FEATURED FEATURED Health NEWS TECH

Smart contracts. Part 3. The basis of digital jurisdiction / Blog of the company Jincor / SurprizingFacts

Smart contracts. Part 1. When the paper knows what you told her and does it
Smart contracts. Part 2. From HYIP to reality

Ray Kurzweil, a well-known investor, philosopher and futurist, whose predictions about the development of technology and public trends listen to the business community and the political elite, predicts the imminent end of the era of nation states, Know. He believes that the fundamental particles of classical systems will soon be transformed, as technologies contribute to the blurring of national boundaries. According to Kurzweil, we are moving towards the global world community:
"We are moving towards a world without borders, a global culture, a world legal system. National states are still strong, but gradually lose their power. "

* Last year's study of the Globalscan think tank reports that for the first time in 15 years, the number of people who consider themselves to be citizens of the world, rather than a single country , Has reached 49%.

Meanwhile, in the virtual space there are already examples of public associations that do not fit into the boundaries of state formations: free digital alliances, decentralized communities, virtual cities and virtual states making their first attempts to approve new kinds of legal paradigms. Signs of the formation of digital jurisdiction are everywhere.
Against the backdrop of generalized globalization and digitization, the corporate environment is particularly prominent, which, first of all, requires a legal basis for guaranteeing its functioning in the digital space. However, in the absence of a central guarantor of responsibility, in the person of the state, in a decentralized environment, the credibility of the system should be automated, and the conditions of interactions and their consequences are spelled out at the code level.

What does this have to do with smart contracts?

What are smart contracts, why they are smart and what are good, today is already known to many: the immutability of transactions, the automation of business processes, trust relationships without personal ties, transparency (and if desired, privacy) the absence of intermediaries, high speed of implementation … a lot. More on this – in our previous articles:

Smart contracts. Part 1. When the paper knows what you told her and does it
Smart contracts. Part 2. From HYIP to reality

What prevents companies and public organizations from immediately implementing these useful innovations in their business processes and feel their advantages?

1. Uncertainty about code perfection: cases of previous hacks;
2. Conservatism, traditionalism, prejudice;
3. Lack of coherence with existing legislation.

The last obstacle, perhaps, is the most global problem of the voiced: the code can be improved, with prejudice can work. However, to expect the moment when the governments of all countries can come to a common understanding and a regulatory policy for blocking and smart contracts, is hardly possible. In Russia, there is not even a definition of "blockade" and "crypto-currency" fixed at the official level. The lack of regulation at the state level is the main obstacle for the work of business with new technologies.
Gradually, the program code becomes a universal language and the basis for a new legal paradigm, the emergence of which is conditioned by the need for participants to be able to resolve disputes, hedge risks and establish legal relations in the block-space. This is the reflection of the participants of the community's blockade on the topic of the reality's digitizing.
Progressive society, if it wants to further develop technology, must independently develop a new foundation and reach a public consensus that the code is the law by which it will be regulated.
For a full-fledged functioning of the crypto-economy of the future, a digital legal environment is needed, free of fraud, devoid of a centralized judicial system, the execution of judgments in which is automated with the help of smart contracts. In such an environment, the corporate sector is particularly in need, where risks are higher, responsibility is greater, and procedures are more difficult.
The basic element of the block-jurisdiction-jurisdiction can be quite logically a smart contract – code snippets stored in the block, through which you can exchange money, property, shares or other assets without resorting to the services of intermediaries.
Smart contracts have every chance to become the basis of all legal relations within the digital jurisdiction, as well as the relationship of the individual with state institutions.

Smart contracts in the Jincor ecosystem

It all starts with ideas, which are replaced by experiments. If the results of experiments demonstrate the viability of solutions, then developments become market products with specific characteristics. The last stage is the formation of legislative environment and regulatory procedures around innovation.
How to build regulation? Within the digital jurisdiction of Jincor, the conclusion of smart contracts will be available exclusively to identified users.

* Digital identification fixes a unique code behind the participant of the system, storing some critical information about the user in the encrypted form, and allows to identify the correspondence of the digital user with the real world.

In the world of detachment, as in the space of material reality, a spoiled reputation will be able to close many doors and harm the future development of unscrupulous counterparts.
The block-ecosystem Jincor already experiments and builds digital jurisdiction for business, in which participating organizations can make secure crypto-currency transactions, conclude smart contracts, use decentralized arbitrage services and insure their crypto assets and transactions without special technical knowledge. In one of the previous articles, we described in detail how a decentralized arbitration system might look, now we will describe in more detail the basic types of smart contracts in Jincor available to participants:

• Corporate corporate operational contracts between counterparties;
• Credit agreements;
• Shareholder (regulating relations between shareholders and participants, in the part of disposing of their shares and stakes),
• Labor contracts;
• Civil-law agreements (aimed at the emergence, modification or termination of mutual rights and obligations);
• Property (purchase, sale, lease, transfer into partial possession);
• Insurance (insurance of crypto-currency accounts, transactions, hedging of risks);
• Agency agreements;
• Smart contracts of commercial concession;
• Trust Management Agreement;
• Banking tools.

Jincor ICO

On August 21 at 12:00 GMT, Jincor announces the launch of the pre-ICO campaign, under which investors will be able to purchase JCR tokens at a 50% discount from the price that will be available at the ICO stage. In order not to miss this event subscribe to the newsletter with a notice on the site ico.jincor.com

* JCR tokens in the future will be necessary for participants to fully use the platform. Despite the fact that the basic functionality of the Jincor ecosystem will be free, some options, including the opening of enterprise crypto-currency accounts, the conclusion of smart contracts, financial instruments (letters of credit, collection, overdrafts, factoring), as well as arbitration, will be available to participants for tokens JCR.