After studying and understanding a huge stuff about Blockchain, digital currencies, bitcoin, cryptocurrencies and more, it’s fair enough that you would have come across the word DApp. DApp is an acronym for Decentralized Applications.
These are the new breed of applications that are spreading like a fire in the internet. These types of applications are not owned by anyone, can’t be shut down and cannot have downtime. We all know these types of applications are not owned by anyone, can’t be shut down, and cannot have downtime. These are also defined as internet application and runs on P2P (Peer-to-peer) network and Blockchain.
Do you know what decentralized app means for? A system is said to be decentralized if it is not being controlled by any central authority. This means that once someone put any information or add any record on a DAPP, it can never be deleted! Though the content may be edited by the entity who uploaded it.
These are something different from the traditional centralized internet applications which are based on centralized server and acts as the main controlling authority to the whole application where in the case of DApps these are not engaged with any particular entity and are on Peer-to-Peer network protocol.
Everyone would have known the technology behind this ie Blockchain and everyone is surprised with its amazing potential. So there is no question of making a doubt for these decentralized apps.
Let’s look at the difference between Centralized, Decentralised and distributed
Centralized – The flow of information and control of individual from the single center
Decentralized – Computation is done at each node, no node is instruction the other
Distributed – Computation is done by multiple nodes as opposed to a single node
Getting more clear about the concept of decentralization DApps makes a way to connect users with each other completely discarding the middlemen. The open – sources of this makes the users in charge for the changes and the codebase available to all. The data and protocols in these are cryptographically stores in public blockchain.
Some of the popular dApp solutions are – Ethereum, MaidSafe, KYC-Chain etc.
There some other few reasons you need to excited for this –
- This could help to make the internet more secure, reliable, and private. The data shared across many computers are encrypted that makes it less hackable and less exploitable.
- Dapps (ideally) have no single point of failure – they can’t be taken down by a hacker, a company, or a government.
- These are very much flexible and transparent than traditional apps.
Moving Further, let’s look at the Classification of DApps
The only way to classify this is whether these applications have their own blockchain or they rely on other Dapp’s blockchain. Based on this these are classified into 3 types which follow –
Type I Dapps – These types of Dapps have their own blockchain are Dapp’s which have their own blockchain. Examples include Bitcoins, Litecoins and other altcoins.
Type II Dapps – These types use the blockchain of Type I DApps. This type of Dapps are protocol and have tokens that are necessary for their functions.
Type III Dapps – They use the protocol of type II Dapps. They have protocols and tokens as a necessity for their functioning.
How Dapps are operated?
The 2 ways through which Dapps are basically operated are – Proof of Work and Proof of stake. In the case of proof of work, the decisions about the changes to be made on the Dapp are calculated based on the amount of work each individual stakeholder contribute to the operation of DApps.Proof of Work is commonly known as mining. But in case of Proof of Stake, decision and consensus on the app depend on how much a stakeholder owns over the application.
Why DApps? Advantages:-
As discussed so long we have certain advantages that cover up some loopholes in the centralized app system, and these are stated below-
Inherent Security – Since these rely completely on blockchain which stores the data, DApps are itself able to guard against any intervention by other trying to alter the data or steal money or manipulate content.
Easy integration with cryptocurrencies– The technologies these depend upon was introduced by bitcoin. Using cryptocurrencies can stimulate activity on different platforms and accepts transactions and are verified through mining.
Resistant to corporate interference – Traditional development depends on developers or any authority to facilitate the transaction and for decisions about the structure but Dapps have the potential to operate entirely of their own. These are free from outside influence.
Dapps have targeted the global market, and every innovation brings a transformation in the digital economy. And in all these innovation blockchains and Dapps are one of those which are invested upon various business organizations. These are accepted globally and has huge and new opportunities that will definitely create revenue. These are moving ahead of the research stage having the best ideas for disrupting the current system.