Layer 2

Funds in Smart Contracts

The second layer of PGN's decentralized custody involves the innovative use of smart contracts to manage the funds generated from and utilized for gold transactions within the network. These blockchain-based contracts hold the funds in escrow, releasing them only upon the fulfillment of predefined conditions, such as the redemption of Cyphers for physical gold or the purchase of Cyphers. This not only automates and secures transactions but also ensures that the movement of funds is transparent and tamper-proof, fostering trust among network participants.