Nowadays, blockchain technology is revolutionizing the way individuals and companies communicate with each other. Blockchain has the ability to simplify the way that you use to trade goods, transfer assets, and in which way you manage your personal data. Besides, it enables every individual to safeguard the methods that they prefer to deliver healthcare, consume entertainment, and improve the safety level of the supply chain management system.
As blockchain technology’s popularity is skyrocketing, similarly decentralized applications have become the talk of the town. According to Statista, Global spending on blockchain solutions was $6.6 billion in 2021 and will rise to $19 billion by 2024. These apps have become the interest of developers worldwide right now. Generally speaking, blockchain-based dApps are known as the new generation of applications that utilize the “blockchain” technology architecture. But, it’s a matter of sorrow; still, so many individuals have doubts & illusions regarding these apps, such as how these apps work. Why is dApps so significant? What is the future of these applications? And what are the uses of these applications?
Don’t panic!
You’ll have an all-in-one answer to all of your questions only after reading this blog carefully. You’ll explore the future of blockchain-based dApps and also their use cases across a wide range of industries, namely-such as, finance, healthcare, entertainment, and more. Acquiring knowledge about the future & use cases of dApps is an ideal way to grow as well as to explore in which ways you can invest in cryptocurrency assets, for example, Bitcoin.
So, let’s proceed with reading this article and have a look at the Future of Blockchain dApp and its Use Cases in 2023……………..
DApps: What Are They?
In general terms, decentralized applications are not closed systems that are possible to describe merely in a single sentence. These apps are one of the newest categories of open-source applications based on blockchain technology. It’s not possible for anybody to control these applications and manipulate the information related to these applications.
What Are the Key Qualities & Features of DApps?
It’s not a cup of tea to define the process of creating these applications in a single definition, but you need not worry at all. Here is an extract that will surely provide you with the criteria to assist you in meeting the requirements of applications:-
● Decentralized applications use a unified consensus known as the centralized mechanism to process all the transactions required.
● These apps don’t require a traditional clearinghouse to make a payment.
● DApps use peer-to-peer communication.
● These applications enable communication of the direct nodes.
● Blockchain-based dApps don’t require the majority’s consent to be processed.
● The source code of dApps is publicly accessible as well as open source.
● These apps enable users to view the activities of the network and also cast votes on any sort of recommended changes.
● Dapps issue cryptographic tokens to the users to enable them to access them.
● Decentralized applications are independent and don’t require any single server, such as-central authority reliance.
So, if you want to have highly-qualitative applications, it’s advisable to work with a well-recognized blockchain app development company.
Use Cases of dApps In Multiple Industries:-
Healthcare Industry
Healthcare providers are using blockchain technology-based apps to-
● Make the information authentic.
● Enable the users to access faster than the traditional healthcare management system.
● Share the information in a better way.
● Increasing transparency
● Facilitate the pharmaceutical supply chain.
● Promote better communication between systems.
● Allow patients, researchers, and the healthcare community to access a single shared data source to gain accurate and detailed patient health data in a pre-determined period.
● Offer a practical solution for vaccine verification systems.
Banking Sector
According to technology analysis firm CB Insights, Dapps has changed the way individuals raise and transfer money. As a consequence, banking institutions have started preferring blockchain technology-based applications to manage payments, and loans, administer smart contracts and trade crypto assets. In simple words, such positive changes brought by dApps in the banking sector lead to the high demand for a recognized dApp Development Company for every industry.
Presently, banking institutions are utilizing dApps-
● To write and automate the letter of guarantee
● To eliminate the possibilities for fraud in the system
● To create a digital, secure, and reliable document for all the parties.
For instance, Bank of America is getting into digital assets. JP Morgan Chase has established the decentralized platform Onyx to offer a digital coin, access to new payment methods, and the ability to trade other digital assets.
In Agriculture
The Agricultural Marketing Service, a division of the U.S. The Department of Agriculture is visualizing blockchain technology that has become necessary to the food supply chain. According to the United States Department of Agriculture,” digital ledger technology will play an essential role in supply chain traceability.” Besides, they also said that DLT-based applications would offer not only secure and verifiable but also transparent and instant tracking of items in the most complex supply chains.
Nowadays, a plethora of agriculture-related companies is giving preference to using blockchain so that they can trace and protect their food supply. For example, Walmart, an American multinational retail corporation, entered into a blockchain partnership with Dole, Kroger, Nestlé, IBM, and others for the sake of improving food traceability. Another illustration is “Bumble Bee Foods,” which employed blockchain to trace yellowfin tuna from ocean to consumer. Similarly, Nestlé uses blockchain technology-based apps to track milk sources, with the goal of providing “full supply chain transparency” in its products.
