Universitatea din București Facultatea de Drept, Adriana Almăşan, Eduard FLOREA, Universitatea din București Facultatea de Drept
This article explores the integration of Smart Contracts into the Romanian legal system, analyzing their compatibility with existing civil law principles and the broader European regulatory framework. The paper evaluates the legal validity of Smart Contracts under Romanian contract law, addressing challenges related to consent, form requirements, and party identification, especially in anonymous blockchain environments. It also examines the implications of European initiatives like the Data Act and AI Act and underscores the need for targeted legislation to ensure legal certainty, consumer protection, and state oversight in blockchain applications. Ultimately, the article advocates for a forward-looking legal framework that harmonizes technological innovation with foundational legal principles.
Decentralized Autonomous Organizations (DAOs) represent a transformative shift in organizational structures, leveraging blockchain technology to enable decentralized governance, transparency, and automation through smart contracts
If limited liability companies were widely spread in the 1990s, limited liability companies based on blockchain technology have witnessed tremendous growth in the past two years due to digital globalization. These companies adopt decentralized autonomous organizations, known as DAOs, which operate on the blockchain platform through smart contracts and decentralization of control. Despite the many advantages of these companies, they face many legal challenges and regulatory risks. What increases the importance of this study is that the laws of commercial companies in the countries of Iraq (Kurdistan Region) and the United Arab Emirates do not include any regulatory rules in this regard, which raises the question of what are these newly created companies? What are the similarities and differences between them and traditional companies? What are their legal provisions? Should they be adopted within the legislative system or not? In other words, are the decentralized autonomous organizations that belong to these companies capable of displacing traditional organizational structures? In this study, we will highlight to what extent limited liability companies based on blockchain technology can be considered a new form of commercial companies or whether it is just a false idea confined to a narrow scope.
Open access
Blockchain Technology Applications and Security
Energy Law and Policy
Innovations and Analysis in Business and Education
This thesis examines three distinct topics on settlement microstructure and market efficiency in both DeFi and TradFi. Chapter one introduces the thesis’ unifying lens, arguing that settlement microstructure drives market efficiency across these markets. It links the three papers by showing how access in Bitcoin private channels, timing in Ethereum intertemporal gas hedging, and composition in equity market retail participation jointly determine fees, latency, liquidity, and price discovery, while previewing the policy framework that renders these mechanisms legible, bounded, and measurable. Chapter two, based on the working paper “Private Settlement in Blockchain Systems” with Dr. Alfred Lehar, provides evidence that the settlement market in blockchain systems is not purely transactional and diverges from the predictions of a simple competitive auction model. Using data from the Bitcoin blockchain, we find that 5.88% of transactions, labeled as private, bypass the competitive auction and are routed directly to miners. Despite being more active than the average user, these transactions are consistently confirmed by a single miner, a statistically unlikely outcome in a competitive environment. Our findings suggest that high-demand users form long-term agreements with miners, paying, on average, 20% lower fees. This chapter also documents how such settlement contracts are structured and operate within an unregulated market. Chapter three, based on the working paper “Gas Tokens: Market for Future Settlement in the Ethereum Blockchain” with Dr. Alfred Lehar, examines the implications of gas tokens as a potential market for future settlement within the Ethereum network. We show that sophisticated and frequent users are more engaged in gas token markets, pre-purchasing tokens to hedge against fluctuations in gas prices and paying, on average, 15.25% lower settlement fees. Moreover, bots actively pursue arbitrage opportunities in gas token markets and hold substantial volumes. Our findings indicate that traded gas token prices have strong predictive power for future gas prices. This research contributes to the development of modern financial instruments for price discovery and hedging within the Ethereum network as a two-sided market. We also empirically analyze the implementation of the Ethereum Improvement Proposal EIP-1559 as a natural experiment. Chapter four, based on my working paper “Silencing the Noise: Amplified Effects, A Causal Study on Price Efficiency”, investigates the causal effects of noise trader removal on market liquidity. In September 2022, an unexpected internet disruption in Iran restricted noise traders while informed traders retained access through brokers. This disruption led to a 6.65-fold increase in the bid-ask spread and a 46.8% decrease in informed trade speed due to market access asymmetry. Social media censorship in affected regions further amplified information asymmetry, resulting in a 7.2% price impact. Using a five-year analysis of political unrest, this study disentangles the effects of unrest and internet disruption on noise trading activity. The findings reveal that political unrest increases regional noise trading activity, whereas internet disruption decreases it. When both unrest and internet disruption occur simultaneously, regional noise trading activity decreases by 23.5%. This paper provides novel insights into market microstructure and the dynamics of liquidity provision through noise trading in emerging markets.
