How Will Smart Contracts Benefit Our Daily Life and The Fitness Industry?
When you hear about the term smart contract, what comes to your mind? Are you sensible of the meaning that is underneath the term? Or you’re just wondering what makes some contracts “smart” ? In fact, whether you are familiar with this term or not. What you need to know is the importance of smart contracts and how will they gradually benefit our daily life and the fitness industry.
What are Smart Contracts?
Smart Contracts are decentralised applications that executes business logic in response to various events. It is the technological supply and demand tether that connects Blockchain networks to real-world experiences, by automatically ensuring that predetermined commands are fulfilled at specific instances. They are the key to decentralised marketplaces, allowing the global mass market to access and transact in giving currencies and goods.
Despite the term, smart contracts are not officially binding contracts. Their main function is to programmatically execute business logic that performs various tasks, processes or transactions that have been programmed into them to respond to a given set of conditions. Hence, legal steps must be undertaken to link this execution to legally binding agreements between parties.
How do Smart Contracts work?
First, the contractual parties should determine the terms of the contract. After the contractual terms are finalised, they are translated to programming code. Basically, the code represents a number of different conditional statements that describe the possible scenario in the future.
It’s worth mentioning that smart contracts can be encoded on any blockchain. In general, smart contracts are blocks of code that can execute certain functions with specific parameters and predefined criteria.
To put it in a simple way, just imagine you have an application, secured on the Blockchain and backed by smart contracts, one smart contract might be responsible for the mission’s reward mechanisms and a third might be in charge of the app’s currency. Each smart contract executes automatically in response to fulfilling the rules of playing the game or completing a mission where there is no cheating within the mechanism system ; “magic” will not happen to reap rewards. Therefore, users earn cryptocurrency or incentive rewards just by playing the game or completing a mission, following the rules and achieving set goals.
The Importance of Smart Contracts
Smart contracts are an emerging technology that can increase efficiency in various industries. As the technology matures, more fitness industry are expected to take advantage of it from the following benefits:
Time and Money Savings
Due to intermediaries and paperwork of traditional contracts, it takes time to finalise an agreement. As smart contracts emerged however, the time and money are spent more effectively and efficiently since smart contracts eliminate the need for intermediaries, they can be completed faster.
High Security
Smart contracts increase security, data protection and privacy via encryption which enable secure, transparent and seamless decentralised token transactions for and among the community. On top of that, smart contracts potentially come up with greater accuracy, trust, and transparency at the same time as they offer a single, shareable, and secure copy of the agreement so that all parties are aware of the most recent version. Each transaction model has its own unique smart contract, ensuring orders are fulfilled and limiting the risk of fraud or theft.
Connectivity
Smart Contracts are connected to digital devices, sources, systems, etc. Hence, it automatically interacts with and takes action on information from the data-rich environment, such as getting confirmation of a weather occurrence or a change to applicable legislation.
Simplification
Smart contracts use automation to eliminate superfluous layers from the process of carrying out contractual obligations, resulting in increased efficiency. By utilising pre-configured conditions, smart contracts could aid in the quicker execution of trades within a matter of minutes.
In addition, actual blockchain smart contract instances illustrate how much simpler smart contracts are then regular contracts. Less paperwork, shorter wait times, improved intuitiveness, and fewer steps can all be advantages.
To Conclude…
In a nutshell, blockchain technology such as smart contracts offer a great deal of benefits to our daily lives and the thriving fitness industry. Be it data privacy or transparency, security or swift sharing- blockchain in the fitness industry has a huge scope.
When fitness goals are achieved or certain fitness tasks are made, the platform, backed by smart contracts, automatically tokens as rewards, directly into the user’s wallet. Consider this as building a community within the fitness industry: trainers, fitness product and service providers are provided with a competitive advantage, simply by pairing their offerings with the built-in reward program. Utilising smart contracts and incentivising with tokens enables the community to grow organically, all the while enabling a win-win solution for all ecosystem members.
This is a reason why many fitness clubs and gyms tend to come up with innovative fitness apps that have blockchain-driven features. It is fair to mention that soon blockchain technology will bring transformational changes to the fitness industry.
- Medium: https://bit.ly/3DiSEC0
