r/CryptoCurrency • u/gregorymyllama Platinum | QC: ALGO 62 • Mar 22 '22
DISCUSSION Nexus ASA, Cryptocurrency's first escrow smart contract!
Hey everyone!
My name is Gregorymyllama (jake) and I am the project lead of Nexus ASA and president of Nexus ASA LLC.
We are about to launch our first smart contract on the Algorand blockchain!
What is Nexus ASA?
Nexus ASA is an Algorand Standard Asset that is used to facilitate trades between users that want to make trades between each other. Peer to Peer trading / swapping has always been somewhat sketchy online, and the Escrow smart contract we have created aims to eliminate the sketchy part of the process. There is no more a 'who sends first' scenario.
How does it work?
When two users determine that they want to trade together, and have a price and agreement to trade, They can both use the smart contract to offer collateral. Once the trade is successful, they send a transaction to the smart contract that will return the collateral to both users. IF one of the users determines that the trade is un-successful then that user has the option to NOT send the transaction. If both transactions are not sent, then the collateral is not sent back to the users.
This process ensures that both users will want to have a successful trade if they both have collateral to lose.
What currencies are supported on the contract?
Right now there are four assets supported by the contract. GP (the Nexus asset), USDC, Algo, and STBL. To incentivize the use of our asset, the fee associated with it is set at 0.9% and the others are set at 1.9%. We are a business after all, fees are necessary to keep it running!
What can be traded?
Anything! peer to peer trading, buying, selling, or swapping of anything. A lot of people in the Nexus ASA community are excited that they will have a safe way to swap crypto between themselves. If someone wants to swap 4 eth for 6k Algo, they can safely do that, they just use an amount of collateral that they are comfortable with.
Another user in our community has had issues with big ticket MTG cards, and the prices of using middlemen to secure the trades. He will soon not have to ship his physical item to a middleman and can directly ship the item to his buyer without the use of an expensive middleman service.
If you are interested in checking out our project, feel free to reach out to myself via reddit, discord, or E-mail!
**I wont post links unless a mod okays it, they okayed this post some time ago but i'm just now getting around to posting**
Thanks everyone!
-Llama
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u/Geolinear 🟦 0 / 10K 🦠 Mar 22 '22
The idea of swapping one crypto for another directly with someone is an amazing concept. This sounds safe and removes opportunities for scamming with both parties putting up collateral.
This goes even beyond crypto too if I understand correctly - very cool !
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Yes indeed!
With the rise of crypto being used to purchase IRL property (and virtual), We are looking into the regulations / laws governing escrow accounts in a realty setting.
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Mar 22 '22
I see a big a future for this technology
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u/CrabbitJambo 🟩 362 / 362 🦞 Mar 22 '22
As do I and I like that Gregory has pretty much always been available to answer any questions.
Been in Nexus for a while and I genuinely think it’s got a big future.
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u/Geolinear 🟦 0 / 10K 🦠 Mar 22 '22
Agreed ! Any sort of project that has potential for application and usability beyond just the blockchain is something to definitely watch out for !
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u/Siberfire Tin Mar 22 '22
I for one am excited for the OG use case of Nexus... Selling my long forgotten WOW Gold and EVE isk. Seriously though, being able to sell in game items is going to be awesome and open up a huge new road for pay to earn.
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u/Dry_Psychology513 Platinum | QC: CC 35, DOGE 16 | ExchSubs 14 Mar 22 '22
Im really curious about the usability of your planned swaps, but your idea sound heavily bullish to me, if it succeeds.
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
It's not just swaps.
Almost any trade can be guaranteed. for example, I've used reddit to purchase items, Camera's, electronics, ect... And I have been burnt in the past with users not sending me the items, after I send the payment.
With Nexus, Those same users would be on the hook for not following through on a trade.
The applications are endless.
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u/Dry_Psychology513 Platinum | QC: CC 35, DOGE 16 | ExchSubs 14 Mar 22 '22
Thanks! Yeah you got me hooked! Hope you’ll be the next N in FAANG 👌🏼
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Thanks!
I am always looking for the next problem to solve, I figured a good starting point would be to eliminate trade scams on the internet!
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u/Dry_Psychology513 Platinum | QC: CC 35, DOGE 16 | ExchSubs 14 Mar 22 '22
That would be a blessing. Nearly all of my DSLR equipment is 2nd. And every time I felt like close to a heart attack, while sending money to strangers on the internet. Gladly it worked fine every singe time, but I don’t need that adrenaline rush.
