> ## Documentation Index
> Fetch the complete documentation index at: https://kleros-mintlify-6ebc7975.mintlify.site/llms.txt
> Use this file to discover all available pages before exploring further.

# Escrow V1

> Kleros Escrow V1 documentation: decentralized escrow smart contract on Ethereum Mainnet with Kleros Court dispute resolution and ERC-20 token support.

# Escrow V1

<Note>
  Escrow V1 is production-proven on Ethereum L1 and remains active for web3 integrations. A V2 version is available: [Escrow V2](/products/escrow) on Arbitrum.
</Note>

Kleros Escrow V1 is the original decentralized escrow platform on Ethereum Mainnet. It allowed two parties to lock funds in a smart contract, with Kleros Court available as a dispute resolution mechanism if the parties disagreed.

***

## Token support

<Danger>
  **Non-standard ERC-20 tokens are not supported.** Tokens such as USDT, BNB, and OMG are **not compatible** with Kleros Escrow V1. These tokens use non-standard transfer implementations that may cause transactions to fail or funds to become stuck.
</Danger>

Escrow V1 only supports ETH and standard ERC-20 tokens. Non-standard tokens typically have one or more of the following characteristics:

* **No return value on `transfer`/`transferFrom`** (e.g., USDT, BNB, OMG)
* **Fee-on-transfer** mechanisms that reduce the received amount
* **Rebasing** supply adjustments
* **Pausable** transfers that can be frozen by an admin

Non-standard tokens are supported on [Escrow V2](/products/escrow), which includes `SafeERC20` handling and automatic safety checks for broader token compatibility.

***

## Key differences from V2

| Feature             | V1                         | V2                                   |
| ------------------- | -------------------------- | ------------------------------------ |
| Network             | Ethereum Mainnet           | Arbitrum One                         |
| Token Support       | ETH only                   | ETH + any ERC-20 token               |
| Non-standard ERC-20 | Not supported              | Supported via SafeERC20              |
| Settlement          | Basic                      | Structured proposal/counter-proposal |
| Platform Fees       | None                       | None                                 |
| Evidence/Appeals    | Handled by escrow contract | Handled by Court                     |

V2 introduced structured settlement negotiation, multi-token support, and moved evidence and appeal handling to the Court, simplifying the escrow contract. See [Escrow V2](/products/escrow) for current documentation.