Smart contract
In short
A smart contract is a program on the blockchain that executes agreements automatically: if condition X occurs, Y happens — no middleman, immutable once deployed.
Exchanges without operators, loans without banks and NFTs are built on this. The flip side: code bugs are exploitable and nearly impossible to patch afterwards.
Are smart contracts legally binding contracts?
No — the name misleads. It is executable code; legal status depends on context.
Information, not investment advice. More of this? The newsletter.