Smart contract method for service level agreement with smart oracles

Abstract

Since the development of blockchain technology such as Smart Contracts, the attempts for the integration into cloud computing architectures have been on the rise. Smart Contracts are distributed applications that facilitate the transfer of digital assets between parties under the agreed-upon terms and have proven to be promising mechanisms that are able to interact with different stakeholders. However, with the increase of the algorithmic complexity of Smart Contract functionalities, such as the Service Level Agreement, the cost feasibility may become questionable. As a result, we have used the approach known as Smart Oracles, which enables the interaction of Smart Contracts with off-chain data. It is possible to migrate the computational core of the algorithms to off-chain execution. In this paper, we propose a novel method for the Service Level Agreement by migrating on-chain operations to off-chain dedicated services via Smart Oracles. The proposed method shows that it is possible to reduce the overall Smart Contract execution cost and at the same time increase the distribution level of the solution.