Ethereum has played an important role in driving wider adoption of blockchain technology, with their Ethereum Virtual Machine (EVM) and smart contracts. It’s a platform that allows developers to create and launch distributed apps (DApps).
What are DApps?
DApps are commonly referred to as decentralized apps or DApps and are quite different from typical apps that you find on the Google Play Store or Apple App Store. Decentralized applications (DApps) are computer programs that run on decentralized peer-to-peer networks.
The Dapp is open-source, blockchain-based, and works on its infrastructure controlled by users. These applications are ideal for business use because they remove third parties, which can be both an advantage & a disadvantage depending on your point of view.
Here are the essential benefits and features of Dapps:
• Open-source. All network participants can view the code and change it through consensus mechanisms.
• Transparency. Given that applications’ operational records are stored on the blockchain, the data can’t be tampered with or manipulated.
• No downtime. One of the most important attributes of a Dapp is that it has no central authority, making it almost impossible to bring down as it will require the wrongdoer to take down thousands of hosting nodes at once.
• No censorship. Considering that there is no authority in the network, anyone can deploy Dapps.
• Data security. Blockchain-enabled cryptographic primitives make applications’ operational records immutable and indisputable.
• Privacy. Blockchain-based applications don’t require users to create accounts or reveal identities as cryptographic keys are used to access the apps.
How to build a DAapp
Regardless of blockchain hype, a decentralized approach to operations will inevitably become a business standard in the future. However, the majority of ongoing Dapp development initiatives are still happening in finance. The initial conditions set by the very nature of this industry are welcoming enough for companies to confidently move towards blockchain-based digital transformation.
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