How to Build an Escrow Product
moderntreasury.com
How to Build an Escrow Product
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Re: How to Build an Escrow Product
#2I would love to see escrow expand from the realm of high-value purchases to more modest transactions, because it's a pretty good way to promote good conduct online. (Full disclosure: About 12 years ago I built a startup that would do this, but it never took off.)
Imagine signing up for a social-media account that requires a small amount of money -- say $1 to $10 -- be put down as a type of security deposit. If, during your first X days of activity on the site, you flagrantly violate the terms of use (e.g. by spamming lots of other users) you lose the money; otherwise it's returned to you.
If such a system were to become commonplace, it would introduce only a minor amount of friction for most legitimate users, but it would become a great impediment to spammers and other malicious users.
Re: How to Build an Escrow Product
#3www.truzo.com
unfortunately banks charges relating to payments govern the cost of an escrow service hence it makes more sense for larger value transactions
Re: How to Build an Escrow Product
#4I would love to see escrow expand from the realm of high-value purchases to more modest transactions, because it's a pretty good way to promote good conduct online. (Full disclosure: About 12 years ago I built a startup that would do this, but it never took off.) Imagine signing up for a social-media account that requires a small amount of money -- say $1 to $10 -- be put down as a type of security deposit. If, durin…
I'm not sure I understand the example you gave:
1. What purpose would escrow serve in this example? The user trusts the social media site, and the amount is small (like $1). So there's no need for a third party to hold/control the funds and determine when they are released to one party or another.
2. A spammer can just wait until day X+1 to start spamming.
Re: How to Build an Escrow Product
#5If anyone has resources with regards to any certification requirements for different countries but primarily USA/Canada before becoming an escrow service, that would be highly appreciated.
Re: How to Build an Escrow Product
#6fun fact: escrow comes from the french word "escroc" which means crook. words, am I right ?
well, TBH both comes from the same word, not directly related. still, fun to see how the same words can end up having exact opposite meanings.
Re: How to Build an Escrow Product
#7I would love to see escrow expand from the realm of high-value purchases to more modest transactions, because it's a pretty good way to promote good conduct online. (Full disclosure: About 12 years ago I built a startup that would do this, but it never took off.) Imagine signing up for a social-media account that requires a small amount of money -- say $1 to $10 -- be put down as a type of security deposit. If, durin…
a potential reason your startup didn't take off:
"If such a system were to become commonplace, it would introduce only a minor amount of friction for most legitimate users..."
first, that doesn't sound like minor friction, but more importantly, even seemingly small friction can lead to large abandonment, especially if frictionless alternatives are readily available.
banks love (large) escrow products by the way. super-low risk, low effort, and very reliable fee income for them.
Re: How to Build an Escrow Product
#8I would love to see escrow expand from the realm of high-value purchases to more modest transactions, because it's a pretty good way to promote good conduct online. (Full disclosure: About 12 years ago I built a startup that would do this, but it never took off.) Imagine signing up for a social-media account that requires a small amount of money -- say $1 to $10 -- be put down as a type of security deposit. If, durin…
Metafilter.com has a $5 one time sign up fee and a waiting period for similar reasons. That discouraged posting useless questions that plagued Yahoo Answers. Used to be a good, useful website a few years back but rarely comes up in results these days, maybe because Quora is free and drives more traffic or better SEO!
Re: How to Build an Escrow Product
#9I would love to see escrow expand from the realm of high-value purchases to more modest transactions, because it's a pretty good way to promote good conduct online. (Full disclosure: About 12 years ago I built a startup that would do this, but it never took off.) Imagine signing up for a social-media account that requires a small amount of money -- say $1 to $10 -- be put down as a type of security deposit. If, durin…
I’ve often wondered about something like this for eBay to make transactions more trustworthy.
Re: How to Build an Escrow Product
#10I would love to see escrow expand from the realm of high-value purchases to more modest transactions, because it's a pretty good way to promote good conduct online. (Full disclosure: About 12 years ago I built a startup that would do this, but it never took off.) Imagine signing up for a social-media account that requires a small amount of money -- say $1 to $10 -- be put down as a type of security deposit. If, durin…
I feel the type of user who'd buy into this would also be the type of user who'd simply be willing to contribute a small amount monthly to pay towards moderation, etc.