What are Smart Contracts Part 2: Underlying Blockchain Technology

Published on November 22, 2021

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Smart Contracts part 2:

Part 1: https://youtu.be/K_BvVxb1l2E

So hopefully by now, you have a basic idea of smart contracts, or at least heard it is a buzz word right now and are eager to learn more. To sum up the basic definition, Smart contracts are essentially just contracts but with better technology and are more appropriately serving the growing business needs of international companies.
But now let’s focus on the blockchain, where a smart contract code is executed and the place where the actual code resides as it sits there indefinitely. What really is the difference between hosting a contract in some legal file on the lawyers shelf, hosting it on a centralized server at their office, or hosting it on the blockchain?

Now most smart contracts are generally hosted on the Ethereum blockchain, but other blockchains are also implementing the ability to create and execute smart contracts like NEO, Stellar, EOS, Rchain, and Cardano. There are also projects working to bring smart contracts on top of the Bitcoin blockchain like Counterparty and rootstock to give Bitcoin more functionality. Hosting smart contracts on these other blockchains will have different levels of security, interoperability, programmability, scalability, and functionality. Expect to see a lot more platforms coming out that can also host smart contracts, but it may be hard for any other them to be adopted in the mainstream because to become popular they will need to grow faster than ethereum which is growing ten fold each year. In my future videos I’ll dive deeper into smart contracts on different blockchains.

Well, I think that is enough for smart contracts in this lesson. In Summary, blockchains make all the difference in where the smart contracts are hosted. Is it on a decentralized server, or a centralized private server or private blockchain? Is it on a scalable blockchain? And how do you see smart contracts evolving as distributed ledger technology grows? Leave your thoughts in the comments section down below.

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Do Private Blockchains Need Miners

Do Private Blockchains Need Miners, What are Smart Contracts Part 2: Underlying Blockchain Technology.

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