DEFINITION
Counterparty Risk
Counterparty Risk Management
Definition
The risk that the other party in a transaction will fail to fulfill their obligations. In agent economies, Web3 wallets and blockchain rails handle this through transparent, verifiable settlement mechanisms rather than relying on centralized trust
Examples in the Wild
- Example 1:Agent payment system where service provider doesn't deliver after payment
- Example 2:Agent wallet system where counterparty fails to settle transaction
- Example 3:Multi-agent transaction where one party defaults