CAF-3 · Chapter 12 · Question 12 of 15
What are "Smart Contracts" in the context of blockchain and financial services?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Self-executing agreements encoded directly on the blockchain that trigger automatically when predefined conditions are met
Explanation
Smart contracts are self-executing agreements encoded on the blockchain. They automatically enforce terms once conditions are met, eliminating intermediaries and reducing costs
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