What is the Ethereum Smart Contract?

Ethereum is the next generation blockchain platform and the further development of bitcoin blockchain technology, and is committed to providing more perfect support for decentralized applications. Smart contract is the core of realizing blockchain intelligence in Ethereum.

Smart contract is a new application based on blockchain technology. It is a simple contract with self-executing ability and does not depend on a reliable manual system of a third party. Information such as code logic and rights proof of smart contracts are recorded in the blockchain, which can realize the characteristics of transaction security, transparency and tamper resistance, and provide a solid foundation for the development of various new applications.

How to realize the intelligent contract of Ethereum?

The smart contract of Ethereum is realized through a way called "Ethereum Virtual Machine". It is a complete virtual machine based on Turing, which can realize the specific operation of smart contract. On the Ethereum virtual machine, developers can use the programming language Solidity to write the relevant code logic of smart contracts, and then upload the code logic to the Ethereum network for verification, compilation and execution.

In the smart contract of Ethereum, in addition to completing basic functions such as transfer and payment, various complex financial contracts, voting decision-making, digital identity authentication, Internet of Things control, etc. can be realized to meet more demands for data and commodity exchange. The application of this smart contract greatly promotes the establishment of decentralized transaction and trust mechanism, enabling people to complete the corresponding operations at a faster speed.

Application Scenarios of Ethereum Smart Contract

As a revolutionary technology, Ethereum Smart Contract has been applied in various fields.

In terms of banks and financial institutions, Ethereum smart contracts can realize cross-border transfer, remittance and foreign currency exchange between countries. At the same time, it can also create financial contracts between banks, solve credit risks and hedge. For insurance companies, Ethereum Smart Contract can cancel middlemen, thus improving the efficiency of various transactions and claims. In manufacturing and supply chain, Ethereum smart contract can be used to ensure data reliability, improve procurement efficiency and reduce costs.

In short, the application prospect of Ethereum smart contract is broad, which can greatly improve the efficiency and security of traditional transactions, and is also expected to subvert the business models of many traditional industries.