theloop and Cyberdigm Develop Korea's First Blockchain-Based Contract Platform
Blockchain is also known as a distributed ledger system. Because every node shares and verifies information about the data, documents cannot be forged or altered — widely regarded as its greatest strength. It can also dramatically cut the time and cost involved in obtaining notarization through a trusted third party.
The two companies have begun joint development with the goal of applying those strengths of blockchain to a contract document platform and increasing its usefulness for users. To broaden the user base, they also plan to offer the service free of charge for a certain period.
The initial version of the platform will provide cloud-based nodes, allowing participants to use the service while operating their own nodes at the same time. A later, expanded version will use the smart contract capabilities developed by theloop to automate contract procedures.
The areas where a contract platform can be applied most actively today are contracts that require repetitive procedures, such as monthly rent and other periodic payments, and utility bills. If contracts can be executed automatically on the platform through smart contracts, with their terms tracked and managed on the blockchain, the time and cost of the work involved can be reduced dramatically. Applying the contract platform to a variety of other areas is expected to bring correspondingly greater benefits to everyday life.
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