Parahub offers a unique decentralized P2P arbitration system with two optional modes: reputation-based (default) for speed and simplicity, or Bitcoin multisig escrow for technological guarantees. Users choose the protection level per deal.
Two Operation Modes
Reputation Mode (Default)
Free, fast, universal. Based on Web of Trust and reputation system. Suitable for experienced users and small amounts.
- - No blockchain fees, instant settlement
- - Works with any payment method (fiat, crypto, barter)
- - Protection via reputation + escalation to traditional courts
Bitcoin Multisig (Optional)
2-of-3 multisig escrow with mathematical guarantee. Ideal for newbies, large amounts, and cross-border deals.
- - Funds locked until both parties agree or arbitrator decides
- - Automatic on-chain execution, impossible to ignore
- - Global, borderless, non-custodial (platform never controls keys)
Three-Level Escalation
L1
Direct Negotiation — Parties resolve dispute via encrypted Matrix chat using PGP-signed contracts from Gitea. ~70% success rate.
L2
P2P Arbitration — Verified users can become arbitrators. For reputation mode: advisory decision. For multisig: technological enforcement via blockchain.
L3
Traditional Legal System — If unsatisfied, escalate to institutional arbitration (CAC/CICAP) or courts. PGP contracts and blockchain data serve as legal evidence.