UNDERSTANDING DAPPS
The blockchain symbolizes a shift in power from the centers to the edges of network.
We have come across many applications of blockchains till now. And dapps is one of the most important application of blockchain technology. In this blog we will see -
1. What are dapps?
2. Benefits of dapps over traditional/centralized applications.
3. Types of decentralized applications.
4. Some use cases of decentralized applications.
WHAT ARE DAPPS?
We have come across many web applications like twitter, facebook, Instagram, etc. that runs on a computer system which is owned and operated by an organization, giving it full authority over the app and its workings. There may be multiple users of these applications but these are controlled by a single organization. But Dapps are basically those applications which are built on distributed or decentralized platforms with trust distributed among its users. Dapps runs on decentralized peer to peer means there is no single entity controlling it. So, basically dapps are combination of smart contracts and front end.
BENEFITS OF DECENTRALIZED APPLICATIONS OVER CENTRALIZED APPLICATIONS -
1. DECENTRALIZED -
Since dapps are decentralized they are not controlled by a single central authority and are independent whereas traditional applications are centralized and controlled by central authority.
2. TRUSTABLE -
Since dapps runs on multiple nodes and provides its users with control and ownership of their assets they are more trustable than centralized applications.
3. SECURE -
In terms of security, dapps are more secure than centralized apps, since these apps are decentralized and runs on multiple nodes, records stored are unalterable.Once information is added to the blockchain, it’s stored permanently, which means dApps are more resistant to modifications or restrictions.
4. NO DOWNTIME -
There is little or no downtime in case of dapps as these runs on multiple nodes whereas centralized application has single centralized server to run so they often suffers from server problem.
5. HIGH SPEED -
Since there is no downtime in decentralized applications and they run on multiple nodes instead of centralized server their speed is significantly higher than centralized applications.
6. RESISTANCE TO CENSORSHIP -
We have heard many cases of censorship in case of centralized applications like twitter but in case of decentralized applications no single entity on the network can block users from submitting transactions, deploying dapps, or reading data from the blockchain.
TYPES OF DECENTRALIZED APPLICATIONS -
1. TYPE 1 -
This category will have Dapps that will provide users with methods of managing their finances and money. One example of this category is the Bitcoin which provides users with a distributed and decentralized system of monetization.
2. TYPE 2 -
These type of apps mixes money with information from outside the blockchain. An example in this category is the insurance applications that allows money returns for flights in case of delay in arrival.
3. TYPE 3 -
This type of applications have both decentralized and distributed features and these go beyond the financial sector.For example- Applications for online voting or decentralized governance.
SOME USE CASES OF DECENTRALIZED APPLICATIONS -
Given their advantages dapps have variety of use cases and dapps can be created for different purposes ranging from playing games to exchanging tokens. Most popular blockchain platforms for developing dapps are ethereum, EOS, NEO and TRON. There are currently thousands of dapps there offering vcariety of functions.
The most popular categories of dapps are -
1. GAMING -
Dapps gain much recognition through gaming. Some famous gaming dapps are my crypto heroes, EOS knights, dark forest, IOI game, etc.
2. DECENTRALIZED EXCHANGES -
This is one of the main use case of decentralized applications. Some famous decentralized exchanges are uniswap, aave, etc.
3. MARKETPLACES -
These days NFT’s have become so popular and for selling NFT’s we require marketplaces. Decentralized marketplaces serves this purpose. Some popular decentralized marketplaces are open sea, ocean market, etc.
4. GAMBLING -
Gambling is one of the areas of decentralized applications to have seen the most development since Ethereum made the dApp concept possible. Some famous gambling dapps are etheroll, xether, casinofair, etc.
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Thats all about dapps from my side. I hope this blog helped you to understand dapps. If you like this blog share this with your family and friends.