In Retail Industry
Retailers are using Dapps to keep the working system of the supply chain smooth, maintain consumer trust, and ensure products reach stores. According to IBM, blockchain-based applications increase consumer confidence, ensure products are ethically sourced, verify products’ authenticity and safety, and generate more revenue opportunities.
“Home Depot” is applying blockchain technology-based applications to its shipping and receiving procedures to assist in reducing vendor disputes. In addition, Target, an American retail corporation, started using blockchain technology a few years ago to track its supply chain and list job openings.”
“LVMH,” a world leader in high-quality products, and a part of a blockchain consortium called Aura, allows consumers to track product history and proof of authenticity. Its brands include Louis Vuitton, Parfums Christian Dior, Tag Heuer, and Tiffany & Co. Aura is based on the Ethereum blockchain and is open to any luxury brand.
In the Supply Chain Management System
Companies utilize dApps not merely to track products through the supply chain but also to trace components through processing and production. It’s beneficial to prevent foodborne ailments in the food supply, support sustainability, and fix gaps & errors in the chain.
According to the Blockchain Council, Ford, an American multinational automobile manufacturer, uses blockchain to trace its cobalt supply. In addition to this, UPS and FedEx use these applications to package tracking. De Beers Diamond Consortium, a producer of diamonds, uses blockchain-technology-based apps to verify that its diamond supply doesn’t contain Blood diamonds( diamonds mined in a war zone).
Media and Entertainment
According to IBM, “media and entertainment companies will acquire crucial benefits from blockchain-based apps.” These apps enable industries related to media & entertainment to provide scale, speed, and transparency in the delivery and consumption of content. Besides, they also reduce exemplifications of fraud and copyright infringement. Apart from this, blockchain-based applications can facilitate micropayments for customers who are not willing to subscribe to a content provider or news service.
Future of Blockchain dApp
Below are a few key trends that you can expect concerning the unforeseen future of blockchain technology-based applications…..
1. Launch of More Stablecoins: A Crucial Trend of the Future of Dapps
You can expect to see more stablecoins( popular as digital currencies) in the coming time. What’s more, you might expect to see that these coins will utilize the most innovative price-stability mechanisms. Furthermore, developers who create blockchain-based decentralized applications can expect to develop more apps around stablecoins.
Stablecoins solve problems related to the popular cryptocurrencies, namely Bitcoin and Ether, that have witnessed a high degree of price volatility in the cryptocurrency market. It’s so because Stablecoins are blockchain technology-based cryptocurrencies and are able to maintain price stability. Methods and pegging mechanisms used by Stablecoins to
to maintain price stability are-
● Pegging against fiat currencies such as USD and Euro;
● Pegging against precious metals like gold to maintain price stability;
● Using other cryptocurrencies in the form of collaterals to maintain price stability.
2. Jump to More Decentralized Exchanges
Decentralized exchanges (DEXs) will become more significant in the coming time. Developers of decentralized applications can expect to create more DEXs as cryptocurrencies are not interoperable and offer all the benefits promised. The underlying technology is different for the apps and comes up with a decentralized cryptocurrency ecosystem. Decentralized applications, alas decentralized crypto exchanges, allow users to trade cryptocurrencies on them and central authority to manage the websites related to them.
Administrators had the desire to utilize this new technology to establish an open-source ecosystem of platforms, applications, and networks without SPOF, known as a “single point of failure.” The enthusiasts of Blockchain-cryptocurrency wanted to overlook the scenario where a large-scale company like Google controls the Internet. But, unluckily, Centralized crypto exchanges went against everything that blockchain promised. Therefore, blockchain/crypto developers created DEXs, decentralized applications (dApps). Often, blockchain developers create a DEX with the use of the Ethereum decentralized network and code Ethereum smart contracts for this.
DEXs have become significant in the larger decentralized finance (DeFi) space. Uniswap is a well-known DEX built on Ethereum with a high transaction volume. PancakeSwap is another DEX, built on the Binance Smart Chain (BSC) that is less congested and has lesser transaction fees than Uniswap since the Ethereum network.
3. Decentralized Crypto Lending: A Major Trend in the D Apps Space
While exploring the landscape of DApps, observers customarily highlight how significant the crypto lending platforms are. These apps might enable blockchain developers to build DApps that make a mark in the finance sector and prominent decentralized crypto lending platforms.
