How do smart contracts work with blockchain technology?

1. A user sends a transaction to the blockchain network that includes instructions for a smart contract.

2. The smart contract is automatically verified by the nodes on the network, ensuring that the terms of the agreement are valid.

3. The smart contract is executed and the conditions of the agreement are enforced across the blockchain network.

4. The terms of the agreement are stored on the blockchain in the form of an immutable ledger.

5. All users of the network can view and verify the terms of the agreement, ensuring that the conditions of the smart contract are enforced.