Distributed Applications

Definition ∞ Distributed applications, commonly known as dApps, are software programs that operate on a decentralized peer-to-peer network rather than a single centralized server. These applications utilize smart contracts on a blockchain to execute logic and store data. Their design aims for censorship resistance, operational transparency, and enhanced user control over data.
Context ∞ The growth of distributed applications is a key indicator of Web3 development, offering alternatives to conventional centralized services in areas like finance, gaming, and social media. News often highlights their potential to reshape digital ownership and user agency, while also discussing scalability limitations and user experience challenges that require ongoing innovation.