During the creation of a Fund, you’ll be prompted to set up a Default Transaction Approval Policy and a Default Withdrawal Approval Policy. Similarly, when creating a wallet within a Fund, you’ll be prompted to choose between inheriting the set Fund’s policies or create custom ones.
The approval policies govern over many Fund/wallet actions on Qredo. The appointed Approvers can Authorize or Reject these actions. The set Threshold dictates how many authorizations are required for a particular action to be completed. Make sure that you learn how Members & Roles work on Qredo before you finish setting things up.
Note that you should be careful when selecting the Fund's/wallet's threshold, too. If all Approvers are needed to meet the threshold, losing access to a single account will render that Fund/wallet unusable and all the involved assets permanently locked.
Example 1:
- A transaction is initiated within a wallet with a 2/3 threshold Transaction Approval Policy.
- Two of the three appointed Approvers Authorize the transfer.
- The transaction completes.
Example 2:
- A transaction is initiated within a wallet with a 3/3 threshold Transaction Approval Policy.
- Two of the three appointed Approvers Authorize the transfer.
- The transaction will eventually expire.
Example 3:
- A transaction is initiated within a wallet with a 3/3 threshold Transaction Approval Policy.
- Two of the three appointed Approvers Authorize the transfer. One appointed Approver rejects the transaction
- The transaction is rejected.