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dApp (Decentralized Application)

An application that runs on a blockchain network using smart contracts instead of centralized servers.

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Explained Simply

Decentralized applications (dApps) are software built on blockchain networks. Unlike traditional apps hosted on company servers, dApps use smart contracts for their backend logic. This means they are censorship-resistant, transparent, and operate without a single point of failure. Categories include DeFi (Uniswap, Aave), gaming (Axie Infinity), social (Lens Protocol), and NFT marketplaces (OpenSea). Users interact with dApps through crypto wallets like MetaMask. The trade-off is often slower performance and higher costs compared to centralized alternatives.

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This content is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult a qualified professional for advice specific to your situation.