Smart Contracts

Smart contracts and blockchain technology are changing business the same way the internet did. Here at skalex we have the expertise to help you develop the right smart contract solutions.

What’s so Smart about a Smart Contract?

Businesses are made on contracts. Hundreds and hundreds of them. Traditional contracts are printed on huge amounts of paper and need many layers of human approval before they are legally binding. They’re time-consuming, expensive and often open to opposition.

Smart contracts do away with these problems. They are contracts written in computer code and published to a public blockchain network. The result is a contract capable of automated facilitating, executing, and enforcing of the legal agreements made.

What makes them smart is they can be made in seconds, don’t have any layers of costs and bureaucracy, and agreements cannot be tampered with, thanks to the blockchain.

As identities are not broadcasted to the network, two parties from anywhere in the world can instantly create a trusted contract for any commercial or other activity.

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What makes the blockchain so secure?

A blockchain stores data in a decentralized way, with all network participants having an identical copy of the data storage and the exact order in which it was stored.

This means a smart contract hosted on the blockchain cannot be changed by any party, including the two agreement holders, without alerting the entire network.

The blockchain, therefore, doesn’t behave like traditional data servers, which form a single point of failure. A blockchain cannot be easily attacked and manipulated as it requires a colossal amount of computing power to overcome the network.

What is Ethereum?

Here at skalex, Ethereum is our blockchain of choice – due to its ability to let anyone build applications that can be instantly and safely run anywhere in the world. Users can create programs of any complexity they wish using the Ethereum Virtual Machine and its power to function like a “world computer”.

Smart Contracts are one of the more popular uses for the Ethereum blockchain, but it has its use in any situation where trust, security and permanence are crucial. For example, voting, healthcare records, the Internet of Things or even entire companies run on the network – known as Decentralized Autonomous Organizations.

Decentralized Autonomous Organizations

Abbreviated to DAO, these are organizations without a sole leader, run on computer code by smart contracts written onto the Ethereum blockchain. The code defines the rules and structure of the organization, meaning no few individuals need to have centralized control.

DAOs can be used for governance systems, commercial activity, charitable causes, or a whole host of other purposes.

Smart Contract Application Examples

Smart contracts have broad application possibilities. Discover various use cases and examples for smart contracts.