> ## Documentation Index
> Fetch the complete documentation index at: https://docs.theblockchainlibrary.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Smart contracts

> Learn how blockchain programs execute deterministic rules and manage digital assets.

## Definition

A smart contract is program logic deployed to a blockchain or blockchain-compatible execution environment. Users and applications call contract functions through transactions.

## Typical uses

* Token issuance and transfers.
* Decentralized exchanges.
* Lending and collateral.
* Governance.
* Escrow.
* NFTs and digital ownership.
* Automated business rules.

## Important constraints

Smart contracts can contain bugs, permissions, upgrade mechanisms, and economic assumptions. Code execution does not automatically make a system safe or trustless.

<Warning>Do not interact with a contract solely because its source code is public. Review permissions, deployment details, upgrade controls, and transaction effects.</Warning>