A contract wallet is a type of digital wallet that interacts with smart contracts on a blockchain. Smart contracts are self-executing contracts with the terms of the agreement directly written into code. A contract wallet facilitates the execution and management of these contracts, enabling users to engage in transactions and other automated processes without the need for intermediaries.These wallets are designed to hold both cryptocurrencies and the code for smart contracts. Users can create, deploy, and manage contracts directly from the wallet interface. This functionality allows for a more seamless experience in conducting various activities, such as token swaps, decentralized finance (DeFi) operations, and other programmable transactions.In essence, contract wallets expand the capabilities of standard digital wallets, making it easier for users to interact with advanced blockchain features while maintaining control over their assets and transactions.