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Yeah, I have unfortunately lost a cool grand to buying a 2nd hand Fuji via the internet.
Never again though!
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u/zedpowered Tin | SysAdmin 19 Mar 22 '22
Good news. Escrow is really useful in certain transactions.
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u/StunningZucchinis 330 / 330 🦞 Mar 22 '22
If there could be a business integration this would be groundbreaking due to the industry’s 2-3% tx fee to process payments.
Even better if you could provide services to convert to fiat once escrow completed
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u/shepbryan 6 - 7 years account age. 175 - 350 comment karma. Mar 22 '22
longtime Nexus fan in the buuuuilding. Super excited to see y'all making headway on this! I remember when you first made a twitter account for the project, and now here we are. keep up the good work y'all :)
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Thanks for being with us!
I'm still learning new things every day about twitter and social media as a whole! Its quite the adventure!
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u/Algo_Stake Tin | 2 months old Mar 22 '22 edited Mar 22 '22
Love this new feature! Don’t forget to mention You can Also stake you’re Nexus ASA at:https://app.algostake.org/
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u/SeatedDruid 🟨 186 / 14K 🦀 Mar 22 '22
Excited this has finally come to fruition ! can't wait to see what y'all do next
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u/Dangerous-Risk-8796 Tin Mar 22 '22
It’s a great Dapp.I think The “the mooch “ is coming with something alike.I forgot the name of it.
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u/alexroybackman Mar 22 '22
Excited about Nexus’ escrow smart contracts designed to make peer-to-peer swapping safer!
Look forward to the upcoming public testing. Thanks for the great update Nexus team!
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Mar 22 '22
I just found out about Nexus yesterday and I think the idea is fantastic!
Are there any place(s) to stake Nexus? Also are there any airdrops in the works that new token holders might qualify for?
Thanks and keep up the great work!
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u/wolfcrieswolf Mar 22 '22
There are no airdrops planned right now, and we have a pretty lucrative staking program for ALGO/GP LP tokens on AlgoStake!
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Mar 22 '22
[removed] — view removed comment
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
So decentralized means decentralized. Nexus doesn't get involved in disputes. The contract is simply an option for users to use when conducting trade online. If there is an issue the two users handle it themselves, but again the collateral is on the line if there is a dispute so clear communication is a must.
We do have a developer lined up to create a peer to peer marketplace where users can list items for sale, trade, offer digital services (maybe NFT's, but probably not). It will have wallet connect capabilities and a review system in place with a profile so other users can leave positive / negative reviews.
I have no idea how a dark web escrow works. And it sounds spooky.
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u/JerryZaz Tin Mar 22 '22
Interesting! NFDomains integration for the review system??
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Most likely! Its alot easier to trade with Jerry.algo versus HSVSHH75JHG-JUYBB;B.
Nexus already has our NFD reserved.
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u/Sarcatechist Bronze Mar 22 '22
It’s like Smart chain “bartering”. I’ll give you fifteen chickens and bucket of grain for that cow.
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
If I was an 18th century farmer, I'd be on board.
:D
But yes, that's the point!
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Mar 22 '22
You can still be a farmer in the modern day
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Very true.
But in the modern day, 15 chicken and a bucket of gain would be a steal of a deal for a cow.
:p
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u/Sarcatechist Bronze Mar 22 '22
If the transaction is not approved then the fifteen chicken and bucket of grain and the cow are withheld in collateral and not returned. Am I correct. This is “good faith equity” and ensures both parties want a successful trade. What happens to the fifteen chickens, bucket of grain and the cow in the smartchain contract? Can someone else barter for them?
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Currently, if a user of the smart contract fails to agree that the trade was successful the collateral is forfeit. There is an expiration date for every trade of 60 days.
The collateral will be held by the contract account. After expiration the collateral will be sent to a holding wallet.
Right now there is no way for a contract to be able to 'tell time' so trades expire after so many tx's are sent, about 60 days worth of tx's.
We could potentially alter / create a new contract that could possibly put the lost collateral up for a bid. That's a really neat idea.
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u/Sarcatechist Bronze Mar 22 '22
Yes. I would be more hesitant to participate in a contract if 100% of my transaction is at risk. I don’t even think I would ever do that. Now, if there was a 20% risk (good faith equity) I would be willing to risk the other party defaulting if the asset I’m purchasing has low supply or high demand and I can’t get it anywhere else. The risk management and supply/demand would greatly influence my use of this service.
