The development of blockchain technology and smart contracts opens new opportunities for reforming contract law in Indonesia, particularly in realizing transparency and data integrity in electronic contract transactions. This study aims to analyze the optimization of blockchain in fulfilling the valid requirements of an agreement under Article 1320 of the Indonesian Civil Code (KUHPerdata) and to identify regulatory and technical challenges hindering its implementation. This research employs normative legal research (juridical normative) with statutory, conceptual, and case approaches, including an analysis of Jakarta Barat District Court Decision No. 588/Pdt.G/2020 as well as various related regulations such as the ITE Law, the PDP Law, and sectoral policies. The findings show that blockchain can strengthen the requirement of mutual consent through permanent and transparent recording of changes to the agreement, and reinforce the lawful cause requirement by guaranteeing data integrity through cryptographic hashing and distributed validation. However, implementation still faces regulatory challenges in the form of the absence of a specific law explicitly recognizing smart contracts, as well as technical challenges such as limited scalability, the risk of 51% attacks, and low interoperability. This study concludes that optimizing blockchain requires synergy between adaptive regulatory reform and the development of secure, scalable technical infrastructure, as well as improving the capacity of legal-tech human resources.
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