Last Updated on July 8, 2019
Almost forty years have passed since Microsoft and Apple, in 1980 approximately, brought to light the first software fully designed for the masses could use them. Of course, much earlier there was already software that was used for research purposes for us to use it at home.
The software today has evolved to impressive levels, reaching the point of integrating to the life of the human being in unimaginable ways and becoming almost indispensable for us today.
The software has taken great relevance in everything we do, precisely because it facilitates the accomplishment of many tasks and not by chance is one of the industries that move more money annually on the planet.
What are decentralized applications (dApps)?
It is more likely that you have read this term in some part of the rare Blockchain world, and although it seems a bit complicated, it is actually one of the simplest matters to understand that we will find in this whole geek universe which constitutes the chain of blocks.
An application, in short, is a piece of software that has a single purpose: Solve a problem. For example, a walking app helps you to know the steps you took, the calories burned and the distance traveled in order to help you better control your exercise routine.
It is very clear that right now there are applications that may have more applications within them, which increases the complexity and definition of what they are, however, for our goal is already quite clear what is an App, right?.
You will wonder then, how special does the word decentralized add to the definition of application?. Believe it or not, this means one of the most disruptive advances on the internet today.
A decentralized application, also called Dapp or dApp, is an application or piece of software with a graphical interface which is executed and managed by multiple users in a decentralized network. That is, it does not depend on a central authority or system that regulates and controls its operation. Not being controlled by a single entity, the possibility of failures, downtimes or system crashes are significantly reduced.
In addition, it is possible to optimize the use of the necessary energy to make the necessary computations for the execution of the software. Users who contribute to the maintenance and operation of the system by providing computational capacity are benefited with different types of rewards. This scheme exists since the appearance of networks from person to person (P2P) but the cryptocurrency and the blockchain have allowed this idea to be completely exploited.
Blockchain dApp Development Company incorporates blockchain technology, which allows practically any idea to be decentralized in the technological and computer world, the development of these intelligent applications is facilitated. On the other hand, the incorporation of cryptocurrencies provides the financial asset that governs the system and is usually used to reward participants in the decentralized scheme. Yes, the administrators of the dApps usually benefit from payments in the cryptocurrency that supports the project. Thus, they obtain benefits similar to an action of a large company.
How do they work?
The operation of the decentralized application is closely related to the software as such. Each dApp uses a different infrastructure to achieve a specific objective. What they do share is the conceptual scheme. To become a decentralized application, management and administration must be carried out in a decentralized manner. For a software to be considered as a dApp, it must meet the following requirements according to BlockchainHub:
– It must be open source
– The data and registration must be stored cryptographically
– The application must use a cryptographic token and must generate these automatically
In most cases, smart contracts are included in the execution of instructions and the interconnection with the blockchain.
There are many ideas that can be incorporated into a dApp, for example, an absolutely decentralized exchange platform (DEX) such as iDEX or EtherDelta. Thus, the apps are ideal for the development of financial or semi-financial projects. They can also be used for a governance system, such as online voting.
What crypto projects can be identified as dApps?
The clearest example we have for the construction of decentralized applications is Ethereum. The infrastructure behind ETH allows building new apps in a simple and fast way. NEO and EOS also deliver the tools for the construction of decentralized applications. Other cryptocurrencies develop their own blockchain to support their dApp. Let’s see some classic examples:
Augur[REP]: an excellent example of the possibilities of a dApp. Augur is a predictive platform for investment in different markets. Using a powerful decentralized algorithm provides investment signals according to the indicators of trading and predictions of participants.
Factor[FCT]: a system for data recording, absolutely shielded and unalterable. It allows you to create products that secure and share business data.
Golem[GNT]: is a global and decentralized supercomputer that allows access to any person. It is constituted by the computational power of all the computers and equipment connected to its decentralized network.
Storj[STORJ]: is a new generation decentralized network. Its main objective: the storage of content in the cloud.
At this time, most dApps are still in very early stages of development. The rate at which the development of dApp advances is a testament to the momentum of the development of cryptocurrencies and the movement towards decentralization. So we suggest to hire blockchain developer with firm expertise in decentralized apps.