Smart contracts are not a new phenomenon. Their concept was first proposed by American cryptographer and law expert Nick Szabo in 1994. However, this idea became popular only in 2008, when the blockchain technology was invented. Blockchain technology provides a decentralized network – the only possible base for smart contracts operation. Smart contracts can automate and greatly simplify work in many life spheres, such as logistics, management, and jurisprudence, and we are going to tell you how.
A smart contract is a code, which is stored and duplicated in the system. With the smart contracts you can provide and use services, supply products and pay for them without involving intermediaries and taking any risks.
To execute a contract or an agreement, you often have to apply to a lawyer and wait for the papers to be registered. The smart contracts can make it simple: you can set up your own terms and their execution will be monitored automatically. At a certain moment the program confirms the completion of the terms, then either transfers the specified asset to the account of one party, or returns it to another party, or makes any other actions, depending on the initial conditions.
To execute a contract or an agreement, you often have to apply to a lawyer and wait for the papers to be registered. The smart contracts can make it simple: you can set up your own terms and their execution will be monitored automatically. At a certain moment the program confirms the completion of the terms, then either transfers the specified asset to the account of one party, or returns it to another party, or makes any other actions, depending on the initial conditions.
