Understanding Smart Contract Development: Innovate, Code & Execute
Understanding Smart Contract Development: Innovate, Code & Execute
By Paramjit Singh
26th October 2023
What are smart contracts? The self-executing contracts include the agreement terms directly written into the code. Upon fulfilling certain predetermined conditions, these contracts execute and enforce the terms of an agreement.
This explanation of smart contract development seems very complex to understand. Let’s explain to you with an example.
Imagine you want to rent an apartment in a posh area. Upon several hours of negotiations, you and the landlord have agreed upon the terms, such as monthly rent, duration of lease, and late penalties. Now, there’s a high probability that the landlord will encode these terms into a digital contract (smart contract) through a programming language like Solidity.
(One month late)
After one month, if your agreed-upon conditions are met (like you make the monthly rent payment), the smart contract automatically executes the transaction. Moreover, the smart contract automatically transfers the payment to the landlord’s account, and a monthly record of all future transactions will be stored on the blockchain.
Through this above-given example, you must have understood the meaning of smart contracts and their importance. Smart contracts offer transparency and security while automatically executing the actions upon fulfilling predetermined terms. As a result, it helps to take one step forward to neglect the need for intermediaries (lawyers and notaries) in any kind of business.
Smart contract development can benefit every business, offering transparency and security. That’s why companies are considering deploying smart contracts. To make this deployment possible, it is necessary to follow the expert guidelines. We’ve compiled a comprehensive blog post offering detailed information on smart contract development.
Smart Contracts’ Wide-Ranging Benefits: The Multi-Sector Marvel
Many people believe smart contract development is only valuable for specific businesses (finance). But the reality is far away from this. Smart contracts are used in various sectors, offering superior security to each. Below, we’ve listed a diverse selection of sectors where smart contracts are being used.
Supply Chain Management:
Smart contracts are gaining wide acceptance in the supply chain industry. These self-executing contracts track the movement of goods and vehicles and automatically release the payment to the retailer’s bank account.
Banking, E-commerce and finance are the sectors where smart contracts started to gain popularity. Executing a trade on a stock exchange is not a child’s game; it requires complete concentration and an abundance of time. But, since smart contracts have entered the industry, the process has become easy and transparent.
Who’s your favorite artist? Beyonce! Alright. So, every time you stream her song on streaming platforms, the royalties will automatically be distributed to respected rights holders (artists, labels, and producers) through smart contracts. This helps to improve efficiency and transparency in dynamic sectors like the music industry.
The buying and selling process of property involves many complexities. However, with the arrival of smart contract development, things have become easy. Through smart contracts, the transfer of ownership and payment process can be done in a few minutes.
How to Deploy Smart Contracts as a Beginner?
Over the last few years, smart contract development has become a necessity for businesses of all sectors. From healthcare to the supply chain, deploying smart contracts can be very beneficial. If you want to deploy smart contacts independently, you must remember the steps below.
Step #1: Understanding the Basics
Before doing anything, you’re completely unfamiliar with it. What little can you do? Probably, understanding its basics!
It’s the same thing you must do in smart contract development. If you’re from a technical background, it is well and good. But, if you’re not, understand the basics of blockchain and smart contracts through tutorials, videos, and articles available online.
Step #2: Choose a Right Platform
Proceed further by selecting a reliable platform for deploying smart contacts. Some of the best platforms for smart contracts development include EOSIO and Ethereum. Since each platform has its own functions and features, choose a platform that perfectly fits your needs.
Step #3: Proficiency in Programming Language
To create a smart contract to boost security and transparency, it is necessary to have proficiency in programming language. The most widely recognized language is Solidity, primarily used for Ethereum Smart Contracts. Other languages include Vyper (Binance’s Smart Chain Language) and Chaincode.
Step #4: Developmental Environments
To create anything professional, a certain kind of environment should offer developmental facilities to do something according to industry standards. The same thing can be considered in the case of smart contracts, too. Consider trusted developmental environments such as Remix, Embark, and Truffle.
