While most transactions proceed without issues, occasional challenges may arise during trades such as unresponsive participants, payment discrepancies, or incorrect transfer details. When communication between traders fails to resolve conflicts, third-party intervention becomes necessary to facilitate resolution.

Multisignature Security Protocol

As outlined in Haveno's trade protocol, all transactions are protected by Monero's multisignature security system. Three cryptographic keys are created for each trade:

  1. Seller's key
  2. Buyer's key
  3. Arbitrator's key

The arbitrator remains neutral until formally requested to assist with unresolved disputes.

Arbitration Process

When traders cannot reach agreement:

  1. Either party may escalate the issue to arbitration
  2. Arbitrators review chat history and evidence
  3. Objective assessment of responsibility is made
  4. Arbitrator's key executes the resolution decision

Case Study: Payment Dispute Resolution

Scenario:

  • Alice (Seller): Offers XMR for EUR
  • Bob (Buyer): Claims EUR transfer completion
  • Issue: No funds received by Alice

Resolution Steps:

  1. Alice initiates dispute after:

    • Verifying bank processing times
    • Attempting chat-based resolution
    • Confirming transaction failure

  2. Arbitration team:

    • Examines payment evidence from both parties
    • Verifies bank transfer authenticity
    • Determines Bob provided false payment confirmation

  3. Outcome:

    • Alice: Receives full XMR refund + security deposit
    • Bob: Loses security deposit as penalty
    • Platform fees deducted per service terms

Important Considerations

  • Security Deposits: Only forfeited in cases of verified malicious intent or fraud
  • Technical Issues: Non-punitive resolution with full deposit returns (minus service fees)
  • Evidence Requirements: Traders must provide verifiable proof of transactions
  • Arbitration Timeline: Typically 24-72 hours depending on evidence complexity