A technological solution for applying legal rights in blockchain and Web3 environments.
Abstract: Blockchain networks offer undisputed advantages over alternative transaction systems. Among these are anonymous accounts, self-custodied assets, and an immutable ledger. Unfortunately, these same features are readily misused by criminals to steal digital assets and blockchain users are routinely injured as a result.
Legal remedies exist for these injuries but are not enforceable as a practical matter due to blockchain’s decentralized architecture. If blockchains could apply the law autonomously while remaining decentralized, anonymous, and immutable, such an advance would be a game changer. It would increase digital asset values, usher in widespread adoption, and moot most lawmakers’ objections to cryptocurrency.
We propose a fully-compliant technological solution called Jurat. The solution integrates judicial orders from state and federal courts into the blockchain’s transaction verification process. Jurat-enabled blockchains can understand and implement these courts’ orders through augmented protocols and secure connections to the court dockets. This method provides effective vindication of legal rights in all decentralized environments (including smart contracts and Web3 services) while preserving the blockchain’s native features, all without increasing the network’s attack surface.
Because this technological advance protects users from serious risks of loss without adversely impacting blockchain’s value propositions, courts should recognize Jurat as the standard of care for operators’ (miners) liability, smart contract administration, and DAOs.
Stay in the know about our latest products and innovations.