Trakti Smart "Legal" Contracts Blog

Web3 introduces a revolutionary digital model designed to return control of data and interactions to users through decentralized technologies like blockchain and smart contracts. These tools guarantee transparency, security, and automation, eliminating intermediaries and creating a more equitable, user-centric Internet.

The global blockchain market, valued at $10 billion in 2022, is projected to reach $163 billion by 2029, with an annual growth rate of 56.3%. This surge highlights the rising interest in Web3, fueled by sectors like decentralized finance (DeFi), NFTs, and the metaverse, alongside a growing demand for secure and transparent solutions compared to the traditional web.

This evolution is not just technological, it marks a cultural shift as businesses and institutions recognize Web3 as a key to innovation and competitive advantage in the digital future.

The 2024 U.S. elections are also shining a spotlight on the world of cryptocurrencies, particularly Bitcoin, which has increasingly been recognized as an institutional asset. With debates on regulations and digital innovation taking center stage in the political agenda, there is a growing consensus on the importance of Web3 as a cornerstone of digital transformation. This is not just about decentralized finance but an entire technological infrastructure poised to redefine the management of data, contracts, and global transactions.

Why Web 3 is relevant for business

Web3 combines innovations like blockchain, smart contracts, IoT, and artificial intelligence, unlocking new opportunities for businesses. Industries such as retail, logistics, and finance are already leveraging these technologies to enhance transparency, operational efficiency, and data management. For example, immersive virtual reality experiences are transforming customer interactions, while 5G networks facilitate seamless communication between devices.

Adopting Web3 empowers businesses to stay competitive, addressing market demands more effectively and ensuring resilience in a rapidly changing digital landscape. Companies that embrace this transition today will set themselves apart as tomorrow’s digital leaders.

How Trakti Helps Companies Bridge Their Systems to Web3

Trakti is a unified smart contract platform built on blockchain technology, offering essential tools for businesses transitioning to the Web3 ecosystem. Its user-friendly interface and contract automation capabilities simplify workflows, reducing manual intervention and errors.

With Trakti, companies can improve transparency and security in their operations. The platform enables the creation and management of tamper-proof smart contracts that automatically enforce agreements, reducing disputes and speeding up execution.

As the Web3 ecosystem evolves, early adopters of blockchain and smart contracts will have a competitive edge. Trakti bridges traditional business practices and the decentralized Web3 environment, enhancing efficiency and enabling businesses to better serve their customers.

Web3’s Future for Businesses

Adopting Web3 technologies is one of the most critical challenges for businesses seeking to stay ahead. While the European Union investigates regulatory measures for these innovations, it’s vital to move past skepticism and embrace the opportunities offered by digitalization through blockchain and smart contracts. These tools not only boost efficiency but also prepare businesses for a global market that increasingly values transparency and control.

Companies integrating Web3 today are positioning themselves as future leaders, gaining an edge over those hesitant to evolve. Ignoring this transformation risks falling behind in an economy increasingly dominated by decentralized technologies.

Web3 is not a passing trend, it’s a structural shift in how we manage data, contracts, and digital relationships. Platforms like Trakti provide practical solutions to navigate this transition, turning perceived risks into tangible benefits. Embracing Web3 is not just innovation; it’s the strategy for thriving and leading in the digital era.

To dive deeper into the power of smart contracts, explore our white paper on creating flexible and efficient solutions.

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In today’s digital-first world, effective data management is essential for businesses to stay competitive, ensure compliance, and build trust with stakeholders. With cyber threats on the rise and sensitive information flowing through contracts and operations, safeguarding data is no longer optiona it’s a business imperative. This article delves into the importance of robust data management, the risks of neglecting it, and how an innovative contract lifecycle management (CLM) platform like Trakti, certified to ISO 27001:2022 standards, can help.

The Importance of Data Management

Data drives modern businesses. From client records to proprietary strategies, companies handle vast amounts of sensitive information daily. Mismanaging this data can lead to dire consequences, including:

• Financial Losses: Data breaches cost companies millions in recovery, fines, and lost revenue.
• Reputational Damage: Trust, once lost due to a breach, is hard to regain.
• Legal Ramifications: Failure to comply with regulations like GDPR or ISO 27001 standards can result in heavy penalties.

Implementing ISO 27001:2022 ensures organizations follow best practices to secure data across all levels. This international standard offers a robust framework to manage risks, protect information, and foster trust among partners, clients, and stakeholders.

The Risks of Neglecting Data Protection

Data breaches are more than just IT issuesthey’re business disasters. Contracts, a critical element

in any operation, often house highly confidential information, including:

• Personal data
• Financial terms
• Proprietary business details
• Trade secrets

A single breach in contract management could lead to leaked trade secrets, legal battles, and fractured business relationships. The rise of remote work and cloud-based systems has increased the attack surface for cybercriminals, making it crucial for businesses to implement stringent controls.

ISO 27001 and Contract Data Security

ISO 27001 is the gold standard for information security, and its principles are particularly vital for contract data management. By adopting its structured approach, businesses can:

1. Ensure Data Confidentiality: Limit access to sensitive information.
2. Maintain Data Integrity: Prevent unauthorized alterations to contracts.
3. Guarantee Data Availability: Ensure stakeholders can access necessary information securely when needed.

