The essence of the tariff war is the problem of contract enforcement between "equal entities."

In the absence of independent third-party arbitration and enforcement mechanisms, agreements signed between countries often lack credible enforceability. Therefore, the performance of contracts must rely on a "retaliation" mechanism. This is akin to the way personal contracts were mainly maintained through revenge in ancient times when there was no legal system.

So the question arises: After thousands of years of human civilization, can we still only rely on this almost barbaric "might makes right" model to uphold the execution of international contracts?

In fact, the modern financial system has, to some extent, "tamed" violence. The state apparatus, including the military system, is built upon the financial system. If we can establish a financial trust mechanism independent of state entities, we can provide new constraints for the enforcement of contracts through financial means.

Fortunately, we already have such a system, and it has been initially validated: blockchain.

Imagine a future where countries can pledge reserve assets (such as BTC) on-chain when signing trade agreements. If one party defaults, their pledged assets will be automatically confiscated. Tariff adjustments can also be implemented through smart contracts: if one party raises tariffs, the other party automatically responds in kind, achieving instant reciprocal countermeasures without the need for complicated negotiation processes.

As for "who will adjudicate breaches of contract"? This can be entrusted to on-chain arbitration mechanisms, such as pre-agreed third-party arbitration institutions, temporary arbitration committees, or even AI-driven smart adjudication systems. The key is that the entire system must be independent of any party's political manipulation, truly becoming a reliable public infrastructure.