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RE: Do you have any idea what a Smart Contract is?

in Project HOPE4 years ago

Interesting choice of topic. As you rightly pointed out, contracts are typically written agreements that are usually legally enforceable. Smart contracts are basically contracts version 2.0.

Why? Because it solves the trust issue. With any contracts, you have to trust the counter-party and the party which ensures its enforcement. With smart contracts, code is law. You place your trust on a decentralized smart contracts platform (e.g. Ethereum) instead of your local bank or government.

You are also right on saying these are computer programs. Imagine the entire smart contract platform as one huge computer. Smart contracts are the individual programs "installed" on the computer to execute tasks. Such is the beauty of smart contracts

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Why? Because it solves the problem of trust.

This is undoubtedly a necessary point, which in itself allows for a great gain. It allows trust in this type of contract, which is not very susceptible to non-compliance.

Thnak you @culgin