It's an improvement for non-crypto-savvy users, because they don't have to go through the whole 12 word seed phrase process. And if they lose that phrase, they are doomed. Instead, we provide email recovery if the user forgets their password, which is how the rest of the web works.
With respect to centralization, our solution isn't very centralized. All operations are signed by the user's private key, which we do not have access to. In our implementation, there will never be funds stored in this private key. It's used for authorization to release funds from an escrow contract to a pre-determined destination (the client who performed the work).
What happens if a user uses a known password / email from the data breaches? Can a hacker then take their funds? How does the destination wallet / key get generated? How do I convert to actual money?
i.e. using email+password is returning to a system which is known to have major security issues for the non-saavy
> What happens if a user uses a known password / email from the data breaches?
We are currently implementing the "have I been pwned" API to prevent users from using one of those leaked passwords.
> Can a hacker then take their funds?
Nope. The way our system works is that a new Escrow contract is deployed for every project. The Client funds that Escrow contract by sending funds from say, Coinbase, or an exchange, or a wallet they control. The private key that is derived from their password can authorize release of those funds, but only to a pre-determined address (the address of the Freelancer who did the work for the project). This restriction is codified in the smart contract itself when the Client accepts the project proposal from the Freelancer.
> How does the destination wallet / key get generated?
When you say destination, do you mean the Escrow contract, or the Freelancer's wallet?
> How do I convert to actual money?
We only support USDC right now, which is a USD-pegged stablecoin created by Coinbase, to avoid volatility. So to get from USDC to USD, you have to use an exchange like Coinbase. USDC is an ERC20 token, and we plan to support more tokens in the future.
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[ 4.5 ms ] story [ 22.4 ms ] threadHow is this an improvement?
I would look the other way when someone claims to have "solved" anything blockchain related
It's an improvement for non-crypto-savvy users, because they don't have to go through the whole 12 word seed phrase process. And if they lose that phrase, they are doomed. Instead, we provide email recovery if the user forgets their password, which is how the rest of the web works.
With respect to centralization, our solution isn't very centralized. All operations are signed by the user's private key, which we do not have access to. In our implementation, there will never be funds stored in this private key. It's used for authorization to release funds from an escrow contract to a pre-determined destination (the client who performed the work).
i.e. using email+password is returning to a system which is known to have major security issues for the non-saavy
We are currently implementing the "have I been pwned" API to prevent users from using one of those leaked passwords.
> Can a hacker then take their funds?
Nope. The way our system works is that a new Escrow contract is deployed for every project. The Client funds that Escrow contract by sending funds from say, Coinbase, or an exchange, or a wallet they control. The private key that is derived from their password can authorize release of those funds, but only to a pre-determined address (the address of the Freelancer who did the work for the project). This restriction is codified in the smart contract itself when the Client accepts the project proposal from the Freelancer.
> How does the destination wallet / key get generated?
When you say destination, do you mean the Escrow contract, or the Freelancer's wallet?
> How do I convert to actual money?
We only support USDC right now, which is a USD-pegged stablecoin created by Coinbase, to avoid volatility. So to get from USDC to USD, you have to use an exchange like Coinbase. USDC is an ERC20 token, and we plan to support more tokens in the future.
(edited to fix quotes)