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Integration Notes for Auditors

Understanding Context is Critical

WERC7575 is a settlement platform for commercial counterparties, not a consumer wallet. Restricted withdrawals are not censorship: banks freeze accounts during fraud investigations, escrows hold funds until counterparty release, and clearing houses lock positions through the settlement period. The same logic applies here.

The correct audit questions: Can withdrawal permission be abused to steal funds? Do safeguards exist against a validator blocking legitimate withdrawals?

What Makes This Different from DeFi

DeFi StandardWERC7575 Settlement
Permissionless accessKYC required (regulatory)
Instant withdrawalsPermission required (settlement safety)
No operator controlValidator controls (operational necessity)
Code is lawCode + legal agreements
Trust-minimizedTrust professional operators

These differences are the business model, not defects.