27 Jul Blockchains and smart payroll contracts
If you imagine the payroll process as a series of concentric circles, with the practical accounting and legal tools at the center, and each larger circle representing a layer of oversight, the traditional approach begins with “dumb” tools and each layer of oversight is more and more “smart.” The traditional tools are paper, writing instruments, and calculators; the traditional oversight layers are employee managers, business owners, lawyers, and judges.
As we continue to imbue blockchain transactions and artificial intelligence with greater automated responsibility, the oversight and the tools start to mesh in generic transactions. Simultaneous with that, however, human oversight becomes increasingly more critical in handling exceptions to the rules, both unintended exceptions and intentionally fraudulent exceptions.
The human component can never be eliminated from the process. There are too many unforeseen possible scenarios for contractual omniscience, and artificial intelligence can produce unexpected results if it’s not effectively monitored.
Read the full, original article, Blockchains And Smart Contracts. Who’s Really In Charge?.