> ## Documentation Index
> Fetch the complete documentation index at: https://docs.conduitpay.xyz/llms.txt
> Use this file to discover all available pages before exploring further.

# AI Dispute Agent

> Gemini-powered mediation that resolves escrow disputes automatically.

Conduit uses an AI mediator powered by **Google Gemini 2.0 Flash** to automatically resolve escrow disputes. When a dispute is escalated, the AI reads the full evidence thread and issues a binding verdict.

## How it works

<Steps>
  <Step title="Evidence is submitted">
    Both parties submit their case in the mediation thread.
  </Step>

  <Step title="AI reads the thread">
    Gemini analyzes the full escrow details and every message.
  </Step>

  <Step title="Verdict is issued">
    A structured verdict is returned with a confidence score.
  </Step>

  <Step title="Auto-execution">
    If confidence is 80%+, the verdict executes automatically via Circle wallet. Otherwise it's saved as advisory for admin review.
  </Step>
</Steps>

## Verdict types

| Verdict     | Meaning             | When issued                                     |
| ----------- | ------------------- | ----------------------------------------------- |
| `RELEASE`   | Funds go to seller  | Seller provided convincing delivery evidence    |
| `REFUND`    | Funds go to buyer   | Seller failed to deliver or ignored the dispute |
| `UNCERTAIN` | Human review needed | Evidence is genuinely ambiguous                 |

## Confidence scoring

| Confidence | Behavior               |
| ---------- | ---------------------- |
| 80–100%    | Auto-executes on-chain |
| 50–79%     | Advisory only          |
| Below 50%  | Returns UNCERTAIN      |

## Fairness

The AI evaluates only the content of the dispute thread — not wallet identities or amounts. It cannot be biased toward buyer or seller. Decisions are consistent, evidence-based, and instant.

<Info>
  Auto-execution happens via Circle Developer-Controlled Wallets. No human presses a button — the USDC transfer executes directly on Arc when confidence is sufficient.
</Info>