Concepts and Basic Features of Smart Contracts

Abstract

The authors of the article analyze the features of using of the smart contracts for civil circulation. Smart contracts are made up of a code that secures the parties' agreements, and therefore the rights and obligations related to the performance of the contract are already implemented in the smart contract, even before it is enforced. This ensures a higher degree of protection of the rights and interests of the parties to the contract with respect to traditional contracts. Despite certain problems with the use of smart contracts, which still remain relevant, including the conflict of jurisdiction in the conclusion of smart contracts by residents of different countries, the technical difficulties associated with the possible settlement of disputes that may arise from such contracts in courts, the lack of proper regulation of relationships related to the use of this technology, etc., smart contracts are an innovation that can over time completely replace traditional business contracts.