The insurance is redeemable anytime the recipient feels like it should be. - Users become habituated to extending stakes/bonds/“permissions to spend”/trustlines (verbiage refinement is important) to people they trust, in an amount never exceeding the amount the other person values the relationship. - Users lock/withdraw the amount of funds they would like insured along the maximal flow of trustlines from the oracle to themselves. - User client software is capable of presenting evidence of wrongdoing to users in the case of arbitration.
Another name for optimistic systems?