This chapter addresses the emerging challenges of consumer protection in the context of non-fungible tokens (NFTs). Although NFTs are generally excluded from financial regulation under instruments such as the Markets in Crypto-Assets Regulation (MiCAR), they are increasingly marketed and sold to consumers as speculative digital assets. Many of these transactions rely on techniques that obscure key information, such as price, scarcity, or value, or employ design strategies that steer user behaviour. The chapter examines how the Unfair Commercial Practices Directive (UCPD) can apply to such cases, with a focus on misleading actions and omissions, aggressive practices, and interface-driven manipulation. While NFTs are not expressly recognized as consumer products, they fall within the material scope of EU consumer law when offered in a business-to-consumer setting. The analysis reveals that the UCPD remains a relevant, albeit under-enforced, tool for addressing deceptive and exploitative practices in NFT markets. However, enforcement is hindered by the novelty of the technology and the opacity of many digital marketplaces. The chapter calls for more precise regulatory guidance, greater awareness among enforcement authorities, and renewed attention to the structural risks posed by token-based commerce.
This Research paper attempts to examine and analyse the legal nature and law which govern virtual property, covering the concept of ownership, transfer, and regulatory challenges within the metaverse. This Research paper aims to set-out the struggles of traditional legal framework to adapt to the new digital environment consisting of technologies such as blockchain, artificial intelligence (AI), augmented and virtual reality (AR/VR), 3D modelling, and edge computing converge to form the metaverse. The study explains blockchain technology, as it reinforces non-fungible tokens (NFTs) which is the key standard for virtual ownership. It also attempts to analyse how existing legal framework in India for property laws, such as the Transfer of Property Act 1882[1] and the Sale of Goods Act 1930[2], could bring virtual assets under its legal parameters. A comparative analysis of the UK, US, EU, and Indian legal frameworks shows how different legal approaches helps in classification of digital assets. The UK Law Commission’s recommendation demonstrates a progressive shift toward recognising virtual property rights by introducing a new category of “digital objects”.[3] The Research paper highlights the inadequacy of existing property laws for resolving the exclusive cross-jurisdictional and ownership challenges posed by digital environments, concluding that just providing conceptual foundation is not enough. It advocates for a harmonised global governance framework integrating statutory law, soft law principles like the UNIDROIT Principles of International Commercial Contracts[4], and platform-specific regulation to ensure certainty, accountability, and protection of digital ownership.
This paper examines the legal status of Decentralized Autonomous Organizations (DAOs) within Macau's legal framework, with particular emphasis on the potential analogical application of Article 174 of the Commercial Code. Despite the absence of specific provisions addressing these novel blockchain-based entities, this research demonstrates that Macau's existing legal infrastructure possesses sufficient flexibility to accommodate DAOs through interpretive mechanisms. By analyzing the theoretical foundations of legal personhood, the distinctive characteristics of DAOs, and the underlying principles of Macau's commercial law system, this study proposes a viable pathway for recognizing DAOs as legitimate legal entities. The research reveals that while Article 174 was not originally conceived to address blockchain-based organizations, its purposive interpretation and analogical application could provide a provisional legal foundation for DAOs, pending more specific legislative developments. This approach not only addresses immediate practical concerns regarding the legal status of DAOs but also contributes to the broader discourse on legal adaptation to technological innovation in the commercial sphere.
Finance, supply chain, and decentralized applications are some of the industries that have undergone a revolution in relation to blockchain technology, and smart contracts are at the center of this revolution. Smart contracts are computer protocols that are programmed on blockchain systems and which allow transparency, immutability, and decentralization. Nonetheless, governance in a blockchain is a problem area, because the conventional centralized systems are inconsistent with its decentralised characteristic. This article discusses self-governance of blockchain whereby decision making is computerized using smart contracts to achieve decentralized regulations. It reviews the prevailing conditions in blockchain governance, issues and the way smart contracts would enhance transparency, efficiency and security. Also provided in the study are the advantages and drawbacks of decentralized governance, which includes issues of scalability and security, and the möbius strip connection between autonomous governance and blockchain platforms. Moreover, it assesses the place of decentralized autonomous organizations (DAOs) in blockchain governance and the issues of their implementation.
