Hello, all
please tell me what is a smart contract?
I'm confused
Hello,
a smart contract (or crypto contract) is a program that executes a set of conditions defined by the creator of the contract. It is smart, because the software is doing something automatically once the conditions are met. It is crypto because a lot of what is happening is based on the principles of cryptography.
What advantage does it have?
The benefit of a smart contract is that technologies like blockchain and cryptography ensure the execution of a peer-to-peer contract without needing to involve lawyers and trust (smart contracts are trustless peer-to-peer contracts).
One could say Bitcoins whole system of transactions is composed of blockchain-based smart contracts.
I understand correctly?
In fact, one could essentially call substantially all cryptocurrencies are smart contract-based. However, the term smart contract is often associated with the Ethereum network (since its a software platform focused on hosting smart contracts and decentralized applications on a blockchain).
what functions can the smart-contract perform?
The reality is, the potential of smart contracts goes far beyond just facilitating transactions. Smart contracts can really do anything you could imagine a software-based contract doing, including interacting with decentralized applications.
If the contract says send X tokens to Y wallet on Z date (or more generally do X thing on Z date) then it will be so. If a contract says grab this data, then ping this other contract, then store that data there, then wait 5 days and ping this contract, and then execute this contract, then send this data there
etc
it can do that too. There really isnt a limit to the software-based things smart contracts can do (although, a programmer must program the contract and on Ethereum you have to pay fees for sending information between contracts - gas).