Firmo. A solution for Smart Contracts.

Let's talk a bit about history

After the creation of Bitcoin (2009), there have been many projects contributing new ideas and solutions to decentralize the majority of processes that we use today that maintain a centralized approach. The goal in depth is to eliminate the intermediary to simplify processes and minimize costs.

This is where smart contracts come in. We must remember that a contract is nothing more than an agreement between two or more parties. Where the rules are defined that will allow, to all the parties that accept it, to understand what the interaction they will perform will consist of.

When one hears the word contract, what comes to mind are written documents, subject to constitutional and territorial laws, which require notaries and are generally not done overnight.

It was in 1993 when the cryptographer Nick Szabo, for the first time defined in detail the smart contract concept. However, despite defining the theory, it was impossible to make it a reality with the existing technological infrastructure. It was the appearance of the Blockchain, which allowed to make this concept possible. However, in 2014, with the creation of Ethereum, it was when, finally, they became a reality.

Smart contracts

Smart contracts are digital contracts, scripts (informatic codes) programmed to be executed and fulfilled by themselves, without intermediaries or mediators. The terms of the contract are pure sentences and commands.

These contracts can be made by people, institutions or other machines that operate autonomously. The conditions are programmed, signed by the interested parties and placed in the blockchain so that it can not be modified.

Among the financial services that smart contracts can perform, are loans, settlements, coupon payments, insurance, inheritance, payment automation, etc.

The problem

The problem with these contracts is that they must be well programmed, fail-safe; since they could have security failures or errors that generate execution errors or unexpected behaviors.

Another problem that smart contracts present is the interaction with reality, there are contracts whose execution depends on the values indicated by third parties (which in some way reduces decentralization). This is where the Oracles come in, this tool allows to update the status of smart contracts with reliable external information.

The solution

Firmo is in the process of creating an alternative infrastructure for financial contracts transparent, fair and trustless.

Firmo is in the development of an alternative infrastructure that allows the creation of financial contracts in a transparent, fair and reliable manner.

Firmo consists of an intelligent contract language, FirmoLang, which allows the safe execution of a new generation of financial contracts in the block chain. Completely compatible with Ethereum and in the future, on other blockchains.

Firmo solves the problems of vulnerability, errors and redundancy presented by smart contracts languages, such as Solidity.

Firmo defines smart derivatives, a secure type of smart financial contract, that offers products that include, among others, future loans, options and swaps; fully compilable in the Ethereum Virtual Machine (EVM).

The Firmo Protocol is currently in the alpha phase of development.

Two Minute Intro