A smart contract is essentially a preprogrammed program designed to perform specific actions, and once deployed on the Ethereum blockchain, its behavior remains immutable and independent, even from its creator
Consider smart contracts as autonomous entities programmed for a particular purpose, resembling robots with a fixed set of functions. The Ethereum blockchain serves as a dedicated platform for hosting these smart contracts.
Presently, smart contracts manage vast sums of cryptocurrency, facilitating various services such as lending and borrowing, crypto exchange operations, lottery mechanisms, decentralized autonomous organizations (DAOs), and more. These services, governed by smart contracts, operate securely on the blockchain and are resistant to takedown attempts.
Smart contracts operate independently, and their actions are determined solely by their predefined logic. They cannot be sued or censored, making them an ideal tool for hosting decentralized and unregulated services, as there is no physical entity behind them.
The Ethereum blockchain was specifically designed to support the deployment and execution of smart contracts, allowing anyone to create and deploy these programs to provide public services without relying on traditional intermediaries or centralized entities.