Sep 12, 2020
The word “app”, or application in short, is a term that has been dominating the online arena, both mobile and desktop, for a number of years. Apps are convenient in their use, they provide a lot of useful features and are easy to download. However, another trend has been growing over the last two years in the form of the development of decentralized applications.
Decentralized applications are computer or smartphone-based apps running on distributed computing systems, or blockchains. Mostly and especially on the Ethereum Blockchain, dApps are running on Smart Contracts that execute commands on the basis of given terms with guaranteed immutability.
DApps are just like apps in their functioning, as they provide services ranging from games to financial transactions. However, unlike most regular apps that run on a server and can work without an internet connection, Dapps cannot be disconnected from the internet, as they will simply stop functioning. Most Dapps share the following characteristics – they are open source, they store all of their operation records on the blockchain, and they work on tokens.
The last two years have seen a real explosion of Dapps appearing on the market with the rise in the number of blockchain-based projects developing them for a variety of industries and market sectors. The total number of Dapps on the market has surpassed 2,500 with the number of daily Dapps users exceeding 96,000. The number of transactions generated by Dapps per day is surpassing 4.4 million 11,500 smart contracts being involved. More importantly, Dapps are a profitable business that is generating cash flows of over $21.5 million per day, proving that the popularity and application of Dapps is increasing.
Developing a Dapp is not a very simple task, as the application requires an infrastructure to operate on. There are a number of platforms for developing Dapps currently available on the market.
Tron – a blockchain-based decentralized platform for digital content entertainment system with distributed storage technology and cost-effective sharing of digital content.
Credits – an open-source, fully decentralized blockchain platform with smart contracts aimed at the creation of high-performance applications using the unique PoA (Proof of Agreement) algorithm based on BFT conception.
EOS – an open-source blockchain protocol introduced in May 2017, with fast transaction speed and flexible utility. It has been widely recognized as the first performant blockchain platform for businesses.
Ontology – a high-performance public blockchain and distributed trust collaboration platform that helps users manage their own data and enables blockchain-based multi-dimensional authentication provided by global verifiers.
The growing popularity of Dapps and the rising volumes of investments being made in them are clear evidence that the new segment is proving its value and usefulness to average users and businesses. With the platforms for deploying Dapps already up and running, the coming years may see a replacement of most apps we know today with Dapps.