A smart contract is a piece of computer software that is designed as an automated self-enforcing contract, which means it triggers certain action after predetermined conditions are met. Smart contracts can be used, for instance, as digital agreements that intermediate the exchangeA digital marketplace where you can buy and sell cryptocurrency. Read More of cryptocurrenciesA digital currency in which transactions are verified and records maintained by a decentralized system using cryptography, rather than by... (or any other digital asset) between two parties. Once the terms of the agreement have been set, the smart contractSmart contracts are computer programs that facilitate self-execution and self-enforcement of digital contracts and agreements without third-party intermediaries (such as... Read More verifies their fulfillment and the assets are distributed in accordance. In other words, smart contracts are basically lines of code that execute a specific function once certain conditions are met. The code usually follows “if… then…” statements that trigger predetermined and predictable actions.