Limitations of conventional banks and financial services institutions are a few factors that limit the ability of borrowers to acquire loans. Paperwork-intensive lending procedures compound the complexities that don’t let the borrowers get access to credit. But, grateful to Blockchain/crypto developers who created decentralized crypto lending platforms to make loans available to such borrowers. These platforms bring lenders and borrowers from distinct parts of the globe together. The transparency and efficiency of blockchain-based apps benefit not only lenders but also borrowers.
Decentralized crypto lending platforms have become one of the most important constituents in the decentralized finance (DeFi) ecosystem. Many of these DApps are built on the Ethereum blockchain network. An example is Aave, an open-source DeFi lending platform.
4. Launch of More NFT-Based Blockchain Games
NFT-based blockchain games aren’t completely new; however, decentralized applications in this category might become highly prominent in the coming time.
NFTs (non-fungible tokens) are cryptographic tokens that are unique and indivisible. It’s possible for the users to trade a fraction of a Bitcoin, which is exactly the same as another. An NFT represents a single and unique entity that is ideal for tokenizing artworks and collectibles. These characteristics make NFTs suitable for online games with digital assets. Now, with the advancement in the cryptocurrency market, it has become more convenient to create an NFT to represent one unique character or asset in your online game.
In 2017, CryptoKitties was one of the most viral Ethereum-based NFT game dApps. But, in the coming time, it’s certain that decentralized applications will enable game developers to come up with much more interesting NFT game DApps.Axie Infinity is a noteworthy example of the well-prominent NFT-based game DApp.
5. Roll-Out of Metaverse-Oriented Blockchain-Based Apps
There is no valid proof regarding the Metaverse; how will it shape up in a few coming years? One thing that you can do is predict a lot of developments around it. It’s damn sure that the world of blockchain technology and decentralized applications will see ascending development around the Metaverse.
It’s the belief of many experts that the users of the virtual world will utilize cryptocurrencies for trading commodities. It’ll require the metaverse infrastructure to unite blockchain. Besides, it’s possible for you to expect the storage of an abundance of Metaverse-related information on the blockchain.
In the coming time, it’s certain that the virtual world will involve financial transactions, and you’ll have to confront the question of protecting the personal details of the users. It highlights the significance of security features of not only blockchain but also data encryption and private keys.
Blockchain-based applications will enable the dApp developers to develop the applications with an entire focus on the Metaverse. It could involve the development of non-fungible tokens and decentralized autonomous organizations. One of the renowned illustrations of the metaverse-themed game is “AlienWorlds.” In simple words, “Alienworlds” is a blockchain-based dApp that is interlinked with both BSC and Ethereum.
Popular Distributed Applications for the Year 2023
● Axie Infinity: A non-fungible token-based online video game
● Compound: A DeFi protocol
● MakerDAO: Best known for the DAI stablecoin
● NBA Top Shot: A marketplace to sell digital basketball collectibles
● OpenSea: An Ethereum-based decentralized exchange protocol
● PancakeSwap: A blockchain-based decentralized exchange
● Splinterlands: A digital card game to earn money
● Step App: A popular Move to Earn app
● Uniswap: A decentralized exchange (DEX)
● Yearn Finance: A DeFi protocol to maximize users’ returns
Blockchain-Based Dapps the Future of Decentralization: Why?
Here are a few key reasons listed below that clarify why dApps are an elite leader in the contest to become the future of decentralization………..
● Decentralized applications are completely dependable.
● These apps don’t control a public network.
● Blockchain-based dApps are highly transparent.
● These apps enable everyone to view transactions.
● Dapps’s development enables users to view any record or status anytime.
● These decentralized applications enhance trust in the system.
● Compared to traditional apps, these apps are more secure and responsive.
● Increase the responsiveness, speed, and security of the central server.
● An optimal solution for users with very costly project
● Enable the traders to intercommunicate without the requirement of any third party.
● Dapps safeguard users from server failures and power outages.
● Make the operations of the system uninterrupted.
● It allows nobody to hack your personal information.
Advantages of Using DApps:-
● Fault-Tolerant applications
● Controls and prevents Internet censorship violations
● Increase Trust in the System Again
To bring things to a close,
Ultimately, with the emergence of dApps, individuals need not utilize expensive services offered by mobile service providers. Blockchain-based applications rule the existing things in the world and transform their entire scenario. Because of the beauty and strength of the decentralization of the applications, such apps will definitely become the future of every individual’s life.