What are the Most Common Types of dApps?

One thing that no one can deny is just how significant cryptocurrencies and blockchain technologies have become over the last several years. There are those who are still convinced that they are a fad or bubble and that they’ll be irrelevant in a couple of years time. But it’s clear to anyone who’s willing even a cursory amount of research that crypto is something that is only going to become more and more important to everyday life.

There will come a time where conversations about Bitcoin and Flux price are as common as conversations about stocks, bonds, and other traditional financial models. One of the clearest signs of that is just how many different areas of life blockchain technology and cryptocurrency are becoming a part of. If you want to see just how true this is, the best place to look is at dApps.

Decentralised Applications, or dApps, applications built on decentralised networks that utilise smart contracts, programs run on the Ethereum blockchain. They are becoming increasingly popular due, unsurprisingly, to their decentralised nature, which eliminates the need for intermediaries and means that no single person or group can have control. dApps are also executed in a virtual environment so, if a smart contract has a bug it won’t impact the functioning of the blockchain network, ensuring the security of the data.

There are a lot of different types of dApps, but some of the most common ones are:

Finance dApps

These are financial applications that allow users to carry out transactions without the need for intermediaries. Examples include decentralised exchanges, lending platforms, and prediction markets. You can essentially think of these dApps as providing the same functions as traditional banks and lenders. The difference is that they provide far more anonymity to users and don’t require the approval of large corporate entities in order to provide access to lending, borrowing, and trading.

Gaming dApps

These are games that run on decentralised networks and allow players to trade and exchange in-game assets. Games like CryptoKitties and Gods Unchained are some of the most famous examples of gaming dApps, both of which provide users with the ability to trade and earn crypto within the game. Blockchain ecosystems are incredibly fast and cheap and are likely to become more and more popular among game developers as time goes on.

Social Media dApps

These are social media platforms built on the blockchain. that allow users to share content and communicate with each other without the need for intermediaries. Social dApps like Minds and Steemit have plenty of advantages over traditional social media platforms. For one thing, the decentralised nature of these platforms means that censorship is no longer possible, allowing for a far more democratised approach to the production of social media content than with sites like Facebook and Twitter. These platforms often also use token rewards as incentives to stimulate the ecosystem and keep the platforms user based directly engaged.

Supply Chain dApps

These are applications that track and record the movement of goods through the supply chain. The decentralised nature of dApps like Provenance and Ambrosus ensures transparency and accountability, two things that are incredibly important when keeping track of goods in the supply chain..

Identity dApps

These are applications that provide secure and decentralised identity management solutions, allowing users to maintain control over their personal data. Rather than placing your data in the hands of companies or governments, these dApps allow you to maintain far more agency over how your data is used, when, and by whom. DApps like uPort and Civic are creating significant disruptions to the ability of large companies to collect your data.

Energy dApps

These are platforms that allow for the trading and sharing of energy resources, promoting the use of renewable energy and reducing carbon emissions. A platform like WePower works to connect energy producers and suppliers for the greenest possible energy transactions. This is an approach that has become particularly important given the potential for such large amounts of energy usage by blockchain technology.

Healthcare dApps

These are applications that provide secure and decentralised healthcare solutions. For a long time, heavy regulation has made it difficult for the healthcare industry to share data with patients. Platforms like MedRec provide decentralised record management technology that allows patients to easily access and maintain control over their personal healthcare data. Using the blockchain dApps like MedRec manage everything from authentication to data retrieval to data entry and more. The benefits of healthcare dApps go beyond just the patients too. Many of the benefits apply equally to healthcare providers and medical practitioners as well.

In many ways, dApps are something of an unknown simply due to the fact that they are so new. After all, any new technology has the potential for teething problems. However, there’s no denying that dApps are an incredibly promising and exciting technology that had the potential to make some seriously impressive changes to the way that many central parts of life function on a day-to-day level. For as many dApps as there are currently, there’s a good chance that we’re going to see even more as time goes on.

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Adam Regan

Deputy Editor

Features and account management. 3 years media experience. Previously covered features for online and print editions.

Email Adam@MarkMeets.com