An Overview of Smart Contract and Use Cases in Blockchain Technology

TLDR

Blockchain technology has become a mainstream research topic because of its decentralized, peer‑to‑peer transaction, distributed consensus, and anonymity properties, yet it faces regulatory and technical challenges. The paper aims to explain the components and working principles of smart contracts. It also identifies and analyzes various use cases of smart contracts and their advantages in blockchain applications. The paper concludes that implementing smart contracts in real‑life scenarios presents challenges.

Abstract

In the last decade blockchain technology become mainstream research topic because of its decentralized, peer to peer transaction, distributed consensus, and anonymity properties. The blockchain technology overshadows regulatory problem and technical challenges. A smart contract is a set of programs which are self-verifying, self-executing and tamper resistant. Smart contract with the integration of blockchain technology capable of doing a task in real time with low cost and provide a greater degree of security. This paper firstly, explains the various components and working principle of smart contract. Secondly, identify and analyse the various use cases of smart contract along with the advantage of using smart contract in blockchain application. Lastly, the paper concludes with challenges lie in implementing smart contract the future real-life scenario.