What is Ethereum contract trading?
Ethereum contract trading refers to a special type of transaction that involves deploying or calling smart contracts on the Ethereum blockchain. Unlike regular transfer transactions, contract transactions automate operations through executable code and have the following core features:
Contract transactions allow developers to deploy smart contracts (code containing EVM bytecode) or interact with deployed contracts. Smart contracts are self-executing programs with terms directly written into code, which automatically trigger when conditions are met, without the need for third-party intervention. For example, decentralized finance (DeFi) applications, NFT issuance, and other scenarios rely on contract transactions to be realized.
Decentralization and transparency: Contract code and transaction records are publicly accessible and verified by global nodes.
High Gas consumption: Due to the complexity of calculations involved, contract transactions usually require more Gas (for instance, deploying a contract may require millions of Gas, far exceeding the 21,000 Gas of a regular transfer).
Immutability: Once deployed, the contract logic cannot be modified and can only be upgraded through new contract functionality.
Signature method: Regular transactions are signed by nodes, while contract transactions require external applications (such as wallets) to generate the raw transaction (naked transaction) directly.
Purpose: Regular transactions transfer assets, while contract transactions execute code logic (such as token transfers, conditional triggers, etc.).
Developers write contracts in Solidity → compile to bytecode → sign transactions through wallets (like MetaMask) → nodes validate and broadcast to the network → miners package and execute. For example, when deploying a token contract, the transaction must include the contract code, while calling a contract requires specifying the target address and function parameters.
Ethereum contract trading provides the foundation for decentralized applications, with its flexibility and security supporting a wide range of innovative use cases, from financial derivatives to supply chain management.
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