How it works?
The user must commit collateral based on the price and amount at which they wish to buy or sell, along with the other order parameters, in the smart contract. This creates a new order in the on-chain orderbook. This order will be publicly available for anyone to fill and will be displayed in the UI.
A desired counterparty can select and fill the order, committing collateral until delivery occurs. Users can view all the open orders and trades on the dashboard.
Upon delivery, the seller must settle the open trade within the specified time by invoking a function on the smart contract, effectively pressing a "settle" button on the UI. This action automatically transfers the trade amount to the buyer and releases the collateral back to the seller. The settlement time and duration are visible on the platform. Failure to settle within this timeframe allows the buyer an option to seize the collateral, mitigating the risk of fraud and ensuring security.
What happens if the token/point is tradable on Blast but TGE is on Ethereum? How does the settlement work?
Users can trade markets that are scheduled for TGE on Ethereum on Blast as well, while paying low gas fees, earning native yields and Blast points. Same markets will also be available to trade on Ethereum.
Trading will take place on Blast, but settlement will occur on Ethereum. The settlement process mirrors that of the same chain, with a few additional steps due to the absence of bridging for new tokens. Once the seller receives their allocation, they must click the 'settle' button in the UI, transferring tokens from their wallet to the buyer's wallet through the contract automatically. This transaction will take place on Ethereum, and the buyer will receive the tokens on the Ethereum as well. After the transaction is confirmed, the deployer will invoke the function on Blast to release both seller's locked collateral and the buyer's collateral for the tokens delivered as payment.
NOTE: Transferring funds directly to the buyer or invoking the function directly on the contract could lead to a loss of funds. For cross-chain settlements, always use the UI.
Checkout how to create buy/sell orders.
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