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Trusted third party owned by the banks, or providing audited services to the banks. Banks trust the third party because contracts are enforced by law as well as federal and industry regulations.

Ain't no judge gonna throw up is hands and go "well, the smart contract says so, my hands are tied!". Blockchain doesn't solve anything where there is a functioning legal framework.

You can't use technology to solve a problem that isn't a technology problem.



Agreed. I phrase this as "technology does not solve civil problems" (https://news.ycombinator.com/item?id=17809559).


It doesn’t solve anything if there isn’t a functioning legal framework either.

You still have to trust the other party will abide by the results of the smart contract.

If there is no legal framework they could just shoot you and have done with it, if they didn’t like the result.

Smart contracts and blockchains are still laws, just laws for people who don’t like some of the existing ones. Numerical rather than societal.

If there’s no rule of law, then blockchain laws can’t exist either.




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