Hackers.Market

Problem Statement

DescriptionHackers.Market is the world's first anti-coercion P2P escrow protocol that fundamentally reimagines how peer-to-peer transactions should work in a world where physical safety and digital security must coexist.The Critical Problem We SolveTraditional P2P trading platforms have a fatal flaw: once a bad actor gains physical control over a victim, they can force them to release escrowed funds regardless of whether the transaction was completed. This vulnerability has led to countless cases of robbery, extortion, and physical harm in offline P2P transactions, particularly in high-value cryptocurrency trades. Current escrow services, while providing basic fund protection, completely ignore this human element of physical safety.Our Revolutionary SolutionHackers.Market introduces a multi-layered defense system against coercion attacks through:Time-Locked Fund Release SystemMandatory waiting periods (dynamically calculated based on transaction value, party reputation, and KYC levels) make immediate fund access impossibleEven under duress, victims cannot release funds instantly, making physical coercion economically irrational for attackersEmergency Stop MechanismPanic code system allows victims to secretly trigger extended lock periods during threatening situationsBiometric authentication and secure panic code generation built into the platform Pattern detection prevents abuse while ensuring legitimate emergency activationsFactory-Pattern Smart Contract ArchitectureSellers deploy their own escrow contracts through our EscrowFactory, maintaining full responsibility for listingsModular infrastructure with pluggable components for time-locks, dispute resolution, reputation scoring, and emergency handling EIP-7702 ready for future account abstraction and delegated escrow creationComprehensive Multi-DID Reputation SystemIntegration with 7+ decentralized identity providers (ENS, Lens, WorldID, BrightID, etc.) Multi-dimensional reputation scoring across trading history, dispute resolution, and KYC verificationCross-platform reputation aggregation with time-decay mechanismsTechnical ImplementationSmart Contract Infrastructure:EscrowFactory for deploying minimal proxy contractsIndividual EscrowImplementation contracts for each tradeModular system with KYCModule, TimeLockModule, DisputeResolver, ReputationOracle, and - - EmergencyModuleAutomated fund distribution and state managementFull-Stack Application:Next.js 14 frontend with wagmi/viem for Web3 integrationMulti-chain balance management with unified dashboardReal-time transaction monitoring with WebSocket connectionsPWA support for mobile-first experienceAdvanced Integrations:1inch: Complete integration of Fusion+, Fusion Protocol, Classic Swap, and Limit Order Protocol for optimal trade executionCircle USDC/EURC: Multi-chain stablecoin infrastructure across 6+ chains with CCTP integrationEtherlink: L2 deployment for gas-efficient operations with 2-3 second finalityLayerZero OFT (post-hackathon): Omnichain governance token for cross-chain participationWhy This MattersThe global P2P trading market is projected to reach $84.75 billion by 2034, yet no platform currently addresses the fundamental security vulnerability of physical coercion. With the explosion of RWA tokenization (reaching $152 billion in 2024), the need for secure P2P trading infrastructure has never been more critical.Hackers.Market isn't just another escrow service – it's a paradigm shift that makes P2P commerce truly safe for the first time. By combining cutting-edge blockchain technology with real-world safety mechanisms, we're building the foundation for a new era of trustless, coercion-resistant commerce where users can trade anything, anywhere, without fear.Our platform supports multiple asset classes (crypto, RWAs, digital goods), operates across multiple chains, and provides a unified experience that makes complex cross-chain operations as simple as traditional single-chain transactions. With competitive 2.5% transaction fees and additional revenue streams from premium services, we're building a sustainable business that prioritizes user safety above all else.

Solution

Core Architecture: The Factory Pattern RevolutionWe built Hackers.Market using a sophisticated factory pattern where sellers deploy their own escrow contracts through our EscrowFactory, maintaining full responsibility while benefiting from our security infrastructure. This approach reduces deployment costs by 90% using minimal proxy contracts (EIP-1167) and creates a modular system where each component can be upgraded independently.The 1inch Integration Deep DiveWe implemented every single 1inch API to create the most comprehensive integration possible:Fusion+ Protocol: Enables cross-chain escrow settlements with intent-based routing, allowing users to fund escrows from any chain and settle on another without manual bridging. Multi-Protocol Optimization: Our system intelligently routes between Fusion+, Fusion, and Classic Swap based on transaction urgency, liquidity availability, and gas costs. This ensures users always get the best execution price.Advanced Trading Features: Built TWAP orders on top of 1inch's Limit Order Protocol that integrate with our anti-coercion time-locks, allowing gradual order execution that reduces price impact while maintaining security.The Etherlink L2 OptimizationWe deployed our entire infrastructure on Etherlink to leverage 2-3 second finality and 99% gas reduction. This makes micro-transactions viable and significantly improves user experience. We custom-optimized our time-lock calculations to account for Etherlink's faster block times.Circle USDC/EURC Multi-Chain InfrastructureOur Circle integration creates a unified balance system that aggregates USDC/EURC across all supported chains. Users see one balance and can pay from any chain - we handle all the complexity using Circle's Cross-Chain Transfer Protocol (CCTP). Fee payments work in any token through automatic 1inch swaps to USDC.Frontend Technical ExcellenceBuilt with Next.js 14 App Router, our frontend features:Real-time WebSocket updates for escrow state changesBiometric panic button activation using Web Authentication APIPWA support for mobile-first experienceOptimistic updates for instant UI feedbackThe Innovative "Hacks"Coercion Detection Algorithm: Analyzes on-chain patterns including sudden location changes, unusual timing, and failed release attempts to automatically detect potential coercion situations.Ghost Transaction Feature: When users enter panic codes, we display a fake "successful" transaction while actually extending the lock period by 72 hours and alerting our security team.Cross-Chain Reputation System: Novel approach that aggregates reputation scores across all chains without using oracles, calculating weighted scores based on chain activity and importance.Instant Settlement Illusion: Shows users a "settled" status with countdown timer during the lock period, reducing anxiety while maintaining security.Backend InfrastructureWe are gonna to build a custom multi-chain indexer using The Graph (post-hackathon) that maintains unified transaction history across 6+ chains. Our distributed panic button system uses Redis pub/sub for instant emergency broadcasts and Cloudflare Workers for edge-based detection. All evidence is stored immutably on IPFS for dispute resolution.Performance OptimizationsGas costs are minimized through storage packing, batch operations, and our minimal proxy pattern. Frontend performance is enhanced with Suspense boundaries for async loading, Service Workers for offline monitoring, and aggressive caching strategies.Integration SymphonyEvery sponsor technology amplifies our core mission:1inch handles complex DeFi routing behind simple "Send USDC" buttonsCircle provides stable, multi-chain currency infrastructureEtherlink makes transactions affordable for everyoneLayerZero (planned) will enable truly omnichain governanceThe magic of Hackers.Market is hiding all this complexity behind a simple interface. Users just click "Create Escrow" while we orchestrate cutting-edge Web3 technologies to keep them safe. We're not just building another DeFi protocol – we're solving a real-world safety problem that affects millions of P2P traders globally.