Any political or economic system built on the expectation that people won't be assholes to each other (and work with others to be assholes) is a flawed system.
- people aren't assholes
- all involved parties can audit blockchain transactions
- all involved parties are programmers and can audit a contract written in an esoteric programming language
- all involved parties voluntarily agree to be bound by these contracts despite the fact there's no way they can be enforced
Maybe I'm misunderstanding, but I don't think ETH contracts count on humans doing anything.
However, if you want to use services or exchange goods, then people are involved.
A simple example: person A requests goods or services from person B. According to Ethereum website, "Customers have a secure, built-in guarantee that funds will only change hands if you provide what was agreed." Person B provides goods/services. Person A says no goods or services were provided. The assumed guarantees turn out to be fiction.
Here's a real world example. A typical contract between a supplier and a chain store common in many parts of the world goes something like this:
- supplier provides goods on a continuous basis
- the chain store pays for goods once every three months
In the real world this contract is enforceable by, well, centralised laws of the respective countries. If the chain store reneges on payment, it can be taken to court and forced to pay.
In case of "smart" contracts, well, keep sending goods for three months in the hope that you get paid.
https://twitter.com/VitalikButerin/status/105116093269977088...
> To be clear, at this point I quite regret adopting the term "smart contracts". I should have called them something more boring and technical, perhaps something like "persistent scripts".
> I do think that persistent scripts controlling assets compete with the legal system on some margins, but so do locks on doors. So IMO it's wrong to equate them with a specific philosophy of law privatization.
Then, as I said, it's just a very slow and ineffecient API and protocol.
However, to quote ethereum's marketing material [1]
--- start quote ---
Ethereum allows you to move money, or make agreements, directly with someone else. You don't need to go through intermediary companies.
Commerce guarantees
Customers have a secure, built-in guarantee that funds will only change hands if you provide what was agreed.
--- end quote ---
This directly involves people. With all the issues described above.
On their dapps page [2] currently:
- Foundation. Buy, trade, and sell unique digital artwork and fashion from some incredible artists, musicians, and brands.
- PoolTogether. Buy a ticket for the no-loss lottery.
- Augur. Bet on outcomes of sports, economics, and more world events.
etc. etc.
All this involves people and the belief that they will honor their end of the deal.