According to TechFlow, on October 15, Bitcoin.comNews reported that the Argentine judicial authorities recently recognized the legal validity of blockchain-based smart contracts for the first time, marking a major breakthrough in the country's application of blockchain technology. This decision makes smart contracts legally enforceable in Argentina, paving the way for their application in commercial fields such as lease agreements and purchase payments. It is reported that the first legally recognized smart contract is a loan agreement built on the Cardano blockchain. The contract was reached by two Argentine Cardano ambassadors, Mauro Andreoli and Lucas Macchia, involving a four-month loan of 10,000 ADA (about US$3,430) with an annual interest rate of 10%.
“We have just signed the first legally and judicially binding contract on the Cardano network that is fully compliant with the laws of the Republic of Argentina,” Andreoli said. He stressed that this means that any breach of contract can be enforced in court in ADA. To ensure the legal validity of the smart contract, the parties also signed a supplementary legal document detailing the content of the contract, the blockchain used, and the transaction ID of the relevant wallet address. This practice may become a standard procedure for the legalization of smart contracts in the future.