For contract lifecycle management, ISO 27001 provides specific guidance on encryption, role-based access controls, and regular security audits,key to managing contract data securely.

How Trakti Empowers Businesses

Trakti, an ISO 27001:2022-certified platform, redefines secure and compliant contract management. Designed to address modern challenges, Trakti offers:

• Advanced Security Features: Encryption and access controls to safeguard sensitive data.
• Streamlined Compliance: Tools that simplify adhering to legal and regulatory requirements.
• Cloud-Native Architecture: Flexible, scalable solutions with robust data protection.

By automating contract processes while adhering to the highest security standards, Trakti helps businesses mitigate risks, enhance efficiency, and strengthen trust with clients and partners.

Securing Your Future with Trakti

Trakti’s ISO 27001 certification is more than a badge,it’s a commitment to excellence in data security. By choosing Trakti, businesses gain a trusted partner that prioritizes safeguarding sensitive information, enabling seamless, compliant, and secure operations.

In a landscape where data management can make or break a company, leveraging an innovative CLM platform like Trakti ensures peace of mind and a competitive edge. Safeguard your data, secure your contracts, and strengthen your business with Trakti.

Ready to protect your data?
Contact us today to explore how Trakti can transform your contract management processes.

Book a FREE DEMO with us and find out more about our offer

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AI-based chatbots are software that rely on technologies like natural language processing and machine learning.
By using smart contracts, integrating AI systems into customer support can have a significant impact and help mitigate potential issues.
AI in customer support enables faster interaction with users and improves the overall customer experience, but its systems require considerable time, large datasets, and a lot of work.

Reading time: 4 min

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As Halloween approaches, it’s not just ghosts and goblins that haunt us, contractual agreements, with their spooky clauses, can also have their fair share of terrifying twists.  
Just like a good horror story, a poorly crafted contract can lead to unforeseen consequences, misunderstandings, and even legal battles that can chill you to the bone.

In this article, we’ll delve into some of the most spine-tingling clauses that can lurk in the shadows of your agreements, waiting to ensnare the unsuspecting.

From ambiguous scopes that lead to disputes, to terrifying liabilities that could undermine your business, we’ll shed light on these contractual fears and how to avoid them.

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Scope and Objectives:

Defining the scope and objectives of an agreement can often be ambiguous, leading to misunderstandings regarding what is included or excluded. The parties may interpret deliveries, timelines, and outcomes differently, resulting in vague language that can lead to disputes over unmet obligation

This ambiguity could potentially lead to legal action.

To prevent such alarming outcomes, it is essential to clearly delineate all deliveries, timelines, and specific objectives using precise language. Regularly reviewing and updating the scope, if necessary, can help avoid confusion.

Plus: In Trakti, you can use the collaborative environment to communicate with the parties by exchanging messages, updates, and notifications. Additionally, you can incorporate Trakti variables, orders, and tables into your contracts, detailing timelines and specific objectives.

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Limitation of Liability:

Negotiating liability limits can be contentious, as parties seek to protect their interests while maintaining mutual fairness. Striking a balance between limiting exposure and ensuring adequate accountability can feel like walking a tightrope.

Excessively limiting liability can expose parties to significant risks, while overly broad limits may deter parties from entering into agreements.

To navigate these treacherous waters, propose reasonable limits based on the nature of the agreement, including limits on direct damages while excluding consequential damages.

Plus: During negotiations, Trakti allows you to make offers and counter-offers, and propose amendments. Additionally, you can request reviews from external parties to gain an opinion on the contract; proposals can be accepted, evaluated, or rejected through the platform, allowing for traceable discussions at every stage and arriving at a signature only when both parties agree.

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Intellectual Property (IP):

Issues related to ownership and rights to use intellectual property can be contentious, especially in collaborative projects where multiple parties contribute.

Defining what constitutes confidential information can lead to disputes, and misunderstandings regarding IP rights can result in costly litigation, hindering innovation or commercialisation efforts.

To prevent such terrifying scenarios, clearly define ownership, usage rights, and licensing agreements, and consider including provisions for joint developments and post-contractual uses.

Plus: Keep all attachments to the main contract in Trakti, and track every message and communication exchanged between the parties.

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Business is going digital and digitisation has spread throughout all areas of private law, including inheritance law. “Digital inheritance” is a term in law, and refers to the transfer of rights to digital assets.
A Digital asset can be defined as a personal property owned by an individual which is stored in a digital form, therefore any digital data that a person leaves, after his death, stored on diverse types of digital devices and in the cloud. This includes a multitude of digital formats and their respective metadata: from your online accounts, including banking information, to social media passwords.

Reading time: 4 min

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The no-code movement is a trend that can also offer a lot of potential benefits for the legal and administration sectors.
According to Gartner, no-code and low-code application development will be responsible for more than 65% of application development activity by 2024.
No-code platforms can revolutionise the way legaltech approaches its internal innovation and automation of key tasks.
No-code tools and technologies can help lawyers to efficiently drive their business.
This is certainly a challenge with regards to user experience, as no code applications transform and simplify the way we can all interact with the interface of an app or software.

Reading time: 3 min

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