Non-Custodial Model

Non-Custodial Model

You Always Control Your Funds

Dinario is fully non-custodial. We never hold, control, or have access to your cryptocurrency at any point in the process.


What is Non-Custodial?

Non-custodial means:

  • ✅ You control your private keys

  • ✅ You approve every transaction

  • ✅ You can cancel before signing

  • ✅ No one can access your funds without your permission

Custodial (what we DON'T do):

  • ❌ Company holds your crypto

  • ❌ Company controls your private keys

  • ❌ You trust company not to steal/lose your funds

  • ❌ Company can freeze your account

Examples:

  • Non-custodial: Phantom, Solflare, Dinario ✅

  • Custodial: Coinbase, Kraken, Binance ❌


How Dinario Maintains Non-Custody

Step 1: Wallet Connection (Read-Only)

When you connect your wallet to Dinario:

  • We get read-only access to see your balances

  • We CANNOT initiate transactions without your approval

  • We CANNOT access your private keys

  • We CANNOT move your funds

Technical: We use Solana wallet adapters (Phantom, Solflare, etc.) which only allow read access and signature requests.


Step 2: Transaction Approval (You Sign)

When you initiate a cash-out:

  • Dinario creates a transaction

  • Your wallet shows you the EXACT details:

    • Amount being sent

    • Destination address (Dinario contract)

    • Gas fee

  • YOU must approve in your wallet

  • Without your signature, nothing happens

You can:

  • ✅ Review the transaction details

  • ✅ Reject if something looks wrong

  • ✅ Close the browser and nothing happens


Step 3: Smart Contract (Automated, Not Custodial)

Once you approve:

  • Your crypto is sent to Dinario's smart contract (not a company wallet)

  • Smart contract automatically:

    • Generates ephemeral wallet

    • Initiates Jupiter swap (if needed)

    • Sends USDC to Bridge

  • This happens in seconds (not days)

Why this is non-custodial:

  • Smart contracts are code, not people

  • Code executes automatically

  • No human can intervene or steal funds

  • Process is verifiable on-chain

Analogy: It's like a vending machine. You put money in, machine automatically gives you a snack. No human touches your money.


Step 4: No Deposits, No Accounts

Unlike centralized exchanges, Dinario:

  • ❌ Does NOT require you to deposit crypto first

  • ❌ Does NOT hold your funds in an account

  • ❌ Does NOT have a balance you need to withdraw

How Dinario works:

  • ✅ Direct transaction from your wallet

  • ✅ Processed immediately

  • ✅ No intermediate holding period

Comparison:

Coinbase (Custodial)
Dinario (Non-Custodial)

1. Deposit crypto to Coinbase

1. Connect wallet (read-only)

2. Coinbase holds your crypto

2. Keep crypto in YOUR wallet

3. Wait for deposit confirmation

3. Initiate cash-out

4. Sell on Coinbase

4. Approve transaction in wallet

5. Withdraw to bank

5. Smart contract processes instantly

6. Wait 1-3 days

6. Funds arrive in 1-2 days

Time in custody: Days vs. Seconds


What Happens If...?

❓ What if Dinario's website goes down?

Answer: Your crypto is safe in YOUR wallet. Dinario cannot access it.

Why: We don't hold your funds, you do.


❓ What if Dinario shuts down?

Answer: Your crypto is safe in YOUR wallet. You lose access to the cash-out service, but not your funds.

Why: Non-custodial means you always control your crypto.


❓ What if I change my mind after approving?

Answer: Once you sign the transaction, it's processed immediately by the smart contract. You cannot cancel.

Why: Blockchain transactions are irreversible.

Prevention: Always review transaction details before signing!


❓ What if there's a bug in the smart contract?

Answer: We've implemented safety measures:

  • Multi-step testing on devnet

  • Limited contract permissions

  • Open source code (auditable)

Risk: Smart contract bugs are rare but possible. Use at your own risk (beta software).


❓ Can Dinario freeze my funds?

Answer: No. We cannot freeze, block, or control your funds.

Why: Your crypto is in YOUR wallet or in an automated smart contract.

Only you can: Send, hold, or move your crypto.


Comparison: Custodial vs. Non-Custodial

Feature
Custodial (Coinbase)
Non-Custodial (Dinario)

Who holds crypto?

Company

You

Who has private keys?

Company

You

Can company freeze funds?

Yes

No

Can company steal funds?

Technically yes

No

Do you trust the company?

Yes (required)

No (not needed)

Account required?

Yes

No

Deposit required?

Yes

No

Withdrawal delays?

Yes (1-3 days)

No (instant processing)

Dinario's approach: Trust the code, not the company.


Security Best Practices

Even though Dinario is non-custodial, you should:

  1. Verify transaction details before signing

    • Check amount

    • Check destination address

    • Check fees

  2. Use a hardware wallet for large amounts

    • Ledger + Phantom

    • Extra security for your private keys

  3. Never share your seed phrase

    • Dinario will NEVER ask for your seed phrase

    • Anyone asking is a scammer

  4. Verify the website URL

    • Always use: https://privacy.dinario.app/

    • Beware of phishing sites

  5. Start with a small amount

    • Test with $50-100 first

    • Verify the process works

    • Then scale up


Trust Model

Traditional finance: Trust the bank Custodial crypto: Trust the exchange Dinario: Trust the code + trust the fiat partner

What you trust:

  • ✅ Dinario's smart contract (open source, auditable)

  • ✅ Bridge's fiat conversion (licensed, regulated)

  • ✅ Your own wallet (you control)

What you DON'T need to trust:

  • ❌ Dinario won't steal your crypto (we can't)

  • ❌ Dinario won't freeze your funds (we can't)

  • ❌ Dinario won't lose your crypto (we don't hold it)


Next: KYC & AML to understand compliance requirements.

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