Checks Whitepaper
  • Cover
    • Checks Whitepaper
  • Overview
    • Introduction
  • Abstract
  • The Problem & Solution
  • MVP Features
    • Introduction to MVP
  • Standard Payment
  • Vesting Schedule
  • Platform Yield
  • Examples
  • Check Minting
  • Portfolio Management
  • NFT CHECKS
    • Design Overview
  • Check Types
  • Platform Structure
    • Tier System
  • Multi-Chain Support
  • Post-MVP Features
    • Introduction to Post-MVP
  • Escrow
  • Auto-Investment
  • Checks DAO
  • Checks Launchpad
  • P2P Lending
  • Paymart Integration
  • Token Economics
    • Check Token Utility
  • Check Token Tokenomics
  • Technical Documentation
    • Smart Contract Design & Security
  • Technical Deep Dive
  • Revenue Model
  • Appendix
    • Conclusion
  • References
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  • Overview
  • Example Use Case
  • Advantages Over Traditional Solutions

Standard Payment

The Standard Payment feature enables instant, scheduled, or conditional payments between parties on the blockchain. It represents one of the core MVP features of the Checks Platform, addressing the fundamental need for reliable, programmable transfers of digital assets.

Overview

Users can mint a Payment Check using the Standard Payment feature and transfer it to a recipient. These checks can be post-dated or tied to specific conditions, ensuring that the recipient can only redeem the funds after a set date or upon the occurrence of a specific event.

This feature acts as an on-chain equivalent to traditional invoices or post-dated checks, bringing familiar financial instruments into the blockchain era with enhanced capabilities.

Key Capabilities

  • Instant Payments: Funds can be transferred and redeemed instantly

  • Scheduled Payments: Set a specific future date when funds can be redeemed

  • Conditional Transfers: Link a payment to verifiable on-chain conditions

  • Self-Custody: Funds are held in the NFT's token-bound account, not by a third party

  • Verifiable Terms: Payment conditions are transparent and viewable on-chain

  • Transferable Rights: The Payment Check can be transferred to other parties if needed

How It Works

  1. Creation: The payer mints a Payment Check, specifying:

    • Recipient address

    • Payment amount and asset (e.g., USDC, POL, ETH)

    • Release date or conditions

    • Any additional parameters

  2. Funding: The specified assets move from the payer's wallet to the NFT Check's token-bound account.

  3. Transfer: The NFT Check is transferred to the recipient, representing their right to claim the payment.

  4. Redemption: When conditions are met (e.g., date is reached), the recipient can claim the funds, which are automatically transferred from the NFT's account to their wallet.

Example Use Case

A user could issue a Payment Check that automatically releases 100 USDC to a freelancer one month from now. The freelancer receives the NFT Check immediately as a guarantee of future payment, while the funds remain securely locked until the specified date.

Advantages Over Traditional Solutions

While similar concepts have been explored by platforms like TrustSwap's SmartLock, which facilitates time-based crypto transactions, the Checks Platform takes this further by standardizing the concept within an NFT framework.

This approach ensures:

  • Interoperability: The Payment Check works with any platform that supports NFTs

  • Programmability: Full customization of payment conditions

  • Composability: Can be integrated with other DeFi protocols

  • Visual Representation: Payment details are visually represented in the NFT design

The Standard Payment feature serves as a fundamental building block in the Checks Platform ecosystem, enabling more complex financial arrangements to be built on top of this basic payment functionality.

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Last updated 23 days ago