A smart contract is a computer program that facilitates, secures, enforces and executes registered agreements between two or more parties (for example people or organizations). As such they would assist you in negotiating and defining such agreements that will cause certain actions to happen as a result of specific conditions being met.

   A smart contract is a program that lives in a system not controlled by any of the parties, or their agents, and that executes an automatic contract which works like an if-then statement of any other computer program. When a pre-programmed condition is triggered, not subject to any type of human evaluation, the smart contract executes the corresponding contractual clause.

    They aim to provide greater security than traditional contract law and reduce transaction costs associated with contracting. (eg. bitcoins) opens the door to new applications that can make use of smart contracts.

A smart property

   A smart property is a property right controlled using smart contracts migration. It is the digital assertion of ownership rights to an asset through its entry into a blockchain , using the owner’s private key. The owner of the asset can provide ownership to other individuals with the corresponding public key. When the owner decides to sell the asset, the smart contract completes the process by handing over the owner’s private key to the buyer. Some types of properties such as trademarks, copyrights and patents can easily be smart properties as they can be easily encrypted and processed as digital documents. However, with physical assets, this is where owners are most exposed to fraud. In fact, to register something physical, like a car, on the blockchain, we need to attach a unique tag or chip to it.

    The smart contract also limits the ex post review and adaptation of the contractual content and prevents the right of withdrawal. Therefore, the theory of unpredictability would be impracticable. The same would happen with the right of withdrawal because it could not be exercised given the immutability of the Blockchainx.

   The smart contract is a code that allows the automated execution of the agreed benefits within the tools offered by Blockchain technology , which allows the exchange of cryptocurrencies.