18 June 2019

Smart Contracts on Credits Blockchain

Nowadays, smart contracts are considered to be the most utilized application of blockchain technology. A smart contract acts as an agreement which consists of computer code and runs on the blockchain technology based on the conditions that were specified by their creator. Smart contract platforms have emerged as one of the most popular and valuable types of blockchain networks due to enabling the decentralized digital economy of tomorrow with the help of smart contract technology. As for the CREDITS smart contracts, our developers have successfully implemented a range of innovative improvements in existing smart contracts. In this article, we are going to explore the components of CREDITS smart contracts, its unique features on our blockchain platform, and real-world use cases where they can be implemented.   

CREDITS Smart Contracts

In regards to smart contract functionality and components, the programming code of smart contracts is written in JAVA, runs in a decentralized network of Credits blockchain and implements a sequence of functions and methods of program code inside the network. Another component that smart contracts require is the Virtual Java Machine (JVM), which is used to run smart contracts and is provided under a freely distributed license along with the software platform. Isolated execution of the smart contract code in the virtual machine is carried out without access to the file system and other node resources.


Smart Contract Development

Briefly, let’s walk through some basics to understand the process of smart contract development. As it was mentioned above, on the Credits platform, the development of a smart contract represents the process of writing code in the Java programming language. No installation of the special development environment is needed. The development environment is a software application that provides comprehensive tools for developing software. Here are the most popular development environments for JAVA applications: Notepad++, IntelliJ Idea, NetBeans, and Eclipse Java.

Unique Features

The brand-new CREDITS blockchain platform offers a full-scale extended smart contracts and an autonomous system with its unique features. Various innovative improvements in existing smart contracts such as decentralized environment, low commissions, high speed, and some more, have been successfully implemented by the CREDITS developers.  Let’s go over some of them to find out how those features make them stand out on the blockchain market.

Decentralized environment

Decentralized execution of smart contracts is one of the optimized features where one particular smart contract is performed simultaneously on all trusted nodes of the round. The network, in which the smart contract operates, is decentralized. There is no owner or administrator of the network. The program code is executed in the network of nodes which means that if it is launched, then only the owner can stop it as long as this functionality was previously specified in the smart contract code. A single decision is reached due to the platform’s consensus algorithm.

Low Commissions

Another unique feature of smart contracts on the CREDITS blockchain platform is its attractive low commissions. Payment for the smart contract execution is done in the internal cryptocurrency, Credits (CS). The system automatically charges a small fee for the execution of each function from the account. Smart contract commission depends on the number of changes made to the blockchain, where the minimum cost of the operation is dynamic and starts from 0.0004 CS.

Speed

Last but not least, CREDITS is known as the first fully autonomous system in the smart contract sector. There is no other platform that has been able to boast such an impressive high transaction processing time starting from 0.1 seconds per operation. It allows processing a huge number of contracts per second, that gives an opportunity to meet the needs of even the most demanding business industries.

Features to expect

Schedules and Cycles. Also, CREDITS aims for a service that will allow a smart contract to call internal functions with a specified time and algorithm according to a predetermined schedule. The following key element will allow users to create a request to execute a smart contract at a certain date and time. Once the execution of the specified method is complete and the specified method is calculated dynamically, the payment occurs depending on the amount of data stored. Stay tuned for this upcoming feature which is currently under the development process and will be implemented by the end of this year.

Use Cases

Due to high-level security, transparency, scalability and performance at a lower cost, CREDITS smart contracts can incredibly impact on how industries like insurance, banking, financial services, and gambling work.


Insurance Industry

One of the greatest use cases of where CREDITS smart contracts can be applied in the real life world is the insurance industry. For example, airports and airlines are sometimes unable to cope with pressure, possibly resulting in flight delays and also causing passengers to cancel their trips. Thus, CREDITS proposes to create a service which accepts trip cancellation insurance requests, delivers criteria check, and transfers the amount of compensation based on findings from the check to the insurer’s wallet.

Banking industry

Also, CREDITS smart contracts can be successfully implemented in the banking industry where not only long processing time for payments (especially international ones) turns out to be a concern but also high transaction costs between banks have been an ongoing issue for customers. The use of smart contracts in transactions could speed up and simplify processes, where the possibility of errors in financial transactions is significantly reduced due to the specified terms which are fully visible to all parties.

Conclusion

Smart contracts have a various list of advantages which involve quick contract execution, low cost, and improved privacy. Yet CREDITS combines not only those mentioned characteristics but also highlights its outstanding and unique features of smart contracts. This allows real-time interaction with users along with an exclusive high transaction speed. After exploring what CREDITS smart contracts are, we can summarize that the platform makes it possible to use the advantages of blockchain technology in different industries in which smart contracts are an absolute solution for business needs. There is no doubt that in the nearest future, smart contracts of Credits will uncover its full potential of becoming a standard industry solution.

Useful Links

Advantages and disadvantages of a smart contract

Examples of the use of smart contracts

The "Hello World" smart contract

Cross-language work with smart contracts