Multisignature escrow is a system that enhances the security and trust in transactions involving digital assets. It requires multiple signatures from predefined parties to authorize a transaction, usually involving two or more individuals. In this arrangement, a third party, often called an escrow agent, holds the assets until the conditions of the agreement are met. For example, in a buying and selling scenario, the buyer’s payment can be held in escrow until the seller delivers the agreed-upon goods or services. To complete the transaction, both the buyer and seller must provide their digital signatures, adding an extra layer of protection. This prevents either party from acting unilaterally, reducing the risk of fraud. If the transaction is successful, the escrow agent releases the funds to the seller. If there is a dispute, the terms of the agreement will determine the next steps. This method is particularly beneficial for peer-to-peer transactions, where trust between parties may be limited.