own deposit, and, depending on the deposit %, may also receive a limited portion of the losing peer's deposit.
  • The arbitration losing party may lose only part of their deposit, rather than the full amount.

This change is necessary for the security of the new protocol.

Arbitration should be seen as a last resort. All efforts should be made by traders to come to an agreement during mediation.