The Rise of dApps ; What Decentralized Applications Are and Why They Matter
Decentralized applications ( dApps ) are changing the way we use the internet. Unlike traditional apps that are owned and operated by a single company, dApps run on blockchain technology or peer-to-peer (P2P) networks. This means they are not controlled by one central authority but are managed by users across the network.
What Exactly Are dApps?
A decentralized application works like a normal app, but instead of being stored on a single company’s server, it lives on a distributed network of computers. This structure gives users more control and privacy. dApps are often built using smart contracts, which are self-executing agreements written in code. These contracts handle transactions automatically without needing a middleman.
Many dApps are built on platforms like Ethereum, but other blockchains like Solana, Avalanche, and Polygon are also popular. These applications cover a wide range of uses from digital wallets and games to decentralized finance (DeFi), social media, and identity verification.
Centralized vs. Decentralized Apps
In a centralized app (like Uber or Instagram), a single company owns the data and servers. Users download the app, but every action they take connects back to that company’s system.