Unlock the Power of Smart Contracts with a Security Audit – Here’s Why!

Paulina Lewandowska

29 Dec 2022
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Smart contracts are secure, self-executing digital contracts. They are being used more frequently to manage a variety of tasks, such as money transfers and property transfers. Smart contracts have a lot of advantages, but they also carry a lot of risk. Therefore, before deployment, a smart contract audit is essential. In this article, we'll go through why it's important to audit smart contracts, how to choose a smart contract auditor, and how to streamline the auditing procedure.

Introduction to Smart Contracts

Smart contracts have grown in popularity as a safe and open way to manage agreements and transactions. Smart contracts are digital contracts that are maintained on a blockchain and executed automatically when specific circumstances are satisfied. These agreements can be used for a variety of transactions, including as the trading of goods and services as well as the transferring of rights and ownership. Although smart contracts provide a number of advantages, including security, transparency, and immutability, it is essential to carry out an audit before deploying them in order to guarantee their dependability and security.

Why is Auditing Smart Contracts Important

Blockchain smart contracts must be audited in order to find and fix any potential flaws or mistakes before they are put into use. A smart contract that has been stored on the blockchain cannot be changed after that point because it is a decentralized and immutable record. Any defects or weaknesses in a smart contract could have severe repercussions, including monetary losses, legal troubles, or reputational harm. Therefore, before a smart contract is implemented, it must undergo an audit to confirm its security and dependability. In order to guarantee smart contracts' ongoing security and dependability when changes are made, it is also advisable to audit them frequently.

What is a Smart Contract Audit?

An audit of a smart contract's code is done systematically to look for any vulnerabilities or defects that might exist. A certified smart contract auditor who is proficient in the programming language used to create the contract does this process. In order to find any problems like wrong grammar, faulty logic, or insufficient security measures, the auditor thoroughly examines the code line by line during the audit. The audit also seeks to locate any malware or other potential security risks in the contract. The auditor then submits a report detailing their findings and recommendations for improvement.

Benefits of a Smart Contract Audit

The advantages of auditing smart contracts are numerous. It aids in making sure the contract is trustworthy and safe, which can lower the chance of monetary losses, legal problems, and reputational harm. Additionally, it assists in ensuring that the contract complies with current laws and norms.

Smart contract auditing enables the detection of possible problems before they have a chance to do much harm. This can assist in lowering the price of any necessary repairs or modifications. As any possible problems may be rapidly detected and fixed, it can also aid in reducing the amount of time required to deploy the contract.

What to Look for in a Smart Contract Auditor

Look for someone with experience and expertise when choosing a smart contract auditor. The auditor should be knowledgeable with the best practices for auditing smart contracts and have a thorough understanding of the coding language used to develop the contract.

Additionally, the auditor needs to be familiar with the particular platform that was used to draft the contract. For instance, the auditor needs to be familiar with the Ethereum Virtual Machine if you're using it. This will help to guarantee that the audit is thorough and correct.

The Process of Auditing Smart Contracts

Smart contract auditing often entails a more in-depth and exhaustive examination of the code. The following steps may also be included in the process:

  1. Setting up a testing environment: In order to deploy and test the smart contract, the auditor must set up a testing environment. Installing the required software and equipment, such as a local blockchain network or an emulator, may be required to accomplish this.
  2. Examining the overall structure of the code: The auditor will examine the code's overall structure to make sure it is clear and ordered. They will also look for any coding best practices or standards that have been adhered to.
  3. Checking for any vulnerabilities in the code: The auditor will carefully study the code to look for any possible flaws or vulnerabilities that might be taken advantage of. This involves keeping an eye out for unsafe coding procedures like the usage of unsecure libraries or improper input validation.
  4. The contract will be put through its paces by the auditor to make sure it performs as planned and that all of its features and functions are operationally sound. Writing test cases or scenarios to put the functionality of the contract to the test may be required.
  5. Making recommendations: After the audit is finished, the auditor will deliver a report with their conclusions and suggestions. Any concerns that were discovered during the audit will be described in this report along with recommendations for how to deal with them. The report might also make suggestions for enhancing the contract's general stability and security.

Best Practices for Auditing Smart Contracts

In order to guarantee the security and dependability of blockchain-based applications, smart contracts must be audited. When auditing smart contracts, it's crucial to adhere to established practices for the best outcomes.

Utilizing a trustworthy auditor with experience and understanding is a crucial best practice. A competent auditor who is well-versed in smart contracts would be able to see possible problems and make insightful recommendations.

Making a thorough audit strategy before starting the audit is another crucial best practice. The audit's scope, the exact sections of the code that will be examined, and any testing that will take place should all be specified in this plan.

It's crucial to examine the code line by line during the audit to find any potential problems. To do this, you might check for erroneous logic, poor syntax, or missing security precautions. The auditor should also search for any potentially harmful code or security issues.

The auditor should deliver a thorough report detailing their findings and suggestions after the audit is finished. Any concerns that were discovered during the audit should be described in this report along with recommendations for how to deal with them. Additionally, suggestions for enhancing the contract's general stability and security should be included in the report.

