Escrow System

How Solwagers uses Solana escrow wallets to securely hold and distribute wager funds.

Overview

Every game on Solwagers has a unique Solana escrow wallet. When a game is created, a new Solana keypair is generated specifically for that game. Both players send their wager amount to this escrow wallet address. The funds are held there until the game completes, at which point the winner receives the payout directly to their wallet.

Solana Escrow System Flow Diagram

How It Works

  • 1.When a game is created, a fresh Solana keypair is generated. The public key becomes the escrow wallet address.
  • 2.The game creator sends the wager amount in SOL to the escrow wallet from their own Solana wallet.
  • 3.The platform verifies the incoming transaction — it must be a native SOL transfer (not an SPL token transfer) of the correct amount.
  • 4.When an opponent joins, they send the same wager amount to the same escrow wallet address.
  • 5.Once both players have paid, the game becomes active and can begin.
  • 6.When the game ends, the server uses the escrow keypair to send the winnings to the winner's wallet.

Native SOL Only

The platform only accepts native SOL transfers to escrow wallets. SPL token transfers are rejected during verification to prevent exploits.

Escrow Lifecycle

PhaseDescriptionFunds Status
WaitingGame created, escrow wallet generated. Creator sends SOL.Partial deposit
ActiveOpponent joins and sends matching SOL amount.Fully funded
In ProgressGame is being played.Held in escrow
CompletedWinner determined, payout sent from escrow to winner.Released to winner
CancelledNo opponent joined or game abandoned.Returned to depositors

Payout Process

When a game finishes and the winner is determined:

  • The game server verifies the result and identifies the winner
  • A payout transaction is built using the escrow keypair — transferring the total wager pool (minus fees) to the winner's wallet via Solana's SystemProgram.transfer
  • The transaction is signed with the escrow keypair and submitted to the Solana network
  • Once confirmed on-chain, the transaction signature is stored on the game record
  • Duplicate payouts are prevented — once a payout signature exists, the endpoint will not process a second payout

Fast Settlement

Thanks to Solana's fast block times, payouts are typically confirmed within a few seconds of the game ending.

Fees

Fee TypeAmountNotes
Platform Fee0.1%Deducted from the total wager pool before payout to the winner
Solana Transaction Fee~0.000005 SOLStandard Solana network fee, paid from the escrow wallet balance

Security

  • Each game has its own unique escrow wallet — no shared wallets between games
  • Transaction verification ensures only native SOL transfers of the correct amount are accepted
  • Payout transactions require server-side API key authentication — they cannot be triggered by clients directly
  • Duplicate payout prevention ensures funds cannot be withdrawn twice
  • Always verify the escrow wallet address shown on the game page before sending SOL

Security Warning

Only send SOL to escrow wallet addresses displayed directly on the Solwagers platform. Never send SOL to addresses shared via external messages or links.

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