Smart Contracts are computer programs that facilitate agreements between various parties, ensuring that the agreed upon requirements are safely met. They can be agreements between people or organizations. The agreed requirements will be specific conditions that must be met before actions are executed.
Smart Contracts are an independent software (not controlled by any of the parties to the agreement). It ensures that the previously agreed conditions are met. It runs fully automatically when a pre-programmed condition is triggered (pre-agreed in the contract).
That is, IF “x” circumstance occurs, THEN the computer program automatically releases the agreed condition. Eg: IF the order arrives, THEN the payment of the invoice is sent; IF the payment of the taxes are made before the date, THEN you do not receive a penalty fee; IF you send the required documentation, THEN you are allowed to make a reservation for that university.