The integration of smart contracts and artificial intelligence (AI) into family law represents a major advancement in the digital transformation of legal procedures for marriage contracts. The blockchain technology enables smart contracts to function autonomously as self-executing agreements that deliver benefits through automated processes and transparent systems, and secure transactions. AI integration with these agreements enables real-time adjustments through adaptability because it allows automatic changes based on financial, legal, or personal circumstances. The implementation of family law through these agreements creates essential legal problems regarding their enforceability and jurisdictional differences, and their ability to handle marital relationship dynamics. The paper studies the basis of smart contracts alongside their potential AI-enhanced adaptability and automation capabilities. It also studies the Serbian marriage contract legal regulation. The research investigates the legal obstacles and jurisdictional problems that emerge when these technologies are used in family law by making comparisons with other civil law jurisdictions. The article also evaluates important ethical issues related to algorithmic bias and privacy concerns before it concludes by analysing the advantages and disadvantages of AI-enhanced smart contracts for marriage contracts in Serbia.
Blockchain-based smart contracts have garnered significant attention due to their potential to automate and enforce agreements in a decentralized and transparent manner. This abstract provides an overview of the implementation and security considerations associated with blockchain-based smart contracts. Smart contracts are self-executing contracts with predefined rules encoded on a blockchain, enabling automated and tamper-proof execution of contractual agreements. The implementation of smart contracts involves writing code in programming languages such as Solidity and deploying them on blockchain platforms such as Ethereum. However, the adoption of smart contracts introduces various security challenges, including vulnerabilities in the code, malicious actors, and regulatory compliance issues. This abstract discusses key security considerations for smart contracts, such as code auditing, formal verification, secure coding practices, and regulatory compliance. Additionally, it explores emerging trends and techniques for enhancing the security and resilience of blockchain-based smart contracts. By addressing these security considerations, blockchain-based smart contracts can realize their potential to revolutionize industries by enabling trustless and efficient execution of agreements while maintaining the integrity and confidentiality of transactions.
The insurance sector is no different from the other sectors examined in this book. It is likely to be transformed as it becomes increasingly digitised. This chapter explores the current developments and potential impacts of technology on the collection and usage of data pertaining to insurance products. It highlights how the states examined in this chapter have statutes in place for the governance of insurance contracts. The chapter points out how blockchain insurance, distributed ledger, cryptography, and smart contracts have the potential to disrupt the insurance industry. The adoption of this technology will improve pricing, risk assessment, and efficiencies. On the other hand, it could result in the insurance policy itself being tokenised, creating new market opportunities. A number of judicial decisions presented in this chapter demonstrate the interface between contracts and insurance policy and the need for vigilance as they become increasingly digitised. Finally, the chapter briefly demonstrates the importance of arbitration and the new developments in regard to open insurance.
The article analyses how RegTech and SupTech are transforming regulation and supervision in financial markets. The research proposes the use of blockchain as an infrastructure for meta-supervision, capable of ensuring traceability, verifiability and accountability of regulatory algorithms. Through an analysis of the DORA and eIDAS 2.0 Regulations, the contribution shows how Distributed Ledger Technologies can strengthen digital resilience and computational trust. The study outlines a possible new model of digital legitimation of automated public power.
