smart-contract

A smart contract is a human-made protocol for automated contractual execution: a self-enforcing agreement encoded as deterministic software on a distributed ledger, where predefined conditions trigger automatic performance of obligations without intermediary enforcement. It carves a distinct category of automated institution — the code IS the enforcement mechanism, and the ledger provides persistence through cryptographic consensus. Parameters: (1) conditional logic encoded in executable software, (2) deployment on a consensus-based ledger that guarantees deterministic execution, (3) self-execution without third-party intervention. Persistence is achieved through the ledger's replicated state and cryptographic verification — the contract's code, state, and execution history are maintained across the distributed network. [formal: contractus programmatus | substrate: behavior | horizon: a life | explicit: yes | epoch: 0.01]