A Study on Formal Verification of Smart Contracts in Distributed Ledger Technology

Abstract

This study paper explores the critical topic of formal verification of smart contracts in distributed ledger technology (DLT) systems. Smart contracts, self-executing code running on blockchain platforms, have gained widespread adoption in various industries due to their automation and transparency benefits. However, the decentralized and immutable nature of DLT raises concerns regarding smart contract security, leading to vulnerabilities and potential exploits. Formal verification methods offer a systematic approach to analyze smart contracts for correctness and safety. This paper provides an overview of smart contracts, DLT, and the importance of formal verification. It reviews various formal verification techniques and presents state-of-the-art tools and frameworks. The paper concludes with discussions on challenges, future research opportunities, and the role of formal verification in enhancing DLT-based applications' security and usability.