Definition

Digital contracts stored on a blockchain that are automatically executed when predetermined terms and conditions are met

  • Typically used to automate the execution of an agreement so that all participants can be immediately certain of the outcome, without any intermediary’s involvement or time loss
  • Stored in blockchaim
    • makes them transparent, secure, and virtually impossible to alter once deployed
  • In essence, smart contracts are digital agreements that leverage blockchain technology to automate and secure transactions