The Future of DApp Development: Trends and Predictions

Market Overview of the DApps

Before moving ahead let’s have a look at current market statistics on DApps. 

According to a report, the DApp market is anticipated to be worth 10.52 billion USD in 2023. By 2030, the market is expected to reach 368.25 billion USD, growing at a CAGR of 56.1% between 2023 and 2030.

On top of that if we consider the 2nd quarter of the year 2023

• The number of daily Unique Active Wallets (dUAW) climbed 7.97% as compared to the first quarter of the year 2023.
• With 37% of the market share, the gaming sector continues to be the most dominant sector.

So considering the stats it will not be wrong to say that DApps development holds a silver lining.

What is DApp Development?

Decentralized applications, or DApps, are computer programs or digital apps that run on a peer-to-peer network of computers or on a blockchain. These applications can’t be governed by a single authority because they are inherently decentralized.

They are distinct because they support P2P, despite having graphic elements that are comparable to those of other software applications. DApps are created for a variety of reasons, including gaming, social networking, and banking, among others. Ethereum has emerged as the platform of choice for creating DApps.

Types of DApps

Decentralized applications can be divided into three groups based on the blockchain model they use:

Type 1:

These DApps, like Bitcoin, have their own blockchain. This includes additional alternative cryptocurrencies with their own blockchain.

Type 2:

These DApps take advantage of the blockchain for Type 1 apps and are protocols with tokens required for operation. The best illustration of a Type 2 application is the Omni Protocol. In order to enable a “peerless, trustless, and effortless” exchange of assets or value between participants without the use of middlemen, Omni is a distributed trading platform that was created on top of the Bitcoin blockchain.

Type 3:

Type 3 DApps employ the Type 2 application’s protocol in order to work properly. An illustration of a Type 3 DApp is the SAFE Network (Secure Access for Everyone).

It is an autonomous data network that makes it possible to develop websites and services that are impervious to censorship. It makes use of the Omni Protocol to issue SafeCoins, which are subsequently utilized to make its practical components possible.

How DApps Work?

Decentralized applications run and are stored on a blockchain platform, which is frequently powered by Ethereum. Now access to the application requires cryptographic tokens that aid in the app’s validation.

Coming to the code, the same front-end code is used by DApps to render a web page, much like regular apps. However, because DApps operates on a decentralized P2P network, their backend code is unique. This liberates these apps from the control of a single authority.

Moreover, a typical app is supported by servers and a centralized database, whereas DApps are supported by smart contracts that are kept on a blockchain.

The only component of a smart contract is the backend. Additionally, it frequently makes up a small fraction of the total DApp. Because of this, creating a DApp on a smart contract system demands a merging of numerous smart contracts along with the use of third-party technologies for the front end.

Apart from this, standard web browsers do not support all decentralized applications. Some only function on web portals that have the unique code needed to launch that program.

Bonus Read–A Comprehensive Guide For Blockchain App Development

5 Key Benefits of DApps

Needless to say, if you are the owner of a software product, you must have seen website outages, security breaches, and other errors and problems. Well, many of the issues can be resolved using DApps. DApps offer numerous advantages like

1Rapid Adoption:

A decentralized application gives users the flexibility to utilize it without having to rely on any third parties, which has the effect of accelerating app adoption. It means as soon as the smart contract is implemented on the blockchain, the entire network will be able to serve users that want to communicate with the contracts.

2Fewer Pauses:

These applications do not rely on a single server, and are more adaptable than centralized ones. Therefore, businesses can guarantee little network disruption and downtime, and a single node operating in a decentralized network can continue to function even if the network’s performance is degraded.

3Cost Savings:

As opposed to centralized solutions, which need expensive server installation costs and specialized staff to run and maintain the servers, the expense of the network is eliminated by this decentralized application.

4No Censorship:

Due to the dispersed nature of these apps, it is very difficult for a user to arbitrarily delete or modify their content. Many software companies are thinking about using these apps to create social media platforms where ideas may be freely shared without being constrained by centralized rules.

5Highly Autonomous:

When compared to conventional apps, these applications are thought to be more secure. Since these applications lack a central structure where threats can originate, they are immune to security breaches. Moreover, as the developer cannot control the network’s flow, the decentralized application appears to be more secure.

Top 5 DApp Development Trends

The trends for DApps keep evolving at a rapid pace. So it is crucial to keep up with these developments and apply them to enhance the current application. Additionally, these trends help you gain a competitive edge over your rivals. Let’s investigate what’s new in 2023 in DApp development.

Trend 1:Increasing the Number of DApps Based on Stablecoins

In 2023, demand for stablecoins will increase further. There will be numerous cutting-edge price-stability features built into these currencies. The power of DApp development will be tapped by developers, who will release additional apps centered around them. Stablecoins, which provide price stability, address investors’ long-standing worry about volatility.

Trend 2: Increasing the Number of Decentralized Exchanges

The popularity of decentralized exchanges will grow among crypto enthusiasts. Future DApps will offer DEX integration, a key component of the decentralized financial system. A well-known DEX platform called Uniswap was built on Ethereum, and another platform called PancakeSwap was built on Binance Smart Chain (BSC).

