What are smart contracts in the Ethereum network?

Smart contracts in Ethereum are self-executing contracts with terms written in code. They automatically execute when certain conditions are met, without the need for intermediaries. Thanks to Ethereum, smart contracts provide security and transparency for transactions, as all data is recorded in a public ledger. This significantly reduces the risk of fraud and makes processes more efficient. Unlike traditional contracts, smart contracts in Ethereum are executed in a decentralized network, eliminating the possibility of modification or cancellation.