MultiChain Developer Q&A - Recent questions tagged delivery-versus-payment

How does Multichain achieve DVP(Delivery Versus Payment)?

Sun, 15 Nov 2015 10:14:02 +0000

How does Multichain achieve Delivery Vesusu Payment among assets technically?

Does it use multi-sig? How is it safe to exchange assets?

Lock-time. Is this possible?

Wed, 30 Sep 2015 12:15:11 +0000

Let says Bob is making a DvP offer (createrawexchange) to Alice. Can we put a time-limit for this offer?

What is the syntax for this?

Output from createrawexchange

Mon, 14 Sep 2015 13:33:02 +0000

Is this hex string the same as the output of the getrawtransaction command?

Cancelling exchange offer

Mon, 14 Sep 2015 13:30:38 +0000

Do you have any commands to cancel the created raw exchange? It would help me with the testing but did not find such commands in multichain or bitcoin API... I'd like to simulate a situation where the first party sends the prepared transaction but the deal gets canceled by the other party not finishing the transaction.

Atomic transactions on bitcoin

Mon, 14 Sep 2015 13:29:17 +0000

I like the piece on DvP and using partially signed transactions to achieve this.

Have you been able to execute this type of atomic transaction using different asset types on the Bitcoin Main net?

I've seen colored coins in action and private block chains but I'm curious to know if you've implemented anything on bitcoin main net.

Atomic exchange transactions

Wed, 09 Sep 2015 13:25:01 +0000

We are very interested in atomic transactions that multichain already support. What is your roadmap for atomic transactions on multichain in future?

Incomplete exchange transactions

Tue, 01 Sep 2015 13:07:44 +0000

What happens if one doesn't follow through createrawexchange, appendrawexchange, sendrawtransaction commands. Will it leave the blockchain in an inconsistent state especially if the sendrawtransaction is not sent?

Delivery-versus-payment stages

Mon, 31 Aug 2015 12:57:35 +0000

I am trying to replay the sequence of actions for DvP in more layman terms. Can you please help and confirm if my interpretation is correct ?

preparelockunspent	Locks the asset-1 to be transferred from Party A. Uses Party A’s private key and generates a txn-id
createrawexchange	Creates a bid/ask offer with the txn-id and equivalent asset-2 quantity to be received. The public key address is also enclosed.
On second node (counterparty)
preparelockunspent	Locks the asset-2 equivalent from Party B. Uses Party B’s private key and generates a txn-id
appendrawexchange	Accepts/confirms “Offer” from party A in exchange for asset-2 locked above.
sendrawtransaction	Notification to mining nodes to update the blockchain with the transaction and the balances. Public key/signed Private key of both the parties are embedded in the block.

Can you explain what is happening in appendrawexchange in more Bitcoin jargon?

Delivery-versus-payment transactions

Thu, 27 Aug 2015 12:49:21 +0000

The new steps for DvP as between Sam and Mary in the MC example:

a) Counterparty Sam blocks 5 bonds of MSFT and gets a code

b) Sam gives a quote of 5 bonds of MSFT for USD 50 for 5 bonds using above code

c) Then counterparty Mary then blocks USD 50 and gets a code

d) Then Mary locks the complete txn by using Sam's offer code and her code for her assets

e) The entire txn is then confirmed on the blockchain.

How is Mary expected to get Sam's offer code? Is there a way to register for such offer notifications?

Can Sam initiate this offer exclusively for a counterparty e.g. Mary?

This appears more like a trade and less of DvP settlement. Can you explain your line of thought? It doesn't look like a settlement where two parties are just agreeing on trade terms.

Bidirectional asset transaction

Tue, 18 Aug 2015 13:25:28 +0000

The examples that I have read on this are about a single asset getting transferred from one peer to another. But in most asset transactions it's a bidirectional transaction - cash on one-leg and the asset on the other leg. How does one accomplish this on the block-chain? I was trying to relate this to how a bitcoin exchange works (BTC to USD and vice versa) - which I presume is a solved problem. Is there any white-paper explaining how this works? Does Multchain support this today?