Since BitStock exchange does not hold and manipulate with users bitcoins, it has to rely on users to send the bitcoins to the buyers.
BitStock exchange would not work, if sellers would not send bitcoins to the buyers frequently. To avoid this, there is a refundable sales deposit which is blocked on BitStock account when a user wants to sell bitcoins.
The sales deposit has been established at approximately 10 % of value of the transaction. After the bitcoins are sent to the buyer and the bitcoin transaction is verified in bitcoin network (blockchain), the deposit is released (unblocked) and seller can again, without restrictions, fully operate with the unblocked deposit.
If a trade is closed and seller does not send bitcoins to the buyer, then 70 % of the sales deposit is transferred to the buyer as an indemnity and 30 % is acquired by BitStock exchange as administration fee. In case the buyer does not receive bitcoins from seller, buyer will not pay for the bitcoins and instead is reimbursed from the sellers deposit.
If the seller is not sending bitcoins repeatedly, the sales deposit can be raised up to five times the original value! The last resort is also removing BitStock account for a user that repeatedly fails to send the bitcoins.
Deposit fee is about 10 % of price for new users. After 5 finished trades (“sell” orders) when a user is an experienced seller already, the sales deposit is dynamically counted from the sell history of the user.
Always last 5 trades (“sell” orders) of the user are checked. For each trade, in which user did not send the bitcoins to the buyer, the base deposit size is multiplied.
Due to this refundable sales deposit the BitStock exchange can keep the market clean from dishonest sellers and guarantee a smooth experience for the buyer. All BitStock bitcoin orders are backed with this deposit fee and sellers are motivated to transfer all bitcoins to their rightful new owner.