Blockchain and Smart-Contracts in terms of Economics

Abstract

In this paper the author’s interpretation of essence and applicability of smart-contracts in economics. Examples are given along with critical view on wrong statements, found in publications on examined topic. Repeating of certain theses from similar papers won’t be redundant, because it will help to observe the topic from different point of view. In general, author gives positive valuation of applicability of smart-contracts technology in economics (both, financial and real sector, despite of some obvious inherent disadvantages of current implementation in Ethereum. In author’s opinion, integration of smartcontracts and blockchain with IoT can give synergetic effect and consider real cyber-social interaction. Certain value to this paper is added by author’s practical experience of coding and adopting smart-contracts. Smart-contracts are mentioned by Bank of Russia with implementation of CBDC (Central Bank Digital Currency) concept in the form of digital rubble and receive additional significance in current trend of dematerialization and virtualization of money. In paper essential terms and author’s point to ability to change contract terms after deploy are given.