A new reputation protocol, Verify, aims to build trust between buyers and sellers of ecommerce by continually updating their trust level based on previous transactions and recording it on the blockchain. By increasing this level of trust, Verify aims to boost overall ecommerce activity and cryptocurrency spending in particular. This will be especially valuable for the jewelry industry and those who deal with precious metals.
The Verify reputation protocol has three parts: (1) the participants of the network; (2) transactions; and (3) CRED tokens. Verify works much like traditional payment processors, ensuring that transactions by participants in the network are insured, and charges a small fee for insuring these transactions. As with traditional payment processing, transactions on the Verify network protect buyers and sellers, and, should buyers be dissatisfied with their purchases, they are entitled to a refund. The insuring of transactions is funded by CRED tokens.
Each user of the platform starts with zero reputation, and the reputation is established after the completion of transactions with other users. Verify will forego building on the reputation of users of other platforms, such as Amazon and eBay, due to logistical problems as well as inconsistent ratings by different platforms. The Verify reputation protocol thus will be independent of these platforms, and will aim to be a benchmark for ecommerce.
The fee charged to participants in the network will amount to one percent of the transaction. This is modest compared to the fees charged by traditional payment processors. Because of the low transaction fees of many cryptocurrencies, and because of the transparency of blockchain technology, many of these payment processors will be rendered obsolete in the coming years as blockchain technology becomes widely used in ecommerce. Verify stands to gain at their expense, by providing a service that consumers and merchants will need.
Consumers will be protected against non-delivery, delivery of an item to the wrong address, delivery of the wrong item, and an item that does not match the description given by the seller. If a dispute arises between buyers and sellers, they will be able to communicate directly with each other to resolve the dispute. If the parties are not able to reach an agreement on a dispute, the matter can be escalated to a Verify team member to investigate the case and bring about a resolution.
Consumers will also be able to pay for the item in whichever cryptocurrency they prefer. This feature of atomic swaps of cryptocurrencies by the Verify platform will bring extra convenience that will incentivize its use by merchants. Additionally, the platform will be easy to integrate with commonly used ecommerce software such as Shopify, Woocommerce, Magento, and Bigcommerce. A stable cryptocurrency will be used by the platform for quickly converting the funds used by the customer, allowing the purchase to run smoothly.
The Verify crowdsale is taking place from November 29, 2017 to December 29, 2017. A maximum of 200 million tokens will be minted, and tokens that are unsold during the crowdsale will be permanently burned. 30 million tokens will be reserved for a future crowdsale, and they will be locked away for a year. The soft cap for the project is $8.7 million, and the hard cap is $14.5 million.
For more information about Verify:
Bitcointalk ANN thread: https://bitcointalk.org/index.php?topic=2374729