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Decentralized Applications
Decentralized Applications
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DApp is the acronym for “Decentralized Applications” and unlike “Centralized Applications” it is an application modality whose operation does not depend on control points or central servers, but rather works in a decentralized network. Therefore, a network in which its users have total control of its operation without the existence of a central agent that supervises and manages the records and actions of the users.

App is the acronym for application or service and they are centralized when there is a central server, owned by a company that controls the actions of users, stores their data and even censors their behavior. Examples of Apps are found in applications such as WhatsApp, YouTube, Meta, Twitter or Instagram, well known by all. In the case of Decentralized finance applications centralized networks, the owner company dominates and controls its operation and monetizes all the activity. Users, therefore, provide content for which they receive much lower economic benefits (commercial model based on advertising and announcements) and always at the mercy of the requirements of centralized power.

This absolute power allows the company behind these services to adopt and alter a certain algorithm and, thereby, benefit or harm the selected users, which calls into question the equal treatment that all users deserve for the sole fact of trusting. on the platform. But the truth is that the motto would be: "take it or leave it". The all-powerful proprietary companies act as authoritarian rulers and the users as obedient subjects.

Thus, DApps arise, compared to this traditional model of Apps, as a revolutionary movement against centralized power. It is nothing new. As pointed out by bit2me Academy (What are DApps?), the first known DApps were seen in file sharing protocols such as BitTorrent or DC++. In both cases, they are peer-to-peer file sharing systems with high resistance to censorship. However, remember that the first DApp using blockchain was Bitcoin itself. This is so, because its structure and operation offer the first successful blockchain DApp in history. Now, the moment of popularization of DApps appears with the presentation of Ethereum, its Solidity language and its ability to execute Smart Contracts,

Therefore, the essential characteristics of a decentralized network would be:

Transparency, being based on blockchain technology.

Democracy, as there is no centralized power but rather a government and management by the members of the community.

Privacy, by allowing greater and direct control of data by users.

Security, being more insurmountable against cyber attacks.

All these characteristics are beginning to be seen as an advantage to create decentralized social networks compared to traditional social networks, since one of the good things or benefits that are preached about decentralized networks is the absence of censorship, in the sense in which It is currently known in reference to the Apps, since, since there is no central server, the users themselves assume responsibility for the content posted and shared on the network.

From the outset, it may seem therefore that a decentralized social network allows users greater self-control because it grants them autonomy without a central authority imposing restrictions, avoiding censorship, protecting the "ownership" of personal data and trying to make the content released by the user community is the result of freedom of expression.

The huge economic benefits of these federated networks would not be for the owning company (which does not exist as in traditional social networks, Facebook, Instagram, etc.), but would be for the community through social tokens, tips and NFTs. Hence their growing importance and the interest they currently arouse.

Among the existing decentralized social networks, Mastodon stands out, for example, which is a social network with an aesthetic and functions similar to those of Twitter using a decentralized federation of servers (free and open code that is published within the reach of everyone in its profile on github). Its importance and social repercussion are increasing, as evidenced by the fact that the European institutions have opened an account in Mastodon and have done so in their own instance in which only community entities themselves can register, EU Voice (news published by Business Insider) .

Similarly, the powerful social network LinkedIn will have its first decentralized competitor: Between. The decentralized network has been launched by the DeSo Foundation, an expert in web3 and blockchain, and will allow workers and professionals of all kinds to communicate and network by publishing content. In addition, the application also works as a Marketplace and as a virtual meeting center. The name Entre comes from the English word, “entrepreneur“ (news posted by be[in]crypto ).

The emergence of this new federated social interaction model (Fediverso) ultimately seeks to put an end to imposed censorship in favor of self-regulated censorship, avoid invasive advertising and monetize users' own content through social tokens and NFTs.

Now, although decentralized social networks have been created and are working, most experts point out that they are in a very embryonic phase and their scalability is questioned for technical reasons. In addition to the technical difficulties for its development, there are also legal limits.

Among the legal issues that most concern is. (a) the absence of controlled censorship, while favoring freedom of expression, can have the opposite effect and generate illegal content; (b) the privacy and control of personal data in balance with security breaches and system failures and (c) the protection of intellectual property.

