Wed Jul 31 2019

Advantage of decentralized apps

Technology1023 views

Advantage of decentralized apps

In today's world, Blockchain technology serves as the perfect example of a rising technology being used to boost local commerce and peer-to-peer interactions, allowing a number of small-scale industries to flourish and regain a foothold in the community. And as more industries jump on the blockchain bandwagon, exciting new ways to utilize the blockchain for local economic growth are developing. One of the latest blockchain trends is the creation of decentralized applications, also known as “dapps.” Unlike today’s common apps, such as Uber or Gmail, dapps don’t require “middlemen” to function. So, let's see which type of benefits you will get when you use dapps -

Advantages of decentralized applications

Open source

Dapps are typically open source and don’t have a central point or server that can be vulnerable to system failures or security breaches.

No middle man

Dapps are revolutionary in that they connect users and providers - customers and businesses - directly, bringing back a true sense of peer-to-peer transactions, trust and transparency.

Never shuts down

The most consumer-to-consumer services today rely on centralized servers and IT departments for back-end services, a data center failure can cause the marketplace to go down entirely. Decentralized networks are resistant to data center failures since it operates on the blockchain. Typical data centers are engineered for high reliability, but all too often human errors occur, resulting in loss of data and money for their customers. With a decentralized network, however, network services will be available as long as some nodes are running. Its services can be used by anyone anytime and one can easily trust them.

Secure and Trustful

Decentralized networks run on the blockchain. This means that transactions are transparent and can be verified by members of the network. Users can have confidence in the permanence of their records, along with a strong sense of data security. Blockchain transactions are added cryptographically onto the ledger and are irreversible. Data in the decentralized registry cannot be lost and cyber attacked.

Enhanced transparency

Since Dapps run on the blockchain, transactions that take place in it are easily verifiable. Everyone can access the record and check the status of current and previous transactions. This transparency also allows for precise verification of all the executed amendments to the code.


Dapps provide a greater number of synergistic possibilities than apps. This is because of the reason that anyone can interact with and use an App once it is in the blockchain and many dApps at some level will be compatible with each other. This feature differs it from general apps and makes them more preferable than regular apps.

Computing power is scaling

We can't keep making more powerful processors. That's why scaling a server requires spinning up a ton of distributed machines. Software developers have to embrace the growing importance of decentralized applications.

Dapps can store the value

A DApp has the potential to store value inside it. DApps remove the 3rd intermediary layer and ultimately providing greater value to the end user which is one of its key advantages. The ability to store and move value inside self-managed applications can also lead to some fascinating economic models.

Censorship resistant

The decentralized app is censorship resistance which differs it from general apps. With the money in the bank account, the third party has control over when and where one can send it. For e.g: with bitcoin one can send money to any address without the fear of any government interference. Since a DApp cannot be taken down from the network once pushed inside it, the only way to remove the App is to shut down the network.

Anti-collision supported

Decentralisation of apps can act as a barrier to a collision, which traditionally has allowed centralized corporations and governments to exploit others. dApps act as collision resistant by making it more difficult for a subgroup of a community to act for its own benefit at everyone else’s expense which is not possible in centralized systems.


Decentralisation of apps helps in increasing the overall efficiency as compared to the centralized apps. It can be more efficient due to diseconomies of scale or spare capacity considerations. Let’s just generally take an example of Ola and Uber. Instead of building new infrastructure for renting out the cars everything is done without any such thing by decentralization.

Community involvement

A decentralized ecosystem essentially encourages community involvement. Since everyone can contribute and take part in the governance of a Dapp, it’s in the community’s best interest to actively participate and produce. More importantly, they are usually incentivized for their activities.

The future of online marketplaces

Online marketplaces, in particular, are beginning to find great value in harnessing the blockchain through dapps. Big marketplaces across the world are paying close attention to blockchain technology and decentralized applications. For example, 5miles, a leading consumer-to-consumer marketplace in the U.S., plans to empower the decentralization of the online marketplace through CyberMiles, a foundational blockchain being developed by 5miles’ blockchain technology lab, 5xlab.

To know more about decentralized applications (dapps), click on our another article.

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