Blockchain-based, smart contracts are executed by a computer program, unalterable and autonomous. Learn more about the details and potential of this technology.
Good-bye to fraud
Traditional contracts specify the game rules for people and companies: what the parties can do, how and even the consequences if they do not comply with what has been established.
In business, these contracts have the intervention of law firms and are subject to regulations and jurisprudence according to the territory of its establishment and may even be subject to interpretation.
The great revolution introduced by blockchain stands within the ability to be an unalterable technology. Within this technology, Smart Contracts work, and precisely that is the capacity transferred to them.
On the one hand, it guarantees that everyone can access the information and, on the other hand, that it is not possible to falsify it.
What is a Smart Contract?
As a type of DTL or distributed database, experts argue that Smart Contracts have great potential in the business world.
A Smart Contract supplants the printed document with legal language utilizing an unalterable computer program executed without the involvement of third parties.
Smart Contracts go beyond the traditional electronic contracts that allow the storage of info and signing digitally. They are created by computer codes using a programming language, which means that their structure follows the sentences and commands provided by the code that crafted them.
In addition, they differ from a traditional app that relies on the efficiency provided by its developer since the Smart Contracts get their support from a pre-established flow program between the parties and with the guarantee and transparency that the Blockchain technology entitles.
Smart Contracts in the People Area
On the pandemic’s peak, Randstad decided to automate its workflow using blockchain-centered Smart Contracts.
As announced by Google Cloud on its client:
“Randstad is using a combination of Cypherium blockchain and Google Cloud to match talent with corporate needs more efficiently and free teams to do more value-added work.”
The company expects that the Smart Contracts implementation will reduce human errors and also save time, particularly on bureaucratic tasks such as payments, verification of academic and professional qualifications, and staff identity data.
Advantages and disadvantages of the Smart Contracts
Advantages
Automation
Time and cost savings
No intermediaries
Greater transparency
Error minimization
Disadvantages
Lack of confidence due to technology unfamiliarity.
Difficulty in changing the established.
Possible flaws in the code when programming.
At Oxean, we are always thinking about the trends that will enable the next step in corporate organization and communication.
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