Step #5: Join a Community
If theoretical knowledge is the compass that guides you through any journey, then practical knowledge is the path that decides your destiny. This same line can be applied to smart contracts, too. So, joining a community is the best way to get practical knowledge about smart contracts. Consider online communities such as Telegram or LinkedIn groups, forums, and platforms like Github. This way, you can connect with professional smart contract developers to understand smart contract development in detail.
Step #6: Experiment with Existing Smart Contracts
Search for the best existing smart contracts, start experimenting with them by reading their codes, and then testing them. In this way, you can understand their use case and functionality.
But how can I find existing smart contracts? (This question must be revolving in your brain.)
So, here is an answer to your doubt
The most popular resources for existing smart contracts include Ethereum’s mainnet, Githib, dApps (Decentralized Applications), and online tutorials like B9Lab and ConsenSys Academy.
Start #7: Participating in Hackathons
Forget about the smart contract’s development; your brain must focus on the word ‘Hackathons.’
So, Hackathons are like a competition where individuals or teams come together to participate in projects related to software development and technology.
Coming back on topic. By participating in Hackathons, an individual can get the opportunity to learn professional knowledge to deploy smart contracts. The most popular smart contract development Hackathons include EthGlobal, Ocean Protocol Hackathon, and Binance Smart Chain Hackathon.
By following these simple steps, you can start deploying smart contracts effectively. Moreover, if you’re falling short of expertise, resources, or time to make smart contract development possible, look no further than Deftsoft. With years of experience, Deftsoft offers the best smart contract development services. From DeFi smart contract development to NFT smart contract development, Deftsoft professionally provides these services.
Security Best Practices:
Smart contract development is a very complex process, but you can do it with the right expertise and technique. Furthermore, what else can you do? Adopting security measures! By considering security measures, you can smoothly execute and manage smart contracts. Following are the top security practices to follow:
1. Coding Practices:
At the beginning of the blog post, we mentioned that smart contracts are terms of the agreement written in codes. Therefore, the correct codes play a crucial role in the success of smart contract deployment. To do so, follow established guidelines and principles to write a code that is resistant to vulnerabilities and exploits.
2. Auditing and Code Review:
After writing correct codes, it would be beneficial to undergo auditing and code review. In this step, you must examine the codebase to resist any potential security vulnerabilities and weaknesses. Consider an independent third-party expert to identify and address the potential risks.
3. Preventing Common Vulnerabilities:
There can be numerous well-known vulnerabilities in smart contracts, such as reentrancy attacks, integer overflow/underflow, and unauthorized access. Use these secure ways to prevent smart contracts from getting affected by these vulnerabilities.
Reentrancy Attacks: ‘Check-effects-interactions’ pattern or implementing a mutex (a locking mechanism)
Integer Overflow/Underflow: SafeMath Libraries or OpenZeppelin’s arithmetic operations
Unauthorized Access: Role-Based Access Control (RBAC) patterns
Deftsoft: Your Trusted Companion in Smart Contract Development
Smart contract development requires professional knowledge and skills to deploy these self-executing contracts effectively. If you lack the expertise, time, and ability to do so, choose Deftsoft. As a leading smart contract development company, Deftsoft is your ultimate companion. With over 17 years of experience, we provide trusted blockchain smart contract development services. Our professionals are highly skilled in delivering industry-standard smart contract development services. What makes us stand out from our competitors? Primarily our ability to provide dedicated services to clients. No matter your difficulty and queries, our professionals make sure to clear all your concerns. Let Deftsoft be a trusted partner in smart contract development.
In conclusion, smart contracts represent a transformative leap in executing and enforcing agreements. By encoding terms directly into code, these contracts offer transparency, security, and efficiency in various industries. From real estate to supply chain management, the applications are far-reaching. While deploying smart contracts may seem complex, following a structured approach and adopting security best practices can pave the way for successful implementation. For those seeking expertise in smart contract development, Deftsoft stands as a reliable partner with over 17 years of experience. Trust in Deftsoft to navigate the intricacies of smart contract deployment and revolutionize your business processes.