<p>Concerning blackmail, the security deposit must be high for both buyer and seller.<br>
A seller will simply not release the btc if he was blackmailed to accept less fiat out of anger. Thus it is very dangerous to try to blackmail as a buyer.<br>
The buyer is in fact at risk for blackmail due to the power of the seller to not release the btc after payment. So the sellers security deposit must be high enough to incentivize him to release the btc after payment.</p>

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