Payoneer Escrow sent out an email to some of its partners today to inform them that the company is exiting the domain escrow business, and I was forwarded the email. Payoneer Head of Strategy and Business Development Matt Watts sent an email stating, “it’s with sincere apologies that I’m sharing news that Payoneer is discontinuing our escrow business.” The email continued, “While we have been excited and honored to service customers and partners like yourself, after careful review of our product portfolio have decided to commit our focus to other areas of the Payoneer business.”
In 2016, Payoneer acquired a California-licensed Internet escrow agent doing business as Armor Payments, and the company began offering domain name escrow services. Brandon Abbey, formerly of Escrow.com, was hired by the company to help get its start in the domain escrow business. The global payments company has been offering domain name escrow services for approximately two years.
I believe the company will continue to see out any deals in escrow, but I don’t believe they will be taking on additional transactions. I am not sure what will happen to any holding deals where domain names are in escrow with payment plans. I presume the company will contact clients who are impacted (if there are any). Update: I was told the company will honor its obligations related to transactions in progress.
I don’t really have much additional information to share at this point. I have a call scheduled with Matt for tomorrow morning and will try to fill in additional details that I learn. Hopefully, Payoneer will send an email to all customers who have signed up for accounts on Payoneer Escrow to let them know about this news so they can plan their business accordingly.
More to come…
It would not be easy competing with Escrow.com even with Escrow.com’s issues. They have “the name” and it would take a big brand to knock them off their perch.
The best alternatives is just direct wires, PayPal etc.
So, no escrow at all, or just not domain holding escrow? Can we still use them for escrow where they do not hold the domain?
I believe they will no longer be doing any domain name escrow transactions.
Well this sucks… 🙁
Some customers saw it coming: https://domaingang.com/domain-news/payoneer-customer-claims-there-are-payment-issues-with-domain-escrow-services/
The problems most likely started with the Choice Bank of Belize issue, that was a processor of many adult-related services: https://domaingang.com/domain-news/choice-bank-payoneer-card-issuer-in-liquidity-constrained-position/
That’s very bad news. Now the monster escrow.com will be monopolist again ((
What about these guys. I’m some of you must know them:
http://www.escrow.domains
“Although G&L has been providing domain name escrow for many years and will continue to do so by hand on custom and complicated domain name transactions (1031 domain exchanges, multi-party domain name swaps, three or more party financed transactions, etc.) the simpler escrow transactions have, as of late, gone to the larger and fully automated escrow houses.
In an effort to compete and lower prices for such transactions G&L is now offering a more automated system at https://escrow.domains.
Included in the system is the ability to see all emails in and out of the system when not confidential, the ability to upload your base contract or to use contract templates provided for free as well as an affiliate system for those of you who would like to refer transactions to us.”
I see there is a 2015 testimonial on their site from Andrew Rosener accusing one of them of practicing cannibalism. :O 😀