BitHalo - The world's first smart contracting client
Clients are available for Bitcoin, BlackCoin and BitBay
Halo is the world's first decentralized escrow client. It is extremely powerful P2P contracting software that eliminates the need for a middleman. The Halo clients make contracts unbreakable by utilizing risk/reward motivators: each party puts up a deposit, the amount of which is predetermined by the parties, and the deposit is returned only once both parties sign off on the contracts' complete and proper execution. Any kind of contract you can imagine is executable and safer using the Halo technology. An example of some contracts one can do are as follows: derivatives, trade, employment, micro-trading, financing with terms, forex and even real-estate.
The software is free for download and revolutionizing the way bitcoin and digital currencies are exchanged and traded across the globe on a daily basis.
Double deposit escrow
In order to enable a secure and unhackable contract, Halo uses a protocol called double-deposit escrow. In effect, two parties can create a series of micropayments under any deposit structure they choose without any risk. This cross-platform solution means any coin with a Halo is completely independent.
Each party puts in more money into a joint account. They both specify the collateral which can be bilateral or unilateral. This joint account is timed to self-destruct. The time limit and deposits are all flexible and agreed upon by both parties. Trust can be adjusted however each party desires. Normally, the deposits exceed the amount being transacted. This way, if theft or deception occurs, both parties lose. Therefore, both parties must work out their differences. This is a completely new paradigm in society. Other projects (e.g., OpenBazaar, Orisi, Coinffeine) depend on arbitrators to carry out contracts and are not self-enforcing. Next and Ripple altcoins have contracting proposals as well, although none has been released. Both use the collateral/arbitrator system and neither have a smart contracting system that can enforce real-world transactions.
Where theft has occurred with Bitcoin (e.g., Sheep marketplace, Silk Road, Mt. Gox), it was through collusion. Halo’s double-deposit trustless two-party escrow is the only way to conduct transactions without the risk of theft.
More technical info about the double deposit escrow protocol can be found in the Whitepaper.
NightTrader is going to be an exchange integrated into Halo. Halo is using Bitmessage to allow decentralized bulletin boards and email. With this set up, people will be able to search for contracts in a decentralized fashion. This exchange allows microtrading, which is fully decentralized. Templates will be added for derivatives and backing and another one for coin trading. Coin trading will be automated and user friendly filters for barter employment, etc. will be added as well.
Further Halo applications
Hedging: Halo will be able to peg coins to a specific value using a decentralized voting system that allows inflation as well as deflation. Halo will achieve this by using the markets on NightTrader and through time locking part of the total supply. BitBay will be the first digital currency to use this system.
Markets: Halo is going to have different markets built in the client in order to make it easier for the user to start trading/doing business. Markets will be: Buy/Sell coins, Hire someone, Barter/Trade, Buy/Sell anything, Find a job and Custom contract. More templates will be added after release.
Bitmessage: This is a decentralized communications protocol used to send encrypted messages to another person. Halo enables you to send your smart contracts through Bitmessage, so you can now contract in more than one way than just e-mail. Bitmessage contracting is still experimental. Be careful when you use it.
Cold staking: BlackCoin now enables cold storage multisignature staking. This means that you can stake (earn interest) in Halo from two locations and never be hacked. You simply sign the staking transaction from one computer and sign the second half of the staking transaction from you second computer/location.
Official Twitter account:
Featured articles on Halo:
Interviews and Presentations
- Presentation by the founder and lead developer David Zimbeck: