New Feature at Zion Market: Hedging

-----BEGIN PGP SIGNED MESSAGE-----
Hash: SHA256

Starting today vendors at Zion have the option to enable hedging for
their escrow orders. What hedging does is transfer your BTC to an
exchange account where it is converted to USD. Once the buyer
receives the package and releases escrow, the USD is converted back
to BTC and sent directly to the vendor.

Vendors can either enable automatic hedging for all orders or they
can choose individual orders to hedge. So if you received an order
for $1000 and BTC starts dropping a few days later, you can click
the "Hedge Order" button and it will be converted to USD immediately.

We allow hedging on "simple" orders where the buyer has not
provided a bitcoin public key to sign one of the 3 multisig keys (which
is the majority of the time). Orders are hedged once the seller has
accepted the order. If a buyer places an order but then changes his
mind or the seller cancels the order, the BTC is refunded directly
from the multisig address they paid.

Nothing has changed on the buyer's end, the checkout process is still
just one step to pay the multisig address for their order. In the
case of a dispute or a refund it is up to the vendor to work with the
buyer on an acceptable refund amount. If we get involved in a dispute
or have to send a full refund to a buyer then they will receive the
hedged USD value of their order back.

Larger vendors have the option of requesting access to the exchange
account assigned to them (with only trading privileges, not withdrawal
access). The BTC is tumbled and converted before it is sent to the
exchange account. There are fees involved at each step so the total
cost of hedging will be between 2.5-5%. The plan is to make hedging
free or almost free in the near future once the hedging balance reaches
a point where we can coordinate the withdrawals to be sent from incoming
BTC being hedged to avoid the unnecessary conversions back and forth.

Vendors can enable this on their Vendor Settings page
(http://zionshopusn6nopy.onion/settings/vendor). Questions or comments
are always welcome. Thanks!
-----BEGIN PGP SIGNATURE-----
Version: GnuPG v2

iQIcBAEBCAAGBQJY6+2IAAoJEC0Fa1LxMox0FCYQAJuiXxix3Htwxqq9PMikv8fC
cTx71HLJ6d83wfpR3hDeSxOFfdwaukiWz+HAOWeMwdebruCWyJHuBCXZqoIjCMXf
DZf9XKsstgWReHBoFV0XLQrr/9/xYNVfYAWSrMfxxEpMKmHlbhcaIX56q0zawS2u
a4s4HTcCQnvDRKrtKoKemEuknNQk76Vb+doOx/W6kEtI5mtPhDR9/yzGYiv54PU2
OFijSFq+cRyAEa8/Sqzxw35f//EkgLYOuhNA47zAA5b7job/wRoCTUJsAut6ddEd
Dk/Zvnr6yP5RxdvmJvERy/xkzEyBgkDQjjLpFHbaMqpfXjGtaYcJrEohcACWVAkR
d3zfg7agV2TIi3foH+q2+KBVr8QbE3+2ct91K4vXA1DCEVbrAMhIoeT5wLD9QV5S
zEYrwQ8j8iE9RB0mG3w/CC5GkYmGFfWGAUPl/YBX3Jn1pvZpvK8xCEBY+OiHa4Mt
ZKqFqiLMJCYxkbIkAAjMrubBOzsUIvUYFLgVCVKjdmGMqzssL7iagpg3vfU5Aqz2
x3hJfeciMkp4/ojSy/SI4QoRwT8Y7yyzqnBZKwNdV43XObwQEIJTIWdt0E/VlwSx
tMQRh+n0y8KFFb6YSrRyAYgsPB9CrC2q8qSs7+OZq8kq9ei63dTPHfBvC7cFqoLr
ACEzOaxACViS815gU3ZY
=TUCY
-----END PGP SIGNATURE-----


Comments


[7 Points] Kukermann:

My nuts hurt from all this hedging


[2 Points] None:

[removed]


[1 Points] Danknugs410:

Does anybody even use this market? Lol


[1 Points] stabBarbie:

Isn't this a major opsec problem? An exchange is providing this service right?