A decentralized application (DApp) is an application that runs on a decentralized network, such as a blockchain, instead of a centralized server. In the context of cryptocurrencies, DApps are often built on top of blockchain platforms like Ethereum, which provide a secure and decentralized way to execute smart contracts and transactions.
DApps are designed to be trustless, meaning that they do not require a central authority or intermediary to operate. Instead, they rely on a network of computers, or nodes, to validate transactions and execute code. This makes them more secure and resistant to censorship and hacking than centralized applications.
Some examples of DApps in the cryptocurrency space include decentralized exchanges (DEXs), prediction markets, and decentralized finance (DeFi) platforms. These applications enable users to trade cryptocurrencies, make bets on future events, and access financial services without the need for intermediaries like banks or brokers.
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