We live in an era with great advances in communication; This is precisely due to the fact that the internet has allowed individuals from all over the world to connect without having to move them from where they are. Email, online games and social networks are just some of the most common ways people communicate. These have transcended with the passage of time, and have moved to our mobile devices. You are welcome at our Dapps review, so let’s figure out what we are talking about!
Facebook, Twitter, Instagram, Dropbox, Whatsapp … all applications that can be installed on our smartphones today. In general, we refer to them as Apps, alluding to the same term: Applications. These allow performing different tasks in our devices, which range from leisure to work and academic. However, these have a characteristic to which we have been accustomed for a long time. Its objective, structure and functioning depend solely on a central entity, and any change that it decides to execute in it, must be complied with by the members. In short, we can say that they are centralized.
But now let’s get a little on the topic of interest, which are cryptocurrencies. If you asking yourself: “Is DApps a scam? The answer is straightforward and the answer is NO. Let us explain why. One of the most representative features of them is that their structure and functioning do not depend on a single individual or central entity, as happened with the previous ones, and this is thanks to their vertebral column formed by the blockchain or chain of blocks. The blockchain technology has been hailed as a breakthrough of our time, although very few know that this is actually older and dates from the 90’s. Simply, the arrival of Bitcoin and other cryptocurrencies during this decade has made it known and has aroused interest in it. The reason? As we said: decentralization. It is a chain of blocks that functions as an accounting book in which all transactions made through a consensus are recorded.
The blockchain and the digital currencies have given rise to many new ideas to perfect the economic operations nowadays. A special case is represented by the DApps, which make up a type of application that is giving a lot to talk about. In the following article we explain what they are, how it works, its classification and its relationship with the tokens.
What are the DApps?
Let’s begin with some portion of etymology. If you take e-mail – you’ll know that it stands for electronic mail. The same situation appears in case of DApps etymology: it stands for Decentralized Applications. By knowing that, we can say that operations that processed by these applications don’t relate with a central system, but only with the actual member of its community. What else to say? Dapps are considered open source decentralized apps that work in accordance with a certain protocol that is based on members’ interest. By knowing that, we can say that DApp should meet certain requirements that are closely related.
DApps encompasses a protocol that allows us to prove that the entire verification process is actually done, and this is what we know as a mechanism or consensus test. It involves the work of the miners, the generation of cryptocurrencies or tokens that in turn will represent the reward for the said verification.
Encryption by blockchain
All the information related to the operation of the application must be stored under a cryptographic mechanism such as the blockchain, which, as we already know, is characterized by democracy, transparency and security.
And, of course, all the characteristics explained already lead to the main one, which is decentralization, to which they owe their name. The Dapps work autonomously; there is no entity that manages them. In this way, the users themselves are responsible for its operation through the aforementioned consensus mechanisms and the open source code under which they are programmed.
How does DApps work?
With everything said so far we have sufficient resources to understand the functioning of the DApps. Its decentralized nature, open source, consensus tests and the registration in the chain of blocks make them an exceptional tool in the middle.
And is that its public source code can be modified from the contributions of each of its users. With this, you can guarantee the progress and improvement of the application. The consensus tests work as an incentive, not only for the improvement of the program as such, but for the reward obtained by the entities involved in a certain operation, resulting in the generation of tokens. Of course, all this is registered under the encryption of the chain of blocks, conferring security and reliability. With this, you have an application that works independently of external.
Wrapping Up. Is DApps legit?
To get the answer to this question, we have to know about ICOs and Tokens, and learn about the management of these concepts in the DApps. Recall that the ICO’s are initial offers of currencies, a way to collect funds for the execution of projects. So, Dapps generate tokens that can be sold in certain ICO in exchange for other digital currencies, such as BTC, ET, LTC, among others. In this way, the money can be raised to develop and promote the activity of the project in question.
To participate, we simply have to enter the ICO of our interest and read all the technical information related to it. This is extremely important, because remember that these projects, even when backed by great personalities, carry a high risk of failure. In this sense, it is very useful to know what type of wallet they request and, even more, the currency in which the tokens will be purchased. Also, follow them on all official networks and keep up with all the relative news.