How does orders work on CP, in terms of outputs

How do orders work?
The order amount must be escrowed by the network, so how does this work? What address does it get sent to? Sure it can’t be sent to an address that the person placing the order controls. So it must be some Multisig account controlled by the network? does this mean that atomic swaps in counterparty are not possible?

I don’t think when you place a market order the BS it’s actually move from your account but rather are escrowed in the overall counterparty database . So you still hold the tokens but per the protocol you cannot spend those tokens and less you cancel your existing market order .

@brighton36 is this correct ?