Public Prosecution Office at the Egyptian Court of Cassation, Mohammed Abdelnabi, Yassin Abdalla Abdelkarim, Sohag Primary Court
The prevalence of digital technologies in contemporary human interactions has elevated the role of digital means in contractual relations among society members, prompting renewed attention to smart contracts as automated, code-based legal instruments. This study examines the nature, structure, and operational mechanisms of smart contracts, comparing them to traditional contract theory under the Egyptian Civil Code (Law No. 131/1948). Smart contracts create binding obligations through software-based processes that rely on encryption, offering efficiency but also posing technical and doctrinal challenges. The paper investigates whether the Egyptian legal framework can adequately address issues such as consent, validity, termination, and dispute resolution in digital contracts. By analyzing smart-contract characteristics through the lens of Egyptian civil-law principles, the study seeks to clarify how existing doctrines may be adapted to accommodate emerging technologies. It ultimately proposes a jurisprudential foundation for integrating smart contracts into Egyptian law, ensuring legal certainty and coherence with established contractual norms. __________ CONTRATOS INTELIGENTES BAJO EL DERECHO CIVIL EGIPCIO: ESTRUCTURA Y TERMINACIÓN La prevalencia de las tecnologías digitales en las interacciones humanas contemporáneas ha elevado el papel de los medios digitales en las relaciones contractuales entre los miembros de la sociedad, impulsando una renovada atención a los contratos inteligentes como instrumentos legales automatizados basados en código. Este estudio examina la naturaleza, la estructura y los mecanismos operativos de los contratos inteligentes, comparándolos con la teoría contractual tradicional del Código Civil egipcio (Ley n.º 131/1948). Los contratos inteligentes crean obligaciones vinculantes mediante procesos basados en software que se basan en el cifrado, lo que ofrece eficiencia, pero también plantea desafíos técnicos y doctrinales. El documento investiga si el marco legal egipcio puede abordar adecuadamente cuestiones como el consentimiento, la validez, la rescisión y la resolución de disputas en los contratos digitales. Al analizar las características de los contratos inteligentes a través de los principios del derecho civil egipcio, el estudio busca aclarar cómo las doctrinas existentes pueden adaptarse para dar cabida a las tecnologías emergentes. En última instancia, propone una base jurisprudencial para la integración de los contratos inteligentes en el derecho egipcio, garantizando la seguridad jurídica y la coherencia con las normas contractuales establecidas. __________ 埃及民法下的智能合约：结构与终止 数字技术在当代人际互动中的普及提升了数字手段在社会成员间契约关系中的作用，促使人们重新关注智能合约这种自动化、基于代码的法律工具。本研究考察了智能合约的性质、结构和运行机制，并将其与埃及民法典（1948年第131号法律）下的传统合同理论进行比较。智能合约通过基于软件的加密流程产生具有约束力的义务，这在提高效率的同时，也带来了技术和法理上的挑战。本文探讨了埃及法律框架是否能够充分解决数字合约中的同意、有效性、终止和争议解决等问题。通过运用埃及民法原则分析智能合约的特征，本研究旨在阐明如何调整现有法律原则以适应新兴技术。最终，本研究提出了将智能合约纳入埃及法律的法理基础，以确保法律确定性并与既定的合同规范保持一致。
Cryptocurrencies are often portrayed as volatile, lightly regulated, or tools for illicit activity. This view overlooks a deeper innovation: the Crypto-Body, a self-sustaining digital ledger system that is essentially a programmable and consensus-governed architecture for recording and automating diverse data and functions. Beyond serving as a store of value or payment rail, a Crypto-Body operates as a programmable institutional substrate whose rules are guaranteed by cryptographic verification. It validates data and transactions, allocates value and credit, enables exchange of verifiable digital assets, and coordinates these activities via energy and computation across individuals, firms, governments, and organizations; all while preserving anonymity and user privacy through pseudonymous identifiers and selective disclosure (e.g., zero-knowledge proofs), and still permitting auditability and legal compliance where required.
This piece analyses the extent to which the established doctrine of mistake will be able to deal with automated contracts that do not perform according to the legitimate expectations of the parties. Its particular focus is on the requisite mental state of those parties, and how actual knowledge may well be too high a threshold to impose on those using coded contractual instructions.
This article examines the transformation of financial intermediation in the digital age, moving beyond the traditional dichotomy between disintermediation and reintermediation to propose a more nuanced, function-based regulatory perspective. It analyses how emerging technologies—such as artificial intelligence, blockchain, smart contracts, and decentralized autonomous organizations (DAOs)—are reshaping the architecture of financial markets, altering the allocation of risk, trust, and accountability. The contribution integrates legal, economic, and technological insights to reassess classical theories of financial intermediation in light of algorithmic decision-making, platform-based finance, and embedded governance mechanisms. Particular attention is devoted to the rise of new digital gatekeepers, the persistence of systemic risk, and the challenges posed by algorithmic bias, DAO liability, and quantum-related cybersecurity threats. The article adopts a comparative and forward-looking approach, critically examining recent regulatory developments, including the EU framework under MiCA, PSD2/PSD3, DORA, and the AI Act, alongside regulatory experimentation such as sandboxes and supervisory technologies (SupTech and RegTech). It argues that effective oversight in digital finance requires adaptive legal architectures capable of embedding regulatory objectives directly into technological infrastructures, thereby reconciling innovation, financial inclusion, and systemic stability in an increasingly hybrid financial ecosystem.