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One could argue that legal contracts are less binding than smart contracts. There is a distinction made between the 'letter and spirit of the law'.

Furthermore, a contract, or at least a clause, will become invalid if it goes against existing law in a country (at least this applies to the EU). E.g, I cannot sign a contract in which I sell my kidney to you, as commercial organ trading is outlawed in many countries.

Is a smart contract able to make this distinction? I suppose as soon as it develops a moral consciousness it does.



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