- Vitalik Buterin tweeted about Hitoshi Matsushima and Shunya Noda’s document on blockchain-based smart contracts for arbitration.
- Professor Hitoshi Matsushima has put in place a mechanism to resolve legal disputes without involving legal proceedings using blockchain technology.
Vitalik Buterin, co-founder of Ethereum on April 10, 2020, tweeted regarding Hitoshi Matsushima and Shunya Noda’s document on blockchain-based smart contracts for arbitration, also with the provision of the link of the same.
Article by Hitoshi Matsushima and Shunya Noda on the smart blockchain-based arbitration contract (or what I called “decentralized courts” earlier): https: //t.co/sDavIEPsFf
– vitalik.eth (@VitalikButerin) April 10, 2020
Blockchain technology has the potential to store information records so that there is no chance of manipulation. Blockchain is designed to be decentralized: no involvement of the administration or central government. Having many clean applications in various fields, there has been a recognition of the more comprehensive services it offers in addition to the popular Bitcoin cryptocurrency.
Professors Hitoshi Matsushima from the Department of Economics at the University of Tokyo and Shunya Noda from the Vancouver School of Economics at the University of British Columbia have put in place a mechanism to resolve legal disputes without resorting to legal proceedings using blockchain technology. , in Canada.
These include, for example, expanding existing ideas for smart contracts to the exclusion of central government. However, in the area of law enforcement, there has so far been no enforcement.
OVERVIEW OF DOCUMENT SUMMARY
The document points out that the design of self-executing mechanisms that do not depend on a trusted third party or a long-term relationship is under study, a smart contract written on the blockchain is used instead. The design of the digital tribunal, a smart contract, is such that it identifies and punishes agents who renege on the agreement.
The document also proclaims that any agreement that can be implemented with the legal application could also be implemented with the application by the digital court. To highlight the conception of the digital court, it has a unique balance as long as there is a positive fraction of behavioral agents. The correct balance judgment is given on the basis of honest agents more than dishonest agents.
He said the proposed self-enforcement mechanisms could be used almost even now, as the platform for smart contracts is already ready this year.
In addition, drawing attention to the benefits, the document clarified that since the digital tribunal could be used for the implementation of general agreements, there is no provision for the leaking of detailed information on the arrangement itself. after its deployment on a blockchain audience (for example, Ethereum) as a smart contract.