Gibraltar: Can Smart Contracts be Nullified?

When a smart contract is combined with blockchain technology, it has the capacity to provide an automated, secure, and decentralized method of executing a contract. Blockchain and smart contracts provide powerful tools for re-imagining manual, paper-based contractual agreements into highly cost-efficient, secure, and trustworthy process[1]. The terms of the smart contract are established prior to the investment transaction, and the terms are fulfilled and ensured by the software code without human intervention. Specifying the communication method in an ICO contract, for example, is paramount, as if issues arise that may require arbitration, the arbiter may examine the communication among parties in the channels. The DLT Regulatory Framework and Gibraltarian government have not currently incorporated smart contracts and the process with which they can be nullified into its legal framework [2].


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