Kleros, The Blockchain Justice System

Life isn’t always fair, but Kleros is

I remember not long ago working with a friend in a company as technical support. However, due to the economic situation of my country, the company had to make budget and personnel cuts. As far as my friend and I, we decided to work on our own as software developers.

For some reason that I don’t remember, for our luck, we managed to work for an entrepreneur in Panama, developing web applications for his e-commerce platform, remotely from our country. Everything went great, until there was a misunderstanding and he decided to say goodbye without paying for many services that were pending. Obviously, from our country there was no way to claim or denounce what happened and being independent workers we could not afford any kind of legal demand.

In our adventures, we have realized that situations like this don’t just happen to the developers... Then, we met other entrepreneurs in Chile, who had hired some programmers who, unfortunately, never finished the agreed system and cut off all communication. Finally, we take over the chilenan system and finish it successfully.

The issue is that at that time (2015) there was no means to resolve this type of disputes. Fortunately, today I come to talk about a very versatile tool, whose purpose is to resolve disputes in an impartial, fair, fast, cheap way (very important benefit) and totally encrypted (for the safety of all) based on the blockchain Ethereum, called Kleros.

With Kleros, we could have created a smart contract with the Panamanian businessman so that Kleros would take care of the payments and in case of disputes, truth and justice will prevail finding a just solution for both parties.

Likewise, the Chilean businessman would also have protected his investment by creating a smart contract with Kleros.

Kleros can resolve any type of conflict, quickly, without hiring lawyers, not notifying contracts in courts, or dealing with litigations, simply choosing the type of sub-cort in which we want to create our smart contract and pay the arbitration fee . The same sub-court decides the number of juries that will judge the evidence and make decisions in the event of a dispute.

Here we can see all the areas covered by the Kleros justice system.

As we can see, Kleros can resolve any dispute whether in Social Media, Car sharing DAO, e-commerce, Travel, e-sports, crowdfunding, finance, freelancers, insurance, etc.

How Kleros works

Kleros will ensure the system in many ways:

1.- Encourage users to be jurors, as they will receive arbitration fees once the dispute is decided, as long as their votes have coincided with the outcome of the dispute. If not, then instead of receiving compensation they will be debited an amount of their funds. As seen in the photo:

The losers must divide their inverted part among the winners.

2.- The juries are chosen randomly through a sufficiently complicated algorithm to avoid attacks.

3.- The juries must pay a fee to be jurors. This prevents others from posing as the same jury.

4.- Votes are made in a hidden way and in the end, they are revealed to corroborate the final decision.

5.- If one of the parties in conflict does not agree with the result generated by the court, he or she can appeal. Appeals are paid by both parties, however the affected party must pay an extra fee for each new jury, since the appeals will have twice as many juries as the previous arbitration; growing successively, the more appeals become, more expensive the quotas will be. In this way continuous appeals are avoided.

All processes and transactions are made with PNK tokens or pinakions, the coin of Kleros.

More information about Kleros

• Kleros Website
• Kleros Medium
• Kleros Telegram
• Kleros Twitter
• Kleros Github
• Kleros Forums

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This is my entry for the originalworks Kleros contest.

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Video presentation