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Smart contracts are self-executing programs that run on blockchain technology. They automatically enforce and execute the terms of an agreement when predefined conditions are met. For example, if two parties agree to a transaction, the smart contract will release funds only when both sides fulfill their obligations. These contracts are stored on a decentralized blockchain, making them secure, transparent, and tamper-proof. They eliminate the need for intermediaries, reducing costs and increasing efficiency. Smart contracts are widely used in areas like finance, supply chain management, and real estate. By automating processes and ensuring trust, they revolutionize how agreements are made and executed in the digital age.
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