Implementation of Smart Contracts in Various Industries
Smart contracts are the most sought-after options that the tech world is dreaming from the years. In 1996, Nick Szabo a cryptographer got the idea to record contracts in the form of computer code, to gives rise to what we called smart contract today.
A smart contract is an agreement between two people in the form of computer code(script), which runs on the Blockchain and get stored on a public ledger called Blockchain. However, the transactions are only carried out on the ledger when the condition in the agreement met completely.
Moreover, smart contracts are used for all type of digital transactions. Today, the smart contracts have been already used for financial trades and services, insurance, credit authorization, legal processes and even for crowdfunding agreements (ICOs). To know more about the smart contract, Blockchain Africa brings to you all uses of the technology in various industries.
Since the smart contract is digitally enabled, it aids efficiency in the insurance industry where every time, efforts or money are spent to confirm information before processing transactions.
Traditionally, the legal language used in the Insurance contracts are typically complex and difficult to understand. So, in an industry facing consumer-friendly regulations, smart contracts may well lead to the management of claims in a highly transparent and responsive manner ensuring that only valid claims are paid.
Patient records or highly sensitive data could be transferred between departments/research centers to the doctors or patient. After having been securely encrypted via Blockchain technology these records can be kept secured.
It also helps to store a large amount of data including test results and new drug formulas that are needed to keep safe. However, all this information could be secured through the use of smart contracts.
The fraudsters today, find numerous imaginative ways to manipulate the voting process. Smart contracts are the simple and cost-effective solution to this problem. The smart contractor validates a voter’s identity and records their vote. This information could then be used to initiate an action after all voting had ceased. Once the information is recorded, it’s impossible to alter or omit this record.
An ICO (Initial Coin Offering) is a crowdfunding system for new applications that use Blockchain technology where you create a smart contract and a token. The people with new idea or invention will be going to present it online and asking for the fund to the people either to invest or purchase new project.
Smart contracts can make the world a better place which is free of commission. It can reduce fraud, delays, the middleman and the overall cost of many things.