Conditional Payment

Conditional payment in cryptocurrency refers to a transaction where the release of funds is dependent on certain conditions being met. These conditions are predefined by the sender and can vary depending on the agreement between parties.

For example, a conditional payment can be set up to only release the funds once a specific date is reached or if certain goods or services are delivered. This adds an extra layer of security and ensures that both parties fulfill their obligations before the transaction is completed.

Smart contracts are often used to facilitate conditional payments in cryptocurrencies. These self-executing contracts automatically enforce the terms of the agreement, eliminating the need for a trusted third party to oversee the transaction.

Overall, conditional payments provide a flexible and secure way to conduct transactions in the cryptocurrency space, giving users more control over their funds and providing a level of trust and transparency in the process.