A smart contract is a computer protocol intended to digitally facilitate, verify, or enforce the negotiation or performance of a contract. Smart contracts allow the performance of credible transactions without third parties. These transactions are trackable and irreversible.
For example, a smart contract could be used to facilitate the exchange of money, content, property, shares, or anything of value. The contract could be programmed to automatically transfer a certain amount of money from one party to another when certain conditions are met.