What are decentralized applications or DApps?

Decentralized applications or DApps (abbreviation for Decentralized Applications) are a kind of utilizations based on decentralized advances, whose goal isn't to rely upon unified servers so that control of information and data is generally in the possession of the client.

The idea has taken extraordinary interest since the coming of blockchain innovation. Most importantly, with the development of smarts contracts in Ethereum, whose potential permitted building such applications. The hypothesis started to become reality when the primary decentralized applications on Ethereum to be planned, as decentralized trades (DEXs). That is, decentralized P2P trade stages. The DApps blast agreed with that of ICOs. DApps permit clients to get to various administrations securely, utilizing the various gadgets they currently possess (laptops, cell phones, and so on).

What are decentralized applications (DApps) and how would they work?

Most likely you are considering what components make the activity of a DApp conceivable. We can offer the least difficult clarification by isolating the DApps into various parts:

In a DApp, the computational power comes from an organization of decentralized hubs that is generally coordinated through a blockchain or other decentralized foundation. While in an Application, the computational power by and large comes from our PC (client-side applications or client-side applications). Or on the other hand from the server (server-side applications or server-side applications), which means high centralization.

Both use programming dialects for their rationale, yet every language is unique, contingent upon the objective where the application is sent. For instance, a DApp on Ethereum involves Robustness for on-chain savvy contracts, however can likewise utilize other general dialects (Python, JavaScript) to make interfaces and other extra capabilities that might be completely concentrated. While a conventional application utilizes dialects of an overall sort. That is, not connected with blockchain, to create this rationale.

Right now, we should take a gander at the Uniswap model and find out a little about how this DApp functions. Uniswap depends on many brilliant agreements on top of Ethereum. A few savvy gets that are the ones that watch over the pools and every one of the tasks of trades and tokenomics of this DEX. This part is completely decentralized and composed altogether in Strength.

Uniswap, the DeFi bank endowed with more than $2.2 billion

Nonetheless, the web, its UI and related administrations are another story. At the point when you interface with their site, you are really associated with a unified server, which depends on libraries and capabilities written in non-blockchain dialects. Like JavaScript, for instance. Furthermore, it has a progression of incorporated administrations that permit it to work as an Internet administration (eg CloudFlare).

So we have two extremely clear layers:

Backend : the layer that alludes to the rationale of the decentralized application and that is by and large completely evolved in savvy contracts.

Frontend : which is the connection point that clients use to interface with the application.

Which leaves us with an unmistakable message: Uniswap as it is right now fabricated is to some extent decentralized. Enough its brought together administrations (web) go down, so by far most of individuals can't get to Uniswap in the standard manner.

They are not decentralized by any stretch of the imagination

The above is a little piece of how a DApp functions. We should envision that the decentralized application has a need to store information. For the most part, in a concentrated application this isn't an issue. Capacity is given locally or on the server. Yet, a decentralized application can utilize decentralized choices like IPFS, Filecoin or Sia, for that reason. While there are still parts that can be incorporated, the majority of the DApp is decentralized as far as possible. For this situation, the named choices are ideally suited for decentralized information capacity.

One more point is correspondence with the decentralized organization that upholds the application. On account of Ethereum, engineers by and large depend on a major name outsider like Infura, which is important for the ConsenSys bunch. In this manner they can lessen costs, access all the force of Infura and accelerate the advancement of their applications. Notwithstanding, this guide leads toward centralization. For that reason choices like Ankr were conceived, which offer practically similar administrations, however in a decentralized organization. The requirement for these administrations is clear: the DApp should discuss the client with the blockchain to play out the tasks. Any other way, the DApp doesn't work.

Security, decentralization and protection

At last, DApps offer us admittance to incredible benefits. Among them, security, decentralization and protection. DApps are particularly secure because of their decentralized activity. This particularly applies to blockchain-based applications, where the utilization of cryptography and the actual idea of the blockchain make them extremely secure.

Then again, the way that the applications are decentralized guarantees that control can be kept under control in the utilization and happiness regarding such applications. At last, the protection presented by this sort of use is predominant. Indeed, protection is the basic component to need to change to a model of decentralized applications.