ForexMinute.com – Known for injecting impeccably innovative approaches into the tasks it undertakes, Ripple Labs is once again in the news for the same. The organization has just published a white paper called Smart Oracles to introduce certain flexibility to smart contracts. Smart Oracles, aka Codius, is a system, which compiles multiple programming languages, and creates flexible contracts that can “interact with any service that accepts cryptographically signed commands.”
The term Smart Oracle however is derived by combining the concept of “Smart Contacts” with the trusted signature-verifying entities called “Oracles”. Likewise the name, the aim of Smart Oracle is to eliminate the voids of Bitcoin smart contracts, which still follows the same old approach of executing contracts within consensus networks. It ultimately leads the execution to be deterministic, reducing flexibility of the overall process. Smart Oracles, on the other hand, take one step ahead of the Bitcoin’s approach. Take a look at the excerpts from their paper:
“We argue that it is possible to implement powerful smart contracts in a secure and trustworthy manner without increasing the complexity of existing consensus networks such as Bitcoin or Ripple.
The execution of untrusted code should be decoupled from the consensus databases and other services that track and transfer asset ownership. The separate contract system can handle untrusted code execution and interact with the consensus databases through cryptographic signatures. These signatures are already native to consensus protocols so no modifications are necessary. Decoupling contracts from consensus networks gives the added benefit that contracts can interact with multiple networks at once as well as virtually any type of online service. This means that a single smart contract could interact with Bitcoin and Ripple, web-based services like PayPal, Google, Ebay, etc. or even other Internet protocols, such as SSH, LDAP, SMTP and XMPP.”
The paper describes a possible implementation of the Smart Oracle by using the components like Securely Identifying Code, Sandboxing code, oracle APIs, contract hosting and billion models, and contract clients. It also elaborates each and every component in details and eventually draws a perfect map to implement Smart Oracle in real world.
If this technology is integrated into the existing Smart Contract approach, it would benefit a number of applications – including cryptocurrency wallet controls, digital assets’ auctioning, debts and equities, etc. – by increasing flexibility and eliminating disproportion between varied platforms.
To know more about Ripple Labs’ Smart Oracle, visit here.
To contact the reporter of the story: Yashu Gola at firstname.lastname@example.org
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