A chargeback is a dispute resolution mechanism in the world of electronic transactions. It occurs when the sender disputes a charge on their account and requests the platform to reverse the transaction.
A "malicious chargeback" refers to a situation where a chargeback is initiated by the sender with fraudulent intent or without valid reason. In such cases, the sender intentionally disputes a legitimate transaction in order to obtain a refund or to defraud the merchant. Malicious chargebacks can have serious consequences for merchants, including financial losses, increased fees, reputational and operational damages.
By using the 'E-Fund' service on the Athena Protocol you automatically agree to our Anti-Malicious Chargeback Policy which states
1. Malicious Chargeback that occurs before the trade is completed will result in a termination of the trade and return of assets back to the sender.
2. Malicious Chargeback that occurs after the trade is completed would be considered as Fradulent which has Financial and Legal Repercussions.
3. Malicious Chargeback that occurs after the trade is completed would incur a debt with specified intrest on the seller.
4. Malicious Chargeback can result to temporary suspension on Trading E-funds.
5. Repeated Malicious Chargeback can result to permanent ban on Trading E-funds.
6. KYC information is required for users with minimum $10,000 trading volume for E-funds.