Return to site

What are smart contracts on the blockchain?

A smart contract is a computer program or transaction protocol that is designed to execute, control, or document events and activities in accordance with the conditions of a contract or agreement. The goals of smart contracts are to reduce the need for trusted intermediaries, arbitration fees, and fraud losses, as well as to reduce purposeful and unintentional exceptions. Smart contracts are frequently part of dApps and make up a large part of the DeFi and Blockchain ecosystem.