The bitcoin technology is one of the emerging technologies of this generation. This can certainly be marked as a driving technology for the fourth industrial revolution as many companies have started adopting it within their existing systems. This technology is indeed connected partly with cryptocurrencies but it has a wide range of applications which can be termed as crucial in the domains such as grid management, distributed renewable energy, energy storage, and smart contracts to name a few.
A recently published report titled as Blockchain – An Innovation Enabler for Clean Technology was published earlier this year in July which provides a deep insight about its impact on the global commerce in the upcoming years. One of the most interesting features of this emerging technology is a smart contract which has been endorsed by several companies with its customized implementation in their domains.
A smart contract is a computer program that runs on bitcoin technology or blockchain. It runs through distributed computers which opt to maintain blockchains. In simple terms, this is a subset of a further generalized term for distributed applications, or dapps. They are characteristically inhibited to the blockchain’s architecture. The given instructions are controlled within the size of a transaction in a block. Even the variables are equally redefined to the size of a transaction.
The smart contracts can only perceive things which are entered into the blockchain network during a transaction. For example, a user wants to use an exchange rate of the US dollar on a certain date, an external program would have to read the exchange rate. It will then put in it into a variable in the blockchain network for the smart contract to read. (Via Clean Technica)
Smart Contract Business Foundation
It involves bitcoin technology for contracting a payment for services to be provided. It can also be undertaken for a product to be delivered which involves three accounts like, a purchaser, a seller, and an escrow account as mentioned by the report. In layman’s language escrow is a means of creating trust in a contract. In the situation of escrow, a third party is involved that holds something of value from the purchaser until the condition is fulfilled by the seller.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]