Decentralized applications (Dapps) are the applications that run on a decentralized network and are supported by blockchain technology. These applications do not depend on any central authority. So, they are more efficient, flexible, and robust than traditional applications.
In general, dapps are created for the purpose of gaming, finance, web browsing, and social media. Dapps combines smart contracts (back-end) and UI (front-end) to give a pleasant experience to users. They store data in an encrypted format. Let us have a look at the features of decentralized applications.
Purpose of Decentralized Applications
The main purpose of dapps is to help users to communicate without the intervention of third parties. When compared to other applications, dapps have zero downtime, so they are resistant to malicious attacks.
Dapps have quite a similar user interface to today’s mobile applications. Therefore, the users won’t find it difficult to understand and can easily perform transactions.
Significant Characteristics of Decentralized Applications
Dapps are easy to deploy in a blockchain environment. There are thousands of dApps available in various blockchains. Out of them, Ethereum has the most number of decentralized applications.
The significant characteristics of decentralized applications are as follows.
- Immutability of data
Decentralized applications are immutable in nature as the data added to the blockchain can never be changed. So, we can get permanent storage of data that cannot be altered or erased by any participant.
- Enhanced transparency
When we insert data into the blockchain, it will be stored in a distributed network with multiple participants concurrently. Also, the network participants can only access the information present in the blockchain. Hence, transparency of the network is assured as no one can falsify any data already present in the ledger.
- Improved security
With the help of blockchain, dApps have concrete security to transaction data as well as other vital information. Every record in the blockchain will be verified by the participants. Therefore, the chances of fraud or hacking are nearly impossible. Also, the data in the blockchain cannot be changed once stored.
As the name suggests, decentralized applications (dApps) have no central authority to look over. No one can block any users from deploying applications, submitting transactions, or accessing the data from the blockchain. Each transaction will be verified by the nodes of the blockchain network and thus proving the decentralized nature of dApps.
- Financial efficiency
Blockchain allows enterprises as well as individuals to execute transactions in a peer-to-peer manner. At the same time, no intermediaries can oversee or take part in the transaction. Thus, it allows the users to acquire a much more efficient financial system than banks and financial institutions.
Decentralized applications allow users to acquire bounty and incentives for active participation in the network. Usually, the nodes will be awarded crypto tokens or crypto coins as loyalty tokens. Such tokens are called native tokens and they can be used only for in-app activities.
Dapps facilitate the smaller teams to quickly launch an application with minimal funding. It not only helps them to bootstrap an excellent dapp for the customers but also encourages entrepreneurship. To develop a top-notch dApp for your requirements, you can consult our experts. At Blockchain Firm, we provide advanced dApp development services to create high-level performing and user-friendly decentralized applications.