Smart contracts were born prior to the blockchain technology. This concept was first put forward by the cryptographer Nick Szabo in his 1994 essay, after which it has been used widely in the blockchain network.
A smart contract can be interpreted as a digital contract. It is a command consisting of codes. The program will be automatically executed once both sides meet the conditions.
Within TRON Network, TVM is compatible with EVM in the early stages. One can develop, debug and compile smart contracts without leaning a new programming language.
Once a TRON smart contract is written and uploaded to TRON MainNet, the contract will be executed in the TVM of the 127 SRs. This developer-friendly contract significantly reduces the difficulty for R&D and cuts learning costs, meanwhile keeping the virtual machines isolated from the external system environment.
The smart contract works like robot in the virtual machine. When it receives messages or transactions, it automatically executes the corresponding code and updates the balance or information of the associated address.
All nodes across the network will record every transaction. So the transaction will be executed and generate identical results for everyone, denying possibilities of fraud.
In addition, running smart contracts consumes “fuel”, a type of token by which the price of a smart contract is measured.