Instead of changing the keys would it not be more effective to change the authorities on the account? Once the loan is repaid they can be changed back without the need to send the keys back and forth.
More specifically:
- Add another owner and active key.
- Change the thresholds on the owner authorities so that only the new owner key can perform actions.
- Once the loan is repaid change everyting back.
The full on replacement of keys wiping out the previous user claim to the account is the only way to truly ensure that the borrower can't decide to cause mayhem and reroute powerdowns or snipe scheduled repayment HIVE to jeopardize the lenders capital being repaid according to contract.
You can add other keys and chang the thresholds for performing actions at every key level.
If you setup and account with the following setup you can ensure that the borrower cannot perform unwanted actions:
Owner key 1 49%
Owner key 2 51%
Threshold 51%
Only key 2 can perform actions related to the owner authority.
Will certainly have to look into the feasibility of threshold manipulation to perhaps serve a method of ensuring repayment on non-critical lending contract amounts. Certainly an interesting approach to this.
Highly appreciate you taking time out of your day to point this out to me.
Even if you change the master password there is an additional risk for the lender during the first 30 days while the change in the account recovery kicks in. One way of mitigating that could be to release in installments until that change is irreversable.
Yep! One of the prerequisites to being able to access the ability to accept lending contracts is having a whitelisted recovery account for >= 30 days prior to attempting to get a loan.
Cool! Anyway I voted for your proposal. We badly need this type of development. Have a great day!
Thanks for the vote! And also seriosuly thank you for pointing out a potential alternative method in handling account control. Will look into what you've stated and see if it fits into the future application model anywhere.
Have a gooder!
Without relinquishing claim to the account it can't be truly considered being held in escrow awaiting loan repayment. The reason why this model works out to minimize lender risk is regardless of if the borrowers disappears or meets their fate or whatever outcome may be the loan will get repaid.
Perhaps your method would work but on a fundementals basis it's much easier to explain to a user that the accounts keys and therefore ownership are changed outright rather than trying to explain the subtle nuances of key threshholds and such.
I do thoroughly like your idea though..! I might experiment with something along these lines out of curiosity just to see if the 100% intended effects of key changing filter over to key threshold modifications.