Decentralized v.s. Centralized Apps

Decentralized v.s. Centralized Apps

Difference between Decentralized and Centralized Applications 

Since the development of blockchain technology and the invention of Bitcoin, the world has been able to surpass pre-existing boundaries into a financially decentralized age.

Cryptocurrency was the first practical use of blockchain technology and decentralized applications (dApps) have taken over since then.

What are Decentralized Apps (dApps)?

Decentralized Applications (dApps) are applications that run on the blockchain network. The idea was designed to be used in numerous ways. Though they appear to be similar to applications found on mobile devices or computers, the back-end technology is incomprehensibly different.

dApps function in a decentralized manner, differing from general applications that work in a centralized way with mediators and administrators controlling them.

In general, the blockchain network was created to aid the functions of transaction validation, but with the use of smart contracts, dApps are able to function on their own, in accordance with the input coding and orders, making the ongoing transactions traceable and transparent.

Difference from Centralized Apps

Applications like Facebook and Twitter are reliant on servers or databases settled in one certain location that draw in information through their internet connection. This allows users to explore these applications’ home pages’ information.

DApps, on the other hand, differ in terms of how the information is recorded and processed on the blockchain network with the decentralized help of millions of nodes on their devices throughout the world.

Though they appear similar, the two application variants do not communicate in the same fashion. Nodes on dApps converse through the blockchain network, which acts as a bridge between users and data.


Decentralized Apps

    - Stability - by keeping information on the blockchain system, individual nodes that face emergency situations or crises would not affect the network’s functioning capabilities as there are millions more at work. This is different from centralized platforms, wherein crashes or crises can render the application unusable.

    - Unable to hide data - transparency in dApps derive from the absence of a single authority, which can disclose information.

    - Trustworthiness - users on the network are able to examine and verify dApps’ functions, making them not only transparent but also trustworthy.

Centralized Apps

    - Trustworthiness - networks that function under the administration of organizations and firms are often appointed with admins to provide users security, in terms of having an advisor or authoritative figure to rely on if issues arise.

    - Widespread use - centralized applications’ popularity derives from its widespread use, somewhat like sticking to a current trend, wherein people around you are also employing its use, making your own utilization of such applications less stressful.

    - Familiarity - with popularity, comes widespread use and familiarity. Many uphold the rule that for an application to be recognized as good, it must first be widely accepted and used at a large scale.


Decentralized Apps

    - Updating issues - updating or tweaking information can be vigorous as nodes in the network would have to help validate information, making every matter required to have been observed and verified before implementation.

    - Fast processing - by needing the entire network to reach consensus over information addition, users may experience brief moments of delays, especially in comparison to systems wherein information can be added or updated instantly.

Centralized Apps

    - Not transparent - ongoings within centralized apps can be ambiguous and not transparent at all at times as some portions of private information are required to be provided to administrators before usage. For this reason, dApps can be more suitable in this day and age as the required information for usage is not personal or private and the operations within the blockchain system can be examined at all times.

    - Difficult to inspect - with firms, organizations and institutions monitoring centralized apps, the examination of their operations can be highly difficult, especially when it concerns private user information, such as passwords or personal input data. - Widespread effects of crashes - if crashes were to occur, centralized apps would not be able to handle them and its users would be affected directly. This is increasingly damaging when a highly popular platform faces systematic crashes as people that depend on it could face some serious consequences.


DApps are indeed an interesting area in the field of blockchain technology. Though externally they seem not too different from its original counterpart, they outpace others immensely with their decentralized peer-to-peer and blockchain technology usage, rendering systematic attacks nearly impossible, making dApps a vitally important step into the future.


Investopedia, Netsolutions, Wiredelta, Nerds Chalk


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