Definition ∞ Smart contract hooks are predefined points within a smart contract’s execution where external functions or custom logic can be automatically triggered. These programmable entry points allow developers to extend or modify a contract’s behavior without altering its core code, similar to event listeners in traditional software. They enable greater flexibility and modularity, permitting the integration of additional functionalities or external services. Smart contract hooks are crucial for building adaptable and composable decentralized applications.
Context ∞ The utilization of smart contract hooks is a key aspect of building extensible and interoperable decentralized finance protocols. Discussions often concern the security implications of allowing external logic to interact with core contract functions. Future developments will likely standardize hook interfaces and improve security frameworks to mitigate potential risks.
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