Budget Allocation Deployed

For: Casino Operators

Implements: UC-4.2 — spec →

Allocation is the second stage of the escrow process. When you approve a streamer, you lock a specific portion of your deposited funds for them — defining how many streams you're paying for and how much each stream is worth.

How it works

When you approve an application and set up the payment structure, the platform:

1. Generates a unique cryptographic secret for each stream slot (stored internally — never shown in the UI)
2. Builds a compact commitment covering all slots (a Merkle tree)
3. Locks the total amount on-chain, linked to the streamer's wallet address and a deadline

The streamer's Reward section becomes active immediately.

Payment structure

You define:

• Number of slots — how many streams you're paying for (e.g. 4 weekly streams)
• Amount per slot — USDC per stream
• Deadline — the date by which all confirmed slots must be claimed

After the deadline, any unconfirmed slots can be refunded back to you. See Refund.

How payment is released

Each slot is independent. When you confirm a streamer's delivery submission, the platform:

1. Calls the escrow contract to release that slot's USDC directly to the streamer's wallet — on-chain, immediately
2. Marks the slot as Confirmed

The streamer doesn't need to take any action — the payment arrives in their wallet automatically when you confirm. Your Confirm action is the payment trigger.

Each slot is independent

You confirm and pay slots one at a time. If a streamer delivers 2 out of 4 slots, those 2 are paid when confirmed. The remaining 2 can be refunded once the deadline passes.

How Merkle allocation works (technical)

Each slot gets its own independent payment secret. The platform uses a Merkle tree to bundle all slot secrets into a single on-chain commitment — minimising gas costs while keeping each slot independently payable.

What this means in practice:

• Each slot can be confirmed and paid independently — you don't wait for all slots to finish
• If a streamer delivers 2 out of 4 slots and stops, you can refund the remaining 2
• Each slot's payment can only go to the streamer's registered wallet address — it cannot be redirected

Security

• Secrets are never revealed in the UI — the platform manages them internally and uses them only when you confirm delivery
• Each secret can only be used once — replay attacks are blocked by the contract
• Payment destination is fixed at allocation time — funds go to the streamer's registered address, nowhere else
• Verifluence is not a custodian — the HTLC contract transfers directly; the platform cannot intercept or redirect funds

Also see: Budget Allocation in the Escrow Details section for the full technical breakdown.