NFT Dapps : definition and list

The advent of the Internet in the early 2000s saw the emergence of a number of websites and applications that are still in use today. YouTube, Twitch, Facebook and Twitter are just some of the many different services that are part of the Web 2 heritage.

The future democratization of Web 3 and cryptocurrencies should be correlated with the development of applications specific to this field: decentralized applications (DApps).

In this guide, let’s learn together about the principles and usefulness of these DApps.

Definition of a DApp in crypto

The major difference between the development of these DApps and those already in existence lies in their decentralized (peer-to-peer) operation. The decentralization aspect remains a specific feature of blockchain, to which the main players in the field are committed.

Unlike the applications mentioned in the introduction, Dapps do not require centralized servers. Instead, their code is executed on a decentralized network, which generally takes the form of a blockchain or other distributed ledger technology.

Finally, a Dapp is the combination of a smart contract and a user interface.

Specificities of a DApp in crypto

Dapps have emerged in response to the centralization problem inherent in today’s web. To stand out from the crowd and offer an effective response, several features are essential.

Generally open source, Dapps provide users with the code enabling them to run their applications. These decentralized applications must be run on a distributed, public and transparent registry. This requirement is explained by the need to make transaction histories accessible to all.

Ethereum (ETH) attracts the majority of Dapp developers – far more than Bitcoin – but any protocol supporting smart contracts is capable of hosting the deployment of a Dapp on its network.

Web 2 was mainly characterized by the exploitation of personal data by GAFAM. Web 3, on the other hand, aims to give Internet users back control over their personal data, but above all to create a new way of generating and sharing value.

Indeed, decentralized applications are generally created around an economic model based on obtaining and exchanging a token specific to the Dapp used.

The advantages of a crypto DApp

The development of a decentralized application is a godsend for freedom fighters.

Indeed, the absence of a central authority offers users strong resistance to censorship. This robustness is expressed by the inability to arbitrarily block or deny access to a service or platform.

What’s more, the transparency inherent in blockchain gives users greater confidence, while enabling them to free themselves from third-party control thanks to the automatic execution of smart contracts.

Use cases

Several types of decentralized applications can be developed. Some believe that these new types of services represent a paradigm shift in the way society approaches the exchange of value.

In fact, we’re still in the early stages of possible use cases. Nevertheless, we can already see certain categories emerging.

Decentralized financial applications (DeFi)

The financial sector has made its mark with the revolution brought about by decentralized finance or, more commonly, DeFI. The specificity of these high-volume applications is that they enable the use of services specific to the banking, insurance or trading sectors, and offer them on a decentralized service.

Thanks to applications in the DeFI sector, numerous services such as crypto borrowing, crypto lending, liquidity provision and crownfunding are possible on the blockchain.

Find out more: What is decentralized finance (DeFi)?

Decentralized applications for crypto gaming (Play to Earn & Metaverse)

The video games sector is one of the most competitive and buoyant in the digital world. Inevitably, development studios have taken an interest in the phenomenon, and numerous decentralized applications are currently being developed in this field.

The democratization of NFT is also a major challenge for these future applications. Already, the emergence of play-to-earn games combines the integration of a cryptocurrency specific to their Dapp with the attribution of NFT. This is the case, for example, of StepN, whose technology was the subject of an in-depth analysis here.

Find out more: Play to Earn Guide – Earning crypto by playing games on the blockchain

Decentralized marketplaces

Marketplaces have proliferated in recent months on the various blockchains available. The OpenSea application is a giant in the field of NFT buying and selling, but there are also decentralized cloud computing marketplaces such as iExec and Akash.

There’s also a video transcoding marketplace like Livepeer, which makes it possible to imagine decentralized competitors to YouTube or Twitch, and a GPU computing marketplace like Render Token to facilitate the creation of metaverses without having to host your own datacenter.

Conclusion on dApps

The proliferation of decentralized applications demonstrates the interest shown by developers in crypto-currencies. The principles of decentralization and trust make it possible to create a system in which users are at the heart of projects.

However, not every service needs to become a Dapp. As this is a fast-growing field, there are still many use cases to be developed. The future of these Dapps promises to be exciting.