Trend 3:Increased Focus on Privacy

You may anticipate a stronger emphasis on privacy in the development of DeFi DApps because privacy is a crucial concern in the blockchain sector. More DeFi DApps that prioritize user privacy and anonymity are likely to be released in 2023. This can entail utilizing privacy-focused technology like secure multi-party computation and zero-knowledge proofs.

Trend 4:More Metaverse-Based DApps

Although it is currently unclear how Metaverse will be launched, we anticipate several advancements in this area. The network will be used to buy and sell goods and services, according to analysts. In addition, when building the solutions, the segment would introduce Blockchain. In the future, DApps that substantially rely on Metaverse will be developed on a large scale.

Trend 5:High-Tech Gaming

Gamers in the Blockchain area have the advantage. It has enabled programmers to create tools that enhance the functionality of these games.

Even games where you can earn money by playing will be successful in the future. By 2030, it is anticipated that the eSports market would grow by 6.75 billion USD. Players now have the chance to make money playing games; thanks to play-to-earn options. In the future, there will even be a large number of DApp game initiatives.

Also Read: The Ultimate Beginner’s Guide to DApp Development

Top 6 DApp Use Cases

Needless to say, the DApp market is still developing and will eventually contribute to a larger global economy. Its popularity has so increased to the point that it has started establishing its roots in almost all major sectors. Here are a variety of use cases that are responsible for beginning DApps in the limelight.

Needless to say, the DApp market is still developing and will eventually contribute to a larger global economy. Its popularity has so increased to the point that it has started establishing its roots in almost all major sectors. Here are a variety of use cases that are responsible for beginning DApps in the limelight.

1Supply Chain

In recent years, DApp-powered supply chain management has gained popularity. The distributed ledger has the potential to simplify complicated supply chain operations and also increase trust, transparency, and company operation efficiency. The blockchain is the only thing that makes this possible.

Needless to say, whether it’s manufacturers, suppliers, distributors, and retailers, all face challenges in the supply chain industry. Each of them must retain their own records or data, which causes errors and delays in updating the real-time data. But DApp can speed up the procedure by giving users a safe and open means to store and share data. Each supply chain participant in a DApp has access to their own ledger, which is interconnected and enables real-time data tracking and sharing.

2Real Estate

Real estate DApp will enhance asset management and enable ownership of real estate without a mountain of paperwork. Due to the records being stored in the blockchain, it is impossible to hack the property records. Only if the prior owner sold the property to another user and the blockchain updated its record of the new owner, it can lead to a change in the ownership of the property.

Real estate is a large industry, but by implementing DApp technology, the sector will become more transparent and efficient, and fraud will no longer exist.

3Gaming

DApp for Gaming will open up a brand-new source of income for the neighborhood. This will create safer locations for gamers to store the in-game items they have earned and that too without any concern for tampering.

The user can breed their cat and sell their cat to the other user in play-to-earn games like crypto cats and receive cryptocurrency or NFT, which also has real-world value. The investment platform should be more secure when it comes to transactions involving actual money. DApp will handle security, and Web3 and Metaverse games will help draw in an additional audience.

4Healthcare

Healthcare can benefit greatly from DApps since they allow for the more secure storage of patient medical records. Since these documents are maintained on a blockchain, they cannot be altered or hacked. The patient’s prior medical history and current medications can be documented using the DApp, which allows the doctor to assess the patient’s severe condition.

All public health records are connected and exchanged across various locations of the network in a decentralized society in order for the health agency to determine whether or not the specific sickness that has spread among the public is a pandemic.

5Finance

The Finance Sector can be redefined with the aid of DApps because, in conventional finance, the bank acts as a middleman when we store our cash. The bank used to lend money and charge exorbitant interest to the person who borrowed it while taking a small cut from the person who kept their money in the bank.

In terms of DApp for Finance, the individual lending the money will receive 100% of the interest money without having to pay any intermediaries, giving them greater control over the funds and loans.

6Social Media

The adoption of social media DApps will provide users with more control. Because there is no centralized authority to censor or remove your posts from the internet, this promotes freedom of speech. Another advantage of decentralized social media is that it is difficult to misuse user data.

Moreover, platform users can also make more money than users of traditional social media since, unlike typical social media platforms like Twitter, where all of the platform’s revenue from advertisements goes, the speaker receives nothing from the platform. However, in DApps, the influencer receives a portion of the platform’s advertisement revenue; this is how social media becomes more powerful when it is decentralized.

How Blocktunix Can Help You With DApp Development?

There is no doubt that DApps are growing in popularity since they are safe and economical. Users may safely store, transfer, and trade value using distributed ledger technology without the use of a middleman or other third party.

DApps are becoming even more appealing to use; thanks to emerging technologies like smart contracts, decentralized exchanges, digital identification, and data management. In the upcoming years, it’s likely that DApp popularity will increase even further as technology develops.

Blocktunix has extensive experience creating blockchain-based projects, DApps, cryptocurrency exchanges, and much more. Then why not partner with us to get full advantage of DApps?For more details, schedule a free consultation with our expert.