Abstract
The article analyzes the positive and negative aspects of the use of smart contracts in various business areas, which respectively give it an advantage or disadvantage compared to traditional civil law contracts. It has been determined that due to the automatic execution of the transaction, as soon as the agreed conditions are fulfilled, smart contracts allow eliminating or minimizing a number of transaction costs that accompany traditional contracts. When using a smart contract, the possibility of improper execution by one of the parties is practically eliminated, since it cannot be violated. It is the difficulty of modifying or terminating smart contracts that is an advantage over other contractual structures. The complexity of changing and terminating smart contracts is a guarantee of their stability and the immutability of the contractual terms that were originally agreed by the parties. But at the same time, smart contracts, eliminating some of the problems of traditional contracts, create new ones when using them. The article also notes that smart contracts are distinguished by both vulnerability in computer code and insufficiently effective legal regulation. The problem of oracles when using smart contracts is considered, which consists in the need to trust the information received from them. It is concluded that due to the vulnerability of a smart contract, like any modern digital technology, the existence of a written original of the contract, subsequently expressed in a smart contract, will make it much easier for the parties to use both judicial and extrajudicial methods to protect their rights. It has been noted that due to the growing use of smart contracts in civil circulation, the number of disputes arising in connection with this, considered both in state courts and in non-state bodies (arbitration courts), will also increase.
Published Version
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Schedule a callMore From: International scientific journal "Internauka". Series: "Juridical Sciences"
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