Understand the blockchain, what is a smart contract?

A smart contract refers to a contract that does not require a third party (such as a notary or public official) to verify, publicize or execute!

Literally, it means that you can conduct fast, reliable and credible transactions with any third party without being restricted by ordinary contracts.

Advantages of smart contract

1, trust

Due to the unique information storage mode of blockchain, many computers can enjoy information and verify it independently. They can use the so-called "distributed ledger", which is effective and cannot be lost.

Step 2 support

Because of the mechanism of distributed ledger storing information, there are many copies in the network. This ensures that all created files and all executed contracts are backed up.

3. Autonomy

The network handles the handover and contract terms, and it is completely autonomous.

4. Speed

Traditional contracts need to be verified to communicate with third parties, while blockchain-based networks can accelerate this process to several hours or real-time transactions.

5. Automation

Smart contracts are their "intelligence", which means that you can also ensure that you meet the complex structure of the contract. You not only have the traceability of documents, but also the traceability of goods.

6. Encryption and security

Of course, an important role is to ensure the security of transactions. This not only means that documents and contracts are stored in their original places, but also means that information can only be accessed if allowed. Use very secure network protocols, cryptography and other security layers to ensure that only interested people can access information.

Intelligent contract use case

supply chain

For those large enterprises with global supply chain network, it is very beneficial to digitally track every transaction. It can not only realize automation in the process, but also trace every stage of the product. This will increase transparency, help identify bottlenecks and help manage a large number of contracts.

In another case, the goods have arrived and payment is being processed. This provides contractual security for the sender and the receiver. Because goods can only be transferred through processing payment, it also means that this kind of transaction does not need trade financing.

real estate

Transfer the property to the buyer until the right to use the property is obtained. Every real estate transaction involves a contract. Smart contracts help limit the risks and costs involved.

In real estate transactions, property can only be transferred after payment is received. With the smart contract, you don't need to go back to the bank or notary office, you can handle it directly without waiting time.

medical care

Who can access my patient data? Is my digital patient file safe? And many other problems are caused by having digital patient files. We know that if only a limited number of people need to visit in a limited time, your file will always be with you, and only if you allow the doctor to visit you will you have permission.

Highly regulated, such as drug storage and distribution.