{"id":11397,"date":"2022-02-09T15:04:08","date_gmt":"2022-02-09T15:04:08","guid":{"rendered":"https:\/\/mailinvest.blog\/index.php\/2022\/02\/09\/what-are-decentralized-apps-dapps-and-how-do-they-work\/"},"modified":"2022-02-09T15:04:08","modified_gmt":"2022-02-09T15:04:08","slug":"what-are-decentralized-apps-dapps-and-how-do-they-work","status":"publish","type":"post","link":"https:\/\/mailinvest.blog\/index.php\/2022\/02\/09\/what-are-decentralized-apps-dapps-and-how-do-they-work\/","title":{"rendered":"What Are Decentralized Apps (dApps) and How Do They Work?"},"content":{"rendered":"

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A decentralized app or dApp offers the benefits of centralized cloud-based apps like Google Docs, but without the need for cloud datacenters. Using the same\u00a0blockchain technology\u00a0like cryptocurrencies, ICOs, and NFTs, dApps offer unique security and privacy advantages.<\/p>\n

How Centralized Apps Work<\/h2>\n

Most modern online apps you use every day, like Facebook, Twitter, or Google Docs<\/a>, all have the same basic structure. There\u2019s a \u201cclient\u201d application on your device (or a web app running in your browser) and then there\u2019s a server somewhere.<\/p>\n

The processing work can be done mostly on the local client device or it can be offloaded to the data center, depending on the type of job. For example, voice recognition processing or AI image manipulation can be done remotely.<\/p>\n

In either case, the local client apps sync your information and activities to a central system and everything you do is dependent on and visible to whoever runs that central system. This is one of the reasons we\u2019ve seen the rise of end-to-end encryption<\/a>, as a way to protect your private information from the platform provider.<\/p>\n

How dApps Work<\/h2>\n

With dApps, there are still computers that do the same job a traditional server does, but those computers don\u2019t all belong to the same person or company. Instead, the workload is spread across the computers of users and anyone else who makes their computer systems available.<\/p>\n

In the case of peer-to-peer systems, every person who participates also contributes. With BitTorrent<\/a>, you\u2019re sharing data with other peers just as you are downloading data for your own use. BitTorrent isn\u2019t really thought of as a dApp in the modern sense, although it is literally a decentralized app.<\/p>\n

When the term \u201cdApps\u201d is used it usually refers to applications that rely on the computational power of the blockchain<\/a> to work. Even more specifically, dApps are mostly found on the Ethereum blockchain.<\/p>\n

Ethereum is a cryptocurrency much the same as Bitcoin, but it was designed to do much more. The Ethereum blockchain can execute complex instructions allowing for applications such as Smart Contracts<\/a> and various other dApps that are only limited by the imaginations of developers.<\/p>\n

For something to be a true dApp, it should comply with three principles:<\/p>\n