What does escrow do?
Escrow is a smart contract that holds the stablecoin for an order while the KES payment is completed. It releases or returns that stablecoin according to the order’s rules. The KES travels between the payment accounts shown in the order; it is not held in the stablecoin escrow.
You can start with a supported token in your chosen wallet and on a supported chain. If needed, it is converted into USDT or USDC on Celo or Base before entering escrow. Check what you are sending, the conversion costs and the amount that will reach escrow before authorising.
Your starting token can be different from the stablecoin held for the order. A merchant can therefore hold a settlement stablecoin on one supported network while serving consumers who start on other supported chains. Only routes enabled for the order can be used.
Who sends what?
- You want KES: your token is converted if needed, and the resulting stablecoin is held in escrow. The merchant then sends KES to your payment account. Check that it arrived before confirming receipt.
- You want stablecoin: the merchant puts the stablecoin into escrow first. You then send KES to the account shown in the order. The merchant checks receipt.
In both directions, wait for the order to show that the stablecoin is locked before sending KES. Use the exact payment instructions in the order.
Connecting a wallet does not fund an order. A token approval gives permission to use a token; a funding transaction moves it into escrow. Read each wallet request. Once locked, the stablecoin is no longer available to spend from your wallet.
When is the stablecoin released or returned?
The normal next step is for the KES recipient to check their account and confirm receipt. If there is a disagreement, the order follows its dispute and evidence rules. A screenshot or a message saying “paid” is not enough to confirm that money arrived.
A missed deadline does not always mean the same person gets a refund. The outcome depends on whether payment was marked as made, whether receipt was confirmed and whether the required evidence was provided. Read the deadlines and what happens if they are missed.
Do not cancel after paying just because someone promises to start again. Once payment has been marked as made, the proposed rules do not allow ordinary one-sided cancellation. Use the existing order’s dispute process.
What does a refund return?
A full escrow refund returns the stablecoin held for the order. It does not undo an earlier token conversion or automatically reverse a KES payment. Check the refund asset and destination. Under the proposed Terms, Sargo takes no settlement fee on a full stablecoin return; network costs already paid may not be recoverable.
Any KES refund must follow verified instructions. Do not send it to a different person or account because of a chat message.
What risks remain?
- The token can lose value. Stablecoins can lose their reference value, and an issuer may freeze tokens. They are not insured bank deposits.
- A conversion can change or fail. Routes can become unavailable and quotes can expire. Check the final amount and costs. Do not send an unsupported token directly to escrow.
- A wallet mistake can cause loss. Check the address, network and permission before signing. Networks, wallets and contracts can also fail or be delayed.
- KES payments can be reversed. A completed stablecoin transfer does not stop a bank or mobile-money provider from reviewing or reversing a payment. Keep genuine records.
- Verification is not a guarantee. An identified person can still act dishonestly or lack funds. Merchants should accept only amounts they can fulfil.
- Some records are public. Wallet activity and some proof fields may be visible on a blockchain. Read the proof’s privacy notice before using it.
These guides describe the proposed service. A diagram does not establish that a route or contract is live. Check the order details, escrow controls and risk terms before using an enabled service. These risks do not remove Sargo’s responsibility for its own errors or your legal rights.