Over a decade ago, Satoshi Nakamoto deployed blockchain to develop the premier crypto, Bitcoin. Described as a decentralized distributed ledger that stores information in a secure, permanent, and immutable manner, blockchain has evolved since 2008 and has been used to create various other projects like Ethereum.
Unlike Bitcoin, Ethereum incorporated nascent technologies like smart contracts—a set of executable codes that run on blockchain technology to facilitate, enforce, and execute transactions between untrustworthy parties.
Although a revolutionary project in the crypto space, smart contracts are problem-laden. A catalyst to the unprecedented growth of crypto trends like DeFi and NFTs, several vulnerabilities have been exploited, prompting the question; are smart contracts still ideal in today’s world.
While there is no direct answer to the question, the recent Solana wormhole hack, Ethereum DAO hack, and the multiple DeFi attacks are a cause of concern as all of these are managed expressly by smart contracts.
Contract Model—an Alternative to Smart Contracts
As the vulnerabilities of smart contracts become an industry topic, many projects have launched alternatives to rival this revolutionary technology. Protocon, a web3-based Layer 1 blockchain project, offers a viable option through its product, Contract Model.
According to a recent press release, a technical document, Yellow Paper Part 1, explaining the details about the Contract Model was published by the Protocon Team.
Introducing Model-Based System Engineering [MBSE], a technology applied to the development of systems that require stability and higher levels of security—aircraft and military weapons—Contract Model will act as an alternative to smart contracts. The Model-Based System is a theory where unit models are developed safely, sturdily, and combined like LEGO to create an intricate structure.
Ideally, the Contract Model comprises a Unit and Composite Contract Model. The former is a program that provides functionality and guarantees higher performance and safety, thanks to a group of nodes’ distribution over the network.
The Unit Model consists of three sets—input, output, and state of the model—and three functions—input transform function, state transition function, and output function. Furthermore, the Unit Model can function independently and serve as a Composite Model component.
The latter was born out of a combination of the Unit Model registered on the network. As the diagram below depicts, during the implementation of NFTs as loan collateral, the three model units are superbly combined to offer new services.
In addition, it provides an improved level of performance and safety because it consists of codes that are in line with industry performance and security standards. Furthermore, new contracts can be formed by efficiently commingling verified models after Unit Models.
Significant Differences Between Smart Contracts and Contract Model
The ease of structuring the Unit Model previously configured sets the Contract Model apart from smart contracts. While the latter stores and executes contracts individually, the former stores them in a unit model, thus eliminating repetition and enabling efficient use of available computing resources. Through the Composite Model, performance and security are guaranteed.
The Contract Model is excellent at performing bare-metal computing resources. The Contract Model runs programs directly on the OS. Thus, increasing performance and enabling eco-friendly network operation.
Thirdly, the Contract Model is independent of any programming language. While most blockchains require expertise in a programming language, Protocon, through its product, simplifies the process, requiring users only to apply the Unit Model accordingly.
Not surprisingly, Protocon has tested most functions using blockchain as a token model. Additionally, a testnet is in operation, as revealed by the previously mentioned press release.