Polygon has released an open letter to the European Parliament to explain the operation of smart contracts.
BlockBeats reported on April 18th that Polygon drafted and sent an open letter to representatives of the European Parliament, Council, and Commission regarding Article 30 of the EU's Data Law, aiming to clarify the operation of smart contracts.
It is reported that Article 30 of the General Data Protection Regulation (GDPR) of the EU is a law that requires organizations processing personal data to keep records of their processing activities. Article 30 stipulates that an individual provides a smart contract when agreeing to provide data. As all smart contracts share some data, the proposed law is too broad and may not be enforceable in decentralized systems. The open letter clarifies the potential negative consequences of imposing "secure termination or interruption" requirements on such smart contracts in permissionless systems.
Polygon further suggests modifying to narrow the scope of Article 30. The intention behind this is that the article only affects "personal data" of identifiable natural persons or corporate entities that own and operate permission-based smart contract systems under signed customary sharing contract agreements, as this term is used in the Data Law. Through this letter, Polygon hopes to ensure that software developers worldwide, including the EU, can continue to innovate through smart contracts.