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Interview with Aljaž Jadek about the legal perspective of the blockchain technology and smart contracts

LJUBLJANA, 19 July 2017- Aleš Tomažin conducted an interview with Aljaž Jadek about the legal perspective of the blockchain technology and smart contracts, which is available at the website LinkedIn Pulse. Aljaž Jadek explained:

In the future, the nature of the lawyers’ work will change inevitably. Smart contracts will demand good cooperation between the lawyers and the software developers and the lawyers’ involvement with the technology will intensify considerably. Smart contracts show great potential as they ensure trust and automated enforcement of contracts. This will accelerate and increase the scope of operations, as well as reduce the risks.

There is no danger of smart contracts replacing the work of the lawyers in the future, since they will always depend on the compliance with the laws and the contractual provisions. Some functions within the judicial system will probably be replaced with the blockchain technology. The current judicial system will still be needed for the unpredictable and new types of events and for resolving the complex relationships in which only a human mind can judge appropriately.

Many European institutions have pointed out that it was too soon to regulate the technology, since this could on the one hand limit further development and its potential and on the other hand fail to appropriately regulate the relationships and reduce the risks. For the time being, “wait and see” seems to be the most suitable approach; however, this does not mean that the state and its regulators cannot help the community by providing guidance, explanations and approvals of good practices already at this point.

We have not yet evolved to the stage at which we would be able to live in a self-regulated world. The blockchain technology has some excellent features, but we must not forget the obstacles that will have to be eliminated before it can become part of the daily routine. The technology has the potential to considerably change the way of life. Simple transactions will be automated, people will have more time to resolve complex issues and the relationships, standards, study courses and occupations will change.

In Slovenia, the principal regulators are currently monitoring the development and learning about the technology. They have assured that they would strive to establish a reliable and block-chain technology-friendly business environment. We have a sound base of developers and highly competent people. If the government and the regulators meet their goal, foreign projects will enter Slovenia and open many doors to new opportunities.