Smart Contracts

Smart-Contracts are the essential building blocks of applications on Lycanchain. They are computer programs stored on the blockchain that allow converting traditional contracts into digital parallels. Smart contracts are very logical - following an if this then that structure. This means they behave exactly as programmed and cannot be changed. It’s something that Lycanchain and certain other protocols can do, but some other blockchains — most notably Bitcoin — cannot.

Consider a standard housing lease agreement as an example of a normal contract. In exchange for your monthly rent, the landlord provides you with a safe and secure residence. To put it simply: if you lose your housing, you stop paying rent; if you stop paying rent, you lose your housing. Ordinarily, it is up to the individuals signing the contract to carry out the terms of this contract. But one of the biggest problems with a traditional contract is the need for trusted individuals to follow through with the contract's outcomes. If a tenant fails to fulfill their obligations of the lease or vice versa the landlord fails to fulfill their obligations, either party is liable to feel cheated. Smart contracts digitize traditional agreements by turning the terms of an agreement into computer code that automatically executes when the contract terms are met.