Example: Suppose you rent an apartment from me. You can do this through the blockchain by paying in cryptocurrency. You get a receipt which is held in our virtual contract; I give you the digital entry key which comes to you by a specified date. If the key doesn’t come on time, the blockchain releases a refund. If I send the key before the rental date, the function holds it releasing both the fee and key to you and me respectively when the date arrives. The system works on the If-Then premise and is witness

Actually, when it comes to smart contracts, we’re stepping into a sci-fi screen. The IT resource center, Search Compliance suggests that smart contracts may impact changes in certain industries, such as law. In that case, lawyers will transfer from writing traditional contracts to producing standardized smart contract templates, similar to the standardized traditional contracts that you’ll find on LegalZoom. Other industries such as merchant acquirers, credit companies, and accountants may also employ smart contracts for tasks, such as real time auditing and risk assessments. Actually, the website Blockchain Technologies sees smart contracts merging into a hybrid of paper and digital content where contracts are verified via blockchain and substantiated by physical copy.

Source: What Are Smart Contracts? A Beginner’s Guide to Smart Contracts