On-Chain Modules

Definition ∞ On-chain modules are self-contained, executable code components or smart contracts that reside and operate directly on a blockchain. These modules perform specific functions, such as managing token issuance, executing decentralized exchange logic, or governing protocol parameters. They are transparent, immutable, and verifiable by all network participants. Their presence on the chain ensures trustless execution and adherence to predefined rules.
Context ∞ On-chain modules are fundamental building blocks for decentralized applications and protocol upgrades in the cryptocurrency ecosystem. News reports frequently detail new functionalities or improvements introduced through the deployment of such modules. The relevance to digital assets includes enabling sophisticated financial products and automated governance systems. Future developments involve creating more standardized and composable on-chain modules to accelerate decentralized application development.