DEV Community

Cover image for What are Smart Contracts? How they work?
Rapid
Rapid

Posted on • Originally published at rapidinnovation.io

What are Smart Contracts? How they work?

What Are Smart Contracts?

Smart contracts are self-executing agreements where the terms are directly
written into code. They automatically enforce and execute the contract's terms
when specific conditions are met, eliminating the need for intermediaries.

The Growing Market

The global smart contracts market is on a rapid ascent, projected to reach a
staggering USD 300 billion by 2026. This growth highlights their increasing
significance and adoption across various industries.

A Visionary's Idea

The concept of smart contracts was first introduced by Nick Szabo in 1994. He
envisioned using computer protocols to facilitate, verify, and enforce
contract negotiations and performance.

Blockchain Revolution

The realization of smart contracts became possible with the rise of blockchain
technology, particularly with Ethereum's launch in 2015. This decentralized
platform enabled the execution of smart contracts like never before.

Foundation of Innovation

Nick Szabo's influential paper, "Smart Contracts: Building Blocks for Digital
Markets," laid the groundwork for the evolution and application of smart
contracts across diverse sectors, paving the way for a new era of digital
agreements.

Read More:

📣📣 Drive innovation with intelligent AI and secure blockchain technology!
Check out how we can help your business grow!

Hashtags
  • #SmartContracts
  • #BlockchainTechnology
  • #Decentralization
  • #Ethereum
  • #DigitalContracts

Billboard image

The Next Generation Developer Platform

Coherence is the first Platform-as-a-Service you can control. Unlike "black-box" platforms that are opinionated about the infra you can deploy, Coherence is powered by CNC, the open-source IaC framework, which offers limitless customization.

Learn more

Top comments (0)

👋 Kindness is contagious

Immerse yourself in a wealth of knowledge with this piece, supported by the inclusive DEV Community—every developer, no matter where they are in their journey, is invited to contribute to our collective wisdom.

A simple “thank you” goes a long way—express your gratitude below in the comments!

Gathering insights enriches our journey on DEV and fortifies our community ties. Did you find this article valuable? Taking a moment to thank the author can have a significant impact.

Okay