In an increasingly digitalized world, new technologies such as blockchain technology have burst onto the scene to offer innovative solutions in various areas. Among them, smart contracts have become a revolutionary tool that allows the automation of agreements and transactions between parties.
In order to make the most of the opportunities
offered by new technologies, it is necessary to have different phone number database skills and for this, training is essential. Having a program such as ISDI’s Digital MBA for recent graduates or the MIB for active professionals is key to improving employability and thus becoming an attractive asset in the business world .
What are smart contracts?
A smart contract is a computer program that automatically executes agreements previously established between the parties to a contract and does so as they need to be carried out. The executable parts of this type of contract are related to the conditions that are being fulfilled. It is the program itself that detects the fulfillment of a certain clause and starts the next one.
The technology that makes the operation of a smart contract possible is the blockchain , a public record of non-centralized transactions with significant security, which uses cryptographic algorithms .
What are smart contracts for?
There are many applications that can be given to strategies to increase loyalty to your brand smart contracts , as well as the areas in which they can be used. Some of the most popular are:
Storage and record keeping.
Reduction in the time required to obtain financing for companies.
Traceability in the supply chain so that errors can be eliminated or even theft prevented.
Faster and safer mortgage transactions.
Real estate ownership registry.
Certification of academic degrees, certificates or work experience when looking for a job.
Registration of intellectual property
Control and security of health data, both to know belize lists a patient’s medical history and the medications they take and to ensure the privacy of their most sensitive data.
Prevent electoral fraud by validating the identity of voters.
It is used to carry out a microfinancing campaign ( crowdfunding ) and ensure that investors contribute money to a safe project.
Improving the insurance sector, both to ensure its operation and to prevent fraud against companies.
There are some platforms that allow you to launch a smart contract such as Ethereum, Hyperledger, Couterparty or Polkadot.
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How do these types of contracts work?
The technology that smart contracts use and are based on is blockchain, so their operation is directly related to it. However, there is a peculiarity, and that is that this type of contract can be used outside the blockchain network.
An example to understand how this works would be a sales agreement between a factory and a store that will make a certain product available to the end customer.
Each part of the process included in the contract would be completed and give way to the next phase. Manufacturing would involve making a first payment, sending and receiving another, and the final sale upon full payment. Since everything is processed within the smart contract, each completed step would execute the next one and both parties would comply with and receive everything established in the agreement.
Benefits of smart contracts
There are many benefits that smart contracts bring to companies, including security, trust and privacy, which are covered by the implementation of one of these agreements. Other notable benefits are:
Smart contracts are autonomous because the execution of the operations is subject to the program itself and does not require the intervention of an intermediary. They reduce the intervention of any person who is not directly related to the process.
They are much more reliable because
blockchain technology ensures that they cannot be falsified or altered. The fact that each of the smart contracts is recorded on the blockchain prevents fraud. Even if the parties do not know each other.
It is much safer. As they cannot be lost. Everything is recorded immutably. And no one can change them. Since the process is decentralized, the possibility of manipulation is avoided.
The cost is much lower than other contracts, since it does not require any intermediary.
It is much more accurate. Not subject to the errors that can occur when. A traditional contract is put in place.
It is much more sustainable because it avoids issues such as printing on paper or travelling.
It becomes a much safer way to ensure international trade .
