The Top Web3 Applications in 2024 and how they work

Top Web3 Applications

Web3 decentralized applications are new methods for creating apps that run on decentralized networks. They use the power of shared technology and cryptography to design systems that you don’t need permission to access.

The blockchain revolution includes Web3 and decentralized applications.

With this evolving technology, developers can start creating secure, encrypted, and permissionless platforms for online transactions and data storage.

Definition of Web3 and Decentralized Applications

Web3 is the newest version of the World Wide Web that takes advantage of distributed ledger technology and places emphasis on decentralization and data ownership.

While Decentralized applications are software applications built on decentralized blockchain networks and operate unsupervised without the need for a third party.

dApps enable users to exchange value, interact with digital assets, and access services or data in a trustless, secure, and transparent environment.

So, the point of web3’s decentralization is that it reorganizes data that should’ve been owned by a central organization and makes it more open to the public and accessible to everyone on the network.

And to effectively do so, developers were needed to design and create the apps required to make this move a reality. For this reason, Dapps were developed.

Major Advantages of Web3 Decentralized Applications

Decentralization: One of the major advantages of DApps is that they are not owned and hosted on a single server. Rather, they are managed by a distributed network of users. This makes them more secure, as no single point of failure exists so there is no need for an intermediary between users and the platform.
Security: DApps are generally more secure than traditional apps, as they are distributed over a decentralized network and this prevents any third party from gaining access to user information, which can often be compromised in traditional apps.
Immutability: All data stored on a blockchain is immutable, meaning it cannot be changed or tampered with. This provides an extra layer of security to DApps, as even if a malicious hacker attempted to gain access to the system, they would not be able to alter the records stored on it.
Transparency: All transactions on the blockchain are visible to the public, allowing users to verify their transactions in the blink of an eye. This high level of transparency ensures that all transactions made within are legitimate and properly accounted for.

Finally, some DApps, unlike centralized apps, do not require users to provide personal information.

List of the Top Decentralized Web3 Applications

Now let’s explore an overview of the major web3 decentralized applications.

Uniswap
PancakeSwap
Compound
Kwenta
Socios
NBA Top Shot
Siacoin
Storj

I. Uniswap

Uniswap is a decentralized token swap exchange built on the Ethereum blockchain. It enables users to swap tokens directly, without needing to go through a central exchange.

Uniswap automates the process of providing liquidity (i.e. buying and selling assets) in a marketplace, making it easier for digital asset holders to quickly and easily trade them.

Uniswap also facilitates buying and selling digital assets while ensuring consistent prices and secure transactions.

II. PancakeSwap

PancakeSwap is a decentralized finance (DeFi) protocol based on the Binance Smart Chain.

It is less expensive than most exchanges and allows DEX trading of BEP-20 tokens.

In addition, PancakeSwap offers liquidity mining, yield farming, and other DeFi services.

PancakeSwap is the largest liquidity provider for BSC projects and has one of the lowest fees among DeFi protocols.

III. Compound

Compound is a decentralized lending protocol built on the Ethereum blockchain that allows users to borrow and lend digital assets directly from one another and earn interest on the loans.

Compound allows borrowers to access liquidity without giving up ownership of their digital assets.

This basically means how easy it is to convert a cryptocurrency into cash quickly without negatively impacting the currency’s value.

IV. Kwenta

Kwenta is a decentralized trading platform powered by Synthetix. With Kwenta, you can buy or sell a growing number of synthetic assets like stocks, bonds, commodities, and currencies eg. synthetic gold, synthetic silver, synthetic U.S. dollars, synthetic Australian dollars, and synthetic euros. Kwenta is just one of the web3 decentralized apps running on the Synthetix-based protocol.

V. Socios

Socios is a web3 decentralized app that runs on currency known as ($CHZ). It is a fan engagement platform that plans to change how clubs and fans interact.

It allows teams to create their own token and reward their fans for participating in surveys, promotions, and loyalty programs. Fans can use the platform to participate in different activities and earn rewards in the form of tokens which can be exchanged for goods or services.

VI. NBA Top Shot

NBA Top Shot is the official digital collectibles platform of the National Basketball Association in the US. It allows fans to collect, trade, and own officially licensed NBA highlights in the form of digital collectibles, referred to as Moments.

Moments come in a variety of designs, editions, and rarities, which are all tracked on the blockchain. The blockchain verifies the ownership of each moment and allows it to be securely transferred and exchanged.

All Top Shot Moments can be viewed in a digital wallet, and can also be purchased and sold on the secondary market.

VII. SiaCoin

Siacoin is a decentralized storage platform that enables anyone to rent out their excess storage capacity for use by others on the network. SiaCoin is the token for the storage blockchain in which prices are set and payments are made

VIII. Storj

Storj is another web3 decentralized app that focuses on cloud storage. It works by allowing its users to rent out free available storage on their computers for payment in their native currency STORJ.

Difference between Centralized and Decentralized Applications

Centralized applications have a single point of control, such as a server or computer, that is responsible for managing the system. This central server is controlling and manages the whole data.

Examples:

Facebook

Twitter

Netflix

Decentralized applications (dApps) operate on a distributed computing system. There is no central point of control and instead, the users interact with the application through a peer-to-peer network. This means the data shared on all the computers are the same and can be downloaded without any priority.

Web3 decentralized apps are designed to be open source and controlled by all participants of the data, allowing users to transact with one another without the need for a centralized authority.

Examples:

Uniswap

OpenSea

Audius

Wrapping Up

In conclusion, Web3 decentralized applications are the future of the internet and will have a big impact on how people interact with their data, apps, and services.

With the help of blockchain technology, these apps are much more secure and transparent than their traditional counterparts, as well as being more efficient.

You can do your research by checking out some of our reviews on web3 wallets here on Dipprofit.com to see and get updated with the latest information in the market.