Skip to main content

Can a Smart Contract Legally Enforce a Fair Access Protocol?

A smart contract can technically enforce a fair access mechanism (e.g. a time-lock, a commit-reveal scheme) by making it impossible to execute a transaction outside of the coded rules. However, a smart contract cannot enforce a legal fair access protocol, as it lacks legal personality and jurisdiction.

Legal enforcement, such as fines or imprisonment for a breach, still requires traditional regulatory bodies and legal systems.

Can a Smart Contract Be Legally Binding in Traditional Finance?
Can a Smart Contract Be Legally Nullified by a Court?
How Does the Legal Enforceability of a Tokenized Derivative Compare to a Traditional Contract?
What Is the Legal Status of a Smart Contract in Major Jurisdictions?