Research On Credit Mortgage Trading Mechanism Based On Smart Contract

At present,the credit system is not yet perfect,traders lack sufficient legal and economic awareness in the process of formulating and executing contracts,and a large number of contract breaches have appeared in China,which has become a serious economic and social problem.After a breach of contract,the main body of the transaction is often resolved through negotiation,arbitration,and justice.As the most powerful means of enforcement to protect the rights and interests of the breached party,the administration of justice has the problem of difficulty in enforcement,so that the rights and interests of the breached party cannot be guaranteed.In order to create a good market trading atmosphere and maintain a normal trading order,smart contracts are introduced in the trading process.The establishment of a credit mortgage transaction based on the features of smart contract automatic execution and non-tampering does not cause property occupation,but also has strong execution,use emerging technologies to solve problems that traditional systems cannot solve.Firstly,based on transaction characteristics,traditional transaction models are divided into trust transactions and property mortgage transactions.Using Nash equilibrium and through comparative analysis,it is found that trust transactions will not cause property occupancy,but the execution power is weak,only suitable for very trusted transaction objects;property mortgage transactions have strong execution power,but will cause a large property occupation,only applicable to trade objects with strong economic strength.Credit mortgage transactions based on smart contracts will not cause a large amount of property occupation,and have strong execution power,and are suitable for all transaction objects.Establish dynamic accumulation rules for transaction credits.In smart contract credit mortgage transactions,transaction credits increase with contract compliance transactions and decrease with default transactions.Establish dynamic evolution rules for the proportion of credit mortgages.With the evolution of time,the compliance rate increases,the proportion of credit mortgages of transaction entities increases,and finally full credit mortgages are realized.Secondly,the smart contract technology is embedded in the entire process of the transaction,based on the Fabric alliance chain,the structure of the smart contract credit mortgage transaction system is built,and the transaction rules are formulated.The system includes three parts: the participating subject,the accounting channel and the functional module.Participants are participants in the system,including alliances made up of credible organizations such as the government,which are responsible for the use of supervision;transaction subjects are those with transaction needs,and transactions are conducted on the alliance chain;trusted data sources are provided by credible The unit is composed to provide data for the alliance chain.The accounting channel sub-chain records the account,transaction and credit data in the alliance chain.The functional module provides technical support for credit mortgage transactions,recognizes the identity of the authentication node,calculates the credit value of the transaction subject and mortgages the transaction,and punishes breach of contract.Finally,based on the transaction situation on the smart contract system,a transaction credit evaluation,mortgage algorithm model and evolution path are established.Based on the original credit of the trading entity and the transaction credit obtained from the transaction performance,quantitative analysis of its credit;combined with the credit and the average transaction amount to quantitatively evaluate the credit value,when the transaction entity creates a contract on the smart contract,the credit value can be written Enter and deduct the mortgaged property to be written;with the evolution of time,under the certain conditions to achieve full credit mortgage.Use point calculation examples and evolution calculation examples to confirm the effectiveness of smart contract credit mortgage transactions to promote compliance transactions.