Smart Contract Dispute Resolution: The Inescapable Flaws of Blockchain-Based Arbitration

Smart Contract Dispute Resolution: The Inescapable Flaws of Blockchain-Based Arbitration

Over two hundred and fifty million transactions occurred on the Ethereum blockchain in 2018. This staggering level of digital commerce was powered almost entirely by “smart contracts,” or self-executing chunks of computer code that immutably transfer assets between users. Proponents of blockchain technology see these automated, irreversible agreements as one of Ethereum’s greatest innovations, offering a virtually costless contractual enforcement mechanism. Some early adopters have even claimed that electronic asset-transference has rendered traditional contract law entirely obsolete.

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