What are the key differences between decentralized applications and traditional apps?

What are the key differences between decentralized applications and traditional apps?

Decentralized applications (dApps) operate on a blockchain or peer-to-peer network, while traditional apps run on centralized servers. This means dApps offer greater transparency and security, but may have slower performance.

Can you give me examples of each type?

Sure! An example of a decentralized app is Ethereum-based applications like Uniswap. A traditional app example is Facebook, which relies on centralized servers.

What are the advantages of using dApps?

DApps provide enhanced security, censorship resistance, and user control over data. They also promote transparency since transactions are recorded on the blockchain.

Are there any downsides to using decentralized applications?

Yes, dApps can face challenges like scalability issues, slower transaction speeds, and a steeper learning curve for users unfamiliar with blockchain technology.