I was recently asked whether I think blockchain will be revolutionary for industry. My answer is an overwhelming yes!
I’m referring, in particular, to the smart contracts portion of blockchain. They change everything.
TCP/IP is a simple network protocol, but it is the basis for the internet. Blockchain smart contracts are simple design concepts but will have a similar impact on commerce. Smart contracts will become the equivalent of TCP/IP for commerce. They will create the commercial internet.
Smart contracts encode the terms of a legal contract. We spend an extraordinary amount of time stipulating the terms of a legal contract. Smart contracts allow us to automate execution of those legal terms.
We must collect all base data required to validate satisfaction of contract terms. At this point the contract executes automatically. Human intervention is not required. We remove multiple layers of authorization to compensate for lack of trust, CYA and oversight. Who needs oversight to execute contract terms as stipulated?
Smart contracts enable full audit capabilities. Distributed ledgers prevent tampering and when combined with encryption provide rock solid security.
Within our companies, we don't need checkers checking the checkers and auditors checking them. Smart contracts execute now. With no delay and no people. We remove all expense, duplication of effort and inefficiency. We increase transparency and accuracy.
So, my answer is yes. Blockchain and smart contracts will revolutionize commerce. They are already doing so.
Best of all, smart contracts do not require you to change any of your existing systems.
Build your first smart contract today. For more details email Andrew Bruce at andrew@datagumbo.com or call 281-909-0781.
