How does it hold the devcoins in Escrow?
It doesn't. It is a community currency bank type of program. It has clients for all the phones, the ability to let people sell things for the currency on their websites and all that kind of stuff, but never heard of cryptocoins.
Having people create modules for deposit and disbursement of cryptocoins would be nice things to offer bounties for, heck maybe even just continuing work on the free open source version now that - or when - the original developers move on to a proprietary version might be a darn good thing for DevCoin to consider supporting...
This is part of why I worry about admins.
I need to figure out whether I can give people the ability to admin the ads for example without the ability to change anyone's balances.
With Open Transactions people's balances cannot be changed without them signing off on the change.
Normal banks that is not the case.
I do not want to record on my Open Transactions server that The Bank of Devcoin, or DVCbank, or DVCcyclos or whatever I am going to call it on the Open Transactions side has X number of (digi)DeVCoins, by locking up the corresponding dDVC (digiDeVCoins) on the Open Transactions server, only to find later that on the Cyclos side they issued more than that many DeVCoins of balances to their users.
Unless it is in fact agreed that the DVCbank will operate on a fractional reserve basis, of course.
I am thinking maybe it would be useful if any withdraw from Cyclos type of functions can be locked up in the event a user has an outstanding loan, so that loaned balances cannot stray beyond the confines of the Cyclos system. That way even if they do go fractional reserve they won't actually leak any DeVCoins (or digiDevCoins, which is really what I plan to have the Cyclos balances represent).
There are so far only 210 million digiDeVCoins (dDVC) issued on the Open Transactions server, corresponding to real DeVCoins I have in wallets.
There is no withdrawing from those wallets. Hot wallet functionality is totally distinct from and over-and-above those cold wallet coins.
The cold coins are intended to be frozen "forever", that is, until I foresee no future need for any dDVC to exist.
Hot wallets are thus in addition to those 100% reserves, so that even if a hot wallet vanished the dDVC tokens in the Open Transactions system would still continue to each represent one whole DeVCoin frozen in a wallet.
Ideally hotwallet services (the buying and selling of the dDVC tokens for/with actual on the blockchain DeVCoins) would be done by third parties.
-MarkM-