It's critical to frequently check on the contract to make sure it's safe and trustworthy. To make sure the code is current with the most recent best practices and security precautions, this may entail running tests or reviewing it frequently.

Conclusion

An essential step in assuring the security and dependability of these contracts is smart contract audits. It is feasible to prevent damage and lower the cost of repairs or modifications by identifying potential weaknesses or vulnerabilities. It's crucial to take into account a smart contract auditor's level of experience and familiarity with the applicable platform when making your decision.

Smart contract audits are another way to make sure that laws and standards are being followed. By streamlining the deployment procedure, time and resources may be saved. Using our AI auditing platform, Nextrope provides effective and thorough smart contract security assessments. To secure the security and dependability of your smart contracts, get in touch with us right now.

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AI in Real Estate: How Does It Support the Housing Market?

Miłosz Mach

18 Mar 2025
AI in Real Estate: How Does It Support the Housing Market?

The digital transformation is reshaping numerous sectors of the economy, and real estate is no exception. By 2025, AI will no longer be a mere gadget but a powerful tool that facilitates customer interactions, streamlines decision-making processes, and optimizes sales operations. Simultaneously, blockchain technology ensures security, transparency, and scalability in transactions. With this article, we launch a series of publications exploring AI in business, focusing today on the application of artificial intelligence within the real estate industry.

AI vs. Tradition: Key Implementations of AI in Real Estate

Designing, selling, and managing properties—traditional methods are increasingly giving way to data-driven decision-making.

Breakthroughs in Customer Service

AI-powered chatbots and virtual assistants are revolutionizing how companies interact with their customers. These tools handle hundreds of inquiries simultaneously, personalize offers, and guide clients through the purchasing process. Implementing AI agents can lead to higher-quality leads for developers and automate responses to most standard customer queries. However, technical challenges in deploying such systems include:

  • Integration with existing real estate databases: Chatbots must have access to up-to-date listings, prices, and availability.
  • Personalization of communication: Systems must adapt their interactions to individual customer needs.
  • Management of industry-specific knowledge: Chatbots require specialized expertise about local real estate markets.

Advanced Data Analysis

Cognitive AI systems utilize deep learning to analyze complex relationships within the real estate market, such as macroeconomic trends, local zoning plans, and user behavior on social media platforms. Deploying such solutions necessitates:

  • Collecting high-quality historical data.
  • Building infrastructure for real-time data processing.
  • Developing appropriate machine learning models.
  • Continuously monitoring and updating models based on new data.

Intelligent Design

Generative artificial intelligence is revolutionizing architectural design. These advanced algorithms can produce dozens of building design variants that account for site constraints, legal requirements, energy efficiency considerations, and aesthetic preferences.

Optimizing Building Energy Efficiency

Smart building management systems (BMS) leverage AI to optimize energy consumption while maintaining resident comfort. Reinforcement learning algorithms analyze data from temperature, humidity, and air quality sensors to adjust heating, cooling, and ventilation parameters effectively.

Integration of AI with Blockchain in Real Estate

The convergence of AI with blockchain technology opens up new possibilities for the real estate sector. Blockchain is a distributed database where information is stored in immutable "blocks." It ensures transaction security and data transparency while AI analyzes these data points to derive actionable insights. In practice, this means that ownership histories, all transactions, and property modifications are recorded in an unalterable format, with AI aiding in interpreting these records and informing decision-making processes.

AI has the potential to bring significant value to the real estate sector—estimated between $110 billion and $180 billion by experts at McKinsey & Company.

Key development directions over the coming years include:

  • Autonomous negotiation systems: AI agents equipped with game theory strategies capable of conducting complex negotiations.
  • AI in urban planning: Algorithms designed to plan city development and optimize spatial allocation.
  • Property tokenization: Leveraging blockchain technology to divide properties into digital tokens that enable fractional investment opportunities.

Conclusion

For companies today, the question is no longer "if" but "how" to implement AI to maximize benefits and enhance competitiveness. A strategic approach begins with identifying specific business challenges followed by selecting appropriate technologies.

What values could AI potentially bring to your organization?
  • Reduction of operational costs through automation
  • Enhanced customer experience and shorter transaction times
  • Increased accuracy in forecasts and valuations, minimizing business risks
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Want to implement AI in your real estate business?

Nextrope specializes in implementing AI and blockchain solutions tailored to specific business needs. Our expertise allows us to:

  • Create intelligent chatbots that serve customers 24/7
  • Implement analytical systems for property valuation
  • Build secure blockchain solutions for real estate transactions
Schedule a free consultation

Or check out other articles from the "AI in Business" series

AI-Driven Frontend Automation: Elevating Developer Productivity to New Heights

Gracjan Prusik

11 Mar 2025
AI-Driven Frontend Automation: Elevating Developer Productivity to New Heights

AI Revolution in the Frontend Developer's Workshop

In today's world, programming without AI support means giving up a powerful tool that radically increases a developer's productivity and efficiency. For the modern developer, AI in frontend automation is not just a curiosity, but a key tool that enhances productivity. From automatically generating components, to refactoring, and testing – AI tools are fundamentally changing our daily work, allowing us to focus on the creative aspects of programming instead of the tedious task of writing repetitive code. In this article, I will show how these tools are most commonly used to work faster, smarter, and with greater satisfaction.

