What are Decentralized Applications (dApps)?

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Cryptocurrency

What are Decentralized Applications (dApps)? logo

What if the technology in your home worked with you to make money? In other words, imagine that there will come a day when all of your things will offer themselves for rent while you are not using them. Your car, which is stationary for about half a day, sends a signal to interested parties that it is free and available for rent, while you are in the office or your solar panels sell the stored energy to someone else, while you do not need it. that energy.

This all sounds very lucrative and utopian, doesn't it? Right now it is, but that does not necessarily mean it cannot be reality. After all, the era in which applications talk to each other and make decisions on your behalf has already begun.

There is an ever-increasing shift in our daily interactions with software and hardware. Our technology is becoming more and more autonomous. How do we ensure that they act in the best interest of their users and not their own? How do we distribute our trust in these apps? Thanks to the blockchain, we don't have to worry about that. With the distributed nature of blockchain, trust in our applications is transferred and distributed to everyone on the same network. I trust you will secure the network because you trust me the same. Bitcoin, Satoshi Nakamoto's invention, enabled decentralization of trust for the first time. We no longer rely on a central authority to make things happen as they should. Thanks to the blockchain, we can program applications that work on our behalf.

Decentralized Applications (dApps) are these autonomous applications that will shape that world.

dApps (Decentralized Applications) are actually pieces of software that run autonomously on the blockchain. They are not much different from general applications running on the Internet today and differ only in their ability to act autonomously. dApps can do everything traditional apps can and they can automate that process to fully meet the needs of users. With the advancement in blockchain technology, it is also becoming increasingly possible to innovate applications that work for us. A dApp looks the same as any other web-based application: the dApp performs the same functions according to the same predefined logic. A new feature is the connection of a public-private key infrastructure (public-private key), allowing the dApp to contain its own wallet. This means that smart agreements (smart contracts) can be built into the application, given a number of conditions, and then let them function completely independently. When that's done, the application can pay, receive payments, execute contracts, and fulfill obligations.

What platform can you build a dApp on?

At the moment EOS remains the most active platform for dApp in terms of daily users, but Ethereum and also Cardano are working hard on it. Thanks to its flexibility, Ethereum is lucrative for developers eager to experiment just how far they can go. Finally, Steem is far ahead of its competitors in average dApp usage. Steem is a blockchain based social network that leverages the dedication and connection of the users to help them use the network efficiently. Ethereum Since the beginning of its development, Ethereum has come with the promise of taking blockchain-powered decentralized applications to the next level. Although Ethereum has several competitors, it remains a very relevant platform for dApps.

EOS

EOS, which claims to be a blockchain with no transaction fees, is very popular for dApps development. This is achieved through the EOS ownership model, which users own and have the right to use resources commensurate with their stake, rather than having to pay for every transaction. So if you own N tokens from EOS you are essentially entitled to N * k trades. At the moment, the main applications built on EOS are based on gaming or gambling, but the network promises more functionality in the coming years.

Cardano

Cardano is similar to Ethereum (mainly because developer Charles Hoskinson used to work for Ethereum). Cardano's approach is unique in the space in that it prides itself on scientific philosophy and peer-reviewed academic research. While not many applications have been developed on the platform, Cardano is about to make a name for itself in the dApp community.

TRON

Justin Sun, one of the most controversial figures in the crypto industry, has pledged to make Tron a blockchain platform based on smart contracts and to ease the transition from traditional to distributed applications. In theory, Tron could process 80x more transactions per second than the Ethereum blockchain, which makes it very attractive. However, this is currently not the case.