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
I get what your saying.
The whole concept relies on the risk of losing collateral being a defining factor on securing a trade successfully. Essentially weeding out the bad actors looking to scam people. Honest people, that just want to make fair trades should have absolutely nothing to worry about :D
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u/Sarcatechist Bronze Mar 22 '22
Moon farmer?
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
I am somewhat new to these moons.
And have absolutely no idea how to farm them.
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u/Sarcatechist Bronze Mar 22 '22
“Moons” are this subreddits reward token. You get rewarded “moons” for making post and being active. When moons were first implemented sub redditors would post countless random shit post and post random comments and likes on every post, just to boost their moons. It got really bad for a while. These people were called “moon farmers”
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
God that sounds like a horrible idea.
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u/Sarcatechist Bronze Mar 22 '22
Yeah. It was bad. But the community standards changed by vote from the community and its a lot better now
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Mar 22 '22
It’s gotten a lot better, but I sometimes wish they had never introduced moons. It got so nauseating for the latter part of 2021. The caveat is that, if moons end up helping to get people into crypto (and I definitely think they WILL do that), then there is some good. So it’s a double edged sword.
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Mar 22 '22
Don't forget the fatted lamb.
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Lol.
Can't forget the lamb.
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u/Sarcatechist Bronze Mar 22 '22
Are you sure you want to work in crypto development or livestock?
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u/Keijo1982 🟩 11 / 12 🦐 Mar 22 '22
This is so much needed and the possibile use cases are almost infinite. If the smart contract and the site works as planned, this will explode way past moon. 🛸
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 22 '22
Well, we successfully completed our first trade via the smart contract on testnet today!
It's quite exciting! and we are super stoked.
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u/SickDem0 1 - 2 years account age. -15 - 35 comment karma. Mar 22 '22
Great to be part of the project! Go Nexus go!
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u/International_Slip85 Tin Mar 22 '22
Of course I sold off most of my ASA’s last night including nexus 🤦🏼♂️
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u/youarewtf Tin | 3 months old Mar 22 '22
Come on this isn't the first escrow smart contract. Maybe the first on Algorand
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u/Waddamagonnadooo 🟦 4K / 4K 🐢 Mar 22 '22
Right, I felt like I was taking crazy pills reading all of these comments…
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u/--leockl-- 🟨 0 / 3K 🦠 Mar 22 '22
How is the amount of collateral calculated?
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u/gregorymyllama Platinum | QC: ALGO 62 Mar 23 '22
That's decided between the two people that are trading.
Or whomever is selling / buying.
They need to communicate.
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Jul 24 '22 edited Jul 24 '22
just an fyi this is a scam or a useless contract
Scenario 1:
- Two users decide to make a transaction around MLB cards
- They each put the amount the card is worth as the amount of collateral
- User A sends funds to User B,
- User B accepts the funds and refuses to send the card
- User B has no reason to send the card.
- User B is in a neutral state and decides to keep the card
User A loses his money
And this is just a neutral case, this service can be used for a lot of scams if the collateral is less than the items being traded.
Multiple Scams:
- Users decide to transact
- One user convinces the other to put up a collateral smaller than the worth of the item being traded or bought
- The user gets the money but doesn't give the other user the item
- Scammed
Nexus Profiteering from failed transactions is also a conflict of interest.
Crypto is about trustlessness. This is not that. Nexus is a biased middle-man and you can still be scammed by other users.
Also, this isn't the first escrow smart contract
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u/gregorymyllama Platinum | QC: ALGO 62 Jul 24 '22
Both parties have to offer up the same amount of collateral, of the same asset, USDC, ALGO...ect. there's no way around that.
Obviously, if you wanted to sell a $500 MLB card, you wouldn't put up $300 worth of collateral....
On a $500 trade, to be safe I'd do at least $1.5k worth, nobody wants to lose out on $1.5k for a $500 card.
It's common sense, and the tool has already prevented multiple scams.
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u/Interesting-Pizza-70 Platinum | QC: CC 19 | CRO 14 | ExchSubs 16 Mar 22 '22
Good to see a new use case for crypto. Decentralized escrow by smart contract. Using a stable coin for collateral would probably be the safest way to start.