Decentralized Applications are providing glimpses of what a decentralized future is going to look like
DApps, or decentralized applications, are computer software or programs that are borne out of the blockchain technology. As a matter of principle, Bitcoin is, in fact, the first dApp, the first proof of concept that opened the floodgates for a great number of traditional systems and protocols that can capably be transferred and operate on a blockchain network. While Bitcoin provided the Blockchain’s universal blueprint for cryptocurrencies, Ethereum exposed blockchain’s real potential for the creation of any dApp thinkable by offering its platform to developers. Most dApps today are run on top of the Ethereum platform, which is called smart contracts.
Two blockchain uses can be chosen according to purpose. Private dApps are used by corporates on their own ecosystem, while public dApps are open-sourced and accessible by anyone.
dApps are guided by the principles of blockchain technology. It utilizes the decentralized ledger technology (DLT), and the P2P network wherein providers and users directly interact without any third-party intervention. Therefore, no fees are collected. It is also tamper-resistant, free from censorship, and once transparent transactions are recorded on blocks with cryptographic validation, it becomes immutable.
dApps run on the smart contracts, which are integral parts of the blockchain. Smart contracts is the processor of all information and events entered into the blockchain who in turn manages the activities of all involved. The frontend of a dApp is what we see, such as a photo, video, or audio, through the use of a traditional web application, while the backend contains the logic of smart contracts interacting with the blockchain. The wallet software triggers all these activities with all its cryptographic keys and blockchain address storage. It does away with many centralized applications that use an API and a service provider to generate activity. Think Airbnb, Facebook, Amazon, or Twitter, which have low levels of security being that personal data, user IDs, and passwords are kept in the storage of service providers.
Any blockchain dApp then, for that matter, have similar features, in that it is:
1.Open Sourced. It is autonomous from any controlling entity, and decisions are based on majority consensus, meaning the ledger is distributed to all users and the code base is open to scrutiny.
2. Decentralized. All transactions are recorded on a public blockchain without intermediaries or service providers, in that, it operates on its own even amid attacks.
3. Incentivized. Verifiers and validators are rewarded accordingly with digital tokens.
4. Protocol. A commonly agreed upon algorithm must be in use to show proof of value. Both Bitcoin and Ethereum use Proof of Work (PoW).
Want to a dApp?
If you have great plans of participating in decentralizing our future the dApp way, consider the following:
1. Write down your whitepaper. State the problem you want to be solved by stating the goals and intentions of your dApp. Plan your token distribution. Establish a mechanism to gain consensus. Build a management and development team. It must also include the technical requirements and the challenges that might arise and how they are intended to be solved.
2. Form a community. Discuss how to gain a following, Be flexible with your plans according to the feedback you get.
3. Begin the crowd-sale. Once your dApp project gains traction, target potential investors by creating a crowd-sale website containing all the information they may need. Decide on the date when to receive your token funding.
4. Realize your dream. Start developing your dApp as you welcome interest groups and new developers.
Big data today is the backbone of centralized controlling powers. dApps are meant to break just that. By simply becoming self-sustaining, self-operating, and decentralized, anything from managing identities, payment services, tokenomics, supply chains, asset management, and other life-enriching endeavors, empowerment goes back to the people united behind shared data. The decentralized future looks bright. Indeed.