A small amount of regulation is generally healthy as there are many people that are very gullible, as well as the fact that it if often difficult to do due diligence if there is zero accountability on the other person's end for manipulating facts. What the kind of regulations we are seeing in some states that cap the interest rates that borrowers can be charged is causing is the least credit worthy borrowers be shunned from the credit market because it is illegal to charge them an interest rate that is appropriate for their credit/risk profile.
Right. Even will full due diligence, there is still possible for scammer to scam, the reason government and court need to exist in the first place to enforce the contract and agreement between two parties.
Smart contracts will show the way going forward.
No room for subjective interpretation. No room for protracted litigation.
Well, if it is automatic (say calculated and executed on ethereum), how would the courts intervene?
Let us say, I execute a smart contract with another person, so that bitcoins from an escrowed account go into 1 of 2 addresses depending on the outcome of an event. This is executed using ethereum (when it does come up). My opponent doesn't know my identity. I would love to see the courts try and invalidate this contract.
