/biz/ - Business & Finance

>>10812603
>>10812745
Or how about I give you an example.

Let's look at someone paying their employee.

First the employer signs the check.
That check then is given to the employee.
That employee takes the check and gives it to the bank.
The bank then puts it through a system to make sure the funds exist, and then put the funds into the new account.
This process takes approximately 2 days, although it can be reduced to 1 if you use the same bank, it can be raised if there are issues.

Now with a smart contracts, lets say you have a system that automatically pays them based on their wages. The banks get the information about the amount of money existing in account A instantly, and the money can be transferred to the new account instantly.
Instead of total Time = t + 2 days, it becomes t + 2 minutes, or even less.

Not only this, but it requires substantially less actual labor since no one has to manually verify these units, as when the requirements of the contract are fulfilled it goes through automatically.

But hey, you just don't get it.