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A "smart contract" is nothing new, it's simply a computer program, and computer programs are already widely used in the financial sector. So that cannot be it.
by lottin 5y ago
A "smart contract" is nothing new, it's simply a computer program, and computer programs are already widely used in the financial sector. So that cannot be it.
- nybble41 5y agoA smart contract is much more than "simply a computer program". It's a computer program which is intimately linked to a distributed ledger such that the output of the program directly determines who is allowed to make use of the assets. The "distributed" part is important since it means that you're not dependent on particular party to enforce the contract—the entire distributed system does that.
- lottin 5y agoYes, we already know that. The point is everything that can be automated with a smart contract can also be automated with a computer program in conventional finance. Therefore "smart contracts" do not provide a competitive advantage, contrary to what the other poster suggested.