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@@ -86,6 +86,13 @@ _**NOTE** In the process of spending TXN1, Alice reveals the SECRET inside TXN2,
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10. **Atomic Swap Completed**
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+_**IMPORTANT**_
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+_Notice that Alice's offer to Bob was locked for 3 weeks, yet Bob's offer to Alice was locked for only 2 weeks._
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+* _A Time-Lock differential is necessary to avoid the scenario where Alice takes both the 1 BTC and account X containing 100 PASC by revealing the SECRET at the moment the time-lock of X to Bob expires._
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+* _With this time difference, if after 2 weeks Alice has not revealed SECRET, Bob can determine Alice is acting in bad faith (or has abandoned the contract) giving him 1 week to safely cancel the swap and reclaim his 1 BTC._
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+* _In this eventuality, Alice does not lose her PASC since she never revealed SECRET. She can safely reclaim her PASC after account X's time-lock to Bob expires in 3 weeks_.
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## Specification
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The following changes are required to implement this type of HLTC in PascalCoin.
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