The research and development department of the US Commodity Futures Trading Commission LabCFTC reportedly presented to the public the regulator's official smart-contract guidelines.
The document represents the guidelines which cover both advantages and risks that smart-contracts can entail. Moreover, the regulator noted that the users must fulfil the relevant responsibilities no matter whether they use smart-contracts or not.
"Existing law and regulation apply equally regardless what form a contract takes. Contracts or constituent parts of contracts that are written in code are subject to otherwise applicable law and regulation," reads the guideline.
It is worth mentioning that the compliance with the regulators' requirements can be built-in the smart contract, and thus illegal actions would be just impossible.
In addition, LabCFTC thinks that companies can apply smart-contracts to automate trading. In particular, their feature "stop-loss" cancels the transaction in case of the price falling specified level. This can be attractive for companies dealing with financial derivatives.
In general, smart contracts' automatization feature will save money and time, meanwhile process standardization eliminate unnecessary discussions between the parties.
Still, the authority believes that smart-contracts can reduce market transparency, while technical problems can be used for fraud schemes and manipulations.