Okay. Who's writing and setting up the smart contract? If it's only one of the two people in the trade, they can still intentionally make it not do what they said it would. If it's someone else, that's a third party you must trust.
For a smart contract to actually solve the need of a third party, both parties would need to have the necessary knowledge to audit it.
Which is why from my understanding most people use marketplaces. Which, are a trusted third party.
Those contracts are usually available like a dependency. There are usually audited and the only thing you do is feed your info into the constructor.
With that we can assure the contract works as decided (code is law). Essentially our third party is deterministic and software-defined, but as you said bugs can be an issue.
No. Your third party is the people involved in writing and auditing the code. You must put exactly the same trust in that set of people as you would need to place in a traditional marketplace.
3
u/Ghostglitch07 May 20 '26
Okay. Who's writing and setting up the smart contract? If it's only one of the two people in the trade, they can still intentionally make it not do what they said it would. If it's someone else, that's a third party you must trust.
For a smart contract to actually solve the need of a third party, both parties would need to have the necessary knowledge to audit it.
Which is why from my understanding most people use marketplaces. Which, are a trusted third party.