Smart Contracts: A New Era of Contract Use

Abstract

Given the rise of interest, opportunities and use of smart contracts, it is important to understand what they are, what technology they rely upon and how they function so that it can be ascertained whether this new technology requires additional regulation, or whether the law as it stands is adequate to administer their usage. This paper will outline two key contentions. First, that smart contracts are well managed by existing contract law principles, however, there are some novel issues associated with this new technology. Second, this paper will suggest a resolution on how to take these novel issues into consideration and ensure they are overcome.

Keywords: smart contracts, blockchain, contract law, bitcoin, ethereum, solidarity