This post kicks off a series dedicated to the use of AI in frontend automation, where we will analyze and discuss specific tools, techniques, and practical use cases of AI that help developers in their everyday tasks.

AI in Frontend Automation – How It Helps with Code Refactoring

One of the most common uses of AI is improving code quality and finding errors. These tools can analyze code and suggest optimizations. As a result, we will be able to write code much faster and significantly reduce the risk of human error.

How AI Saves Us from Frustrating Bugs

Imagine this situation: you spend hours debugging an application, not understanding why data isn't being fetched. Everything seems correct, the syntax is fine, yet something isn't working. Often, the problem lies in small details that are hard to catch when reviewing the code.

Let’s take a look at an example:

function fetchData() {
    fetch("htts://jsonplaceholder.typicode.com/posts")
      .then((response) => response.json())
      .then((data) => console.log(data))
      .catch((error) => console.error(error));
}

At first glance, the code looks correct. However, upon running it, no data is retrieved. Why? There’s a typo in the URL – "htts" instead of "https." This is a classic example of an error that could cost a developer hours of frustrating debugging.

When we ask AI to refactor this code, not only will we receive a more readable version using newer patterns (async/await), but also – and most importantly – AI will automatically detect and fix the typo in the URL:

async function fetchPosts() {
    try {
      const response = await fetch(
        "https://jsonplaceholder.typicode.com/posts"
      );
      const data = await response.json();
      console.log(data);
    } catch (error) {
      console.error(error);
    }
}

How AI in Frontend Automation Speeds Up UI Creation

One of the most obvious applications of AI in frontend development is generating UI components. Tools like GitHub Copilot, ChatGPT, or Claude can generate component code based on a short description or an image provided to them.

With these tools, we can create complex user interfaces in just a few seconds. Generating a complete, functional UI component often takes less than a minute. Furthermore, the generated code is typically error-free, includes appropriate animations, and is fully responsive, adapting to different screen sizes. It is important to describe exactly what we expect.

Here’s a view generated by Claude after entering the request: “Based on the loaded data, display posts. The page should be responsive. The main colors are: #CCFF89, #151515, and #E4E4E4.”

Generated posts view

AI in Code Analysis and Understanding

AI can analyze existing code and help understand it, which is particularly useful in large, complex projects or code written by someone else.

Example: Generating a summary of a function's behavior

Let’s assume we have a function for processing user data, the workings of which we don’t understand at first glance. AI can analyze the code and generate a readable explanation:

function processUserData(users) {
  return users
    .filter(user => user.isActive) // Checks the `isActive` value for each user and keeps only the objects where `isActive` is true
    .map(user => ({ 
      id: user.id, // Retrieves the `id` value from each user object
      name: `${user.firstName} ${user.lastName}`, // Creates a new string by combining `firstName` and `lastName`
      email: user.email.toLowerCase(), // Converts the email address to lowercase
    }));
}

In this case, AI not only summarizes the code's functionality but also breaks down individual operations into easier-to-understand segments.

AI in Frontend Automation – Translations and Error Detection

Every frontend developer knows that programming isn’t just about creatively building interfaces—it also involves many repetitive, tedious tasks. One of these is implementing translations for multilingual applications (i18n). Adding translations for each key in JSON files and then verifying them can be time-consuming and error-prone.

However, AI can significantly speed up this process. Using ChatGPT, DeepSeek, or Claude allows for automatic generation of translations for the user interface, as well as detecting linguistic and stylistic errors.

Example:

We have a translation file in JSON format:

{
  "welcome_message": "Welcome to our application!",
  "logout_button": "Log out",
  "error_message": "Something went wrong. Please try again later."
}

AI can automatically generate its Polish version:

{
  "welcome_message": "Witaj w naszej aplikacji!",
  "logout_button": "Wyloguj się",
  "error_message": "Coś poszło nie tak. Spróbuj ponownie później."
}

Moreover, AI can detect spelling errors or inconsistencies in translations. For example, if one part of the application uses "Log out" and another says "Exit," AI can suggest unifying the terminology.

This type of automation not only saves time but also minimizes the risk of human errors. And this is just one example – AI also assists in generating documentation, writing tests, and optimizing performance, which we will discuss in upcoming articles.

Summary

Artificial intelligence is transforming the way frontend developers work daily. From generating components and refactoring code to detecting errors, automating testing, and documentation—AI significantly accelerates and streamlines the development process. Without these tools, we would lose a lot of valuable time, which we certainly want to avoid.

In the next parts of this series, we will cover topics such as:

Stay tuned to keep up with the latest insights!