Swap Funding FAQ: Flow, Custody and Validation
Separate execution-credit top-ups from conditional invoice jobs and evaluate their custody, settlement and recovery behaviour.
What does “swap funding” refer to?
Earlier pages used the term for both a Lightning-to-DAMAGE credit purchase and a conditional invoice/job/contract workflow. They should be evaluated separately. The payment-flow reference supplies the common definitions.
Does a normal top-up hold funds until tests pass?
The documented top-up listener credits DAMAGE after invoice settlement. It is not described as a milestone escrow. Check invoice settlement and token credit independently; this documentation does not establish atomic exchange.
What does the conditional job reference describe?
The step reference describes a hold invoice, a swap option and a job registry, followed by settlement-related assertions. That flow has pending states and cannot also be described as having no holding, no cancellation and immediate settlement in every case.
The presence of those steps is not a complete live acceptance record. Verify the installed module and exercise settle, cancel, expiry, duplicate callbacks and restart before offering the workflow.
Who controls the assets?
Document the actual wallet, key, preimage and contract authorities at each stage. Hosted Aeternity accounts are described as custodial; an external wallet may be user-controlled. A protocol name does not establish custody of every part of a service.
When is a contractor paid?
Under the documented contractor process, the maintainer reviews and accepts work, then records an agreed BTC or Lightning payment. A token-spend record pays for execution; it does not by itself show contractor compensation. Automatic payout requires separately demonstrated job logic.
Does DAMAGE guarantee a return or redemption?
No return, buyback, reserve backing or immediate conversion is promised by this documentation. DAMAGE's role is execution accounting as described in tokenomics. Use the service's actual quote and terms.
Does the terminology establish regulatory status?
No. “Software-only”, “utility”, “swap” and “non-custodial” do not establish a legal classification or exemption. Earlier categorical assertions about registration, custody and investment-scheme status are not retained. Assess the actual service, control of assets, parties and applicable obligations. The token terms must describe the arrangement being offered.
What would a useful demonstration show?
One job identity across the invoice, token credit, execution report, acceptance and any payout. Include a successful case, expiry, refusal, interruption and recovery. Publish the revision and results for the tested flow without extending them to every payment interface in the stack.