Escrows

In NUTS Platform, each financial instrument domain represents a single asset domain. Assets from different instrument domains are separated from each other.

In addition, users of NUTS Platform must explicitly deposit their assets into individual instrument domain in order to create or engage issuances in this domain. This guarantees that even if an instrument is broken, users' assets in their wallet or in other instrument domains are not affected.

Within each instrument domain, assets are hold by Escrows. Each instrument domain generally consists of two kinds of escrows:

  • Instrument Escrow, which serves as the asset portal of this instrument;

  • Issuance Escrow, which manages assets for individual issuance.

All escrows are created by Escrow Factory and managed by Instrument Manager. The image below shows the relationship between Escrows and Instrument Manager in an instrument domain. When an asset needs to be transferred from Instrument Escrow to Issuance Escrow, Instrument Manager withdraws the asset from Instrument Escrow and then deposits it into Issuance Escrow. The flow is similar when transferring asset from Issuance Escrow to Instrument Escrow. Since Instrument Manager is the only admin of both Instrument Escrow and Issuance Escrow, it's the only party that could operate on the assets within an instrument domain.

Escrow Model

The table below gives a comparison between Instrument Escrow and Issuance Escrow. They both support direct deposit and withdrawal by Instrument Manager, while Instrument Escrow also supports user deposits and withdrawals.

Instrument Escrow

Issuance Escrow

Creation

Created when instrument domain is created

Created when issuance is created

Number

One per instrument domain

One per issuance

Access by user

Deposit/Withdraw from their own account

Read-only

Access by instrument manager

Deposit/Withdraw from any account

Deposit/Withdraw from any account

Access by issuance

Read-only

Read-only