How to Develop a Blockchain Application and Why You Should Do It
What associations does the word blockchain evoke in you?
We’d wager that it makes you think of Bitcoin, cryptocurrency exchange, ICOs, and other crypto-related stuff. However, there is much more to this technology. Blockchain is used in plenty of industries besides crypto, from gambling to healthcare to real estate to music. Its market size is currently estimated at more than ten billion dollars and is expected to exceed $1.59 trillion (!) by 2030.
Considering such rapidly-growing popularity, it’s about time we presented a guide to blockchain app development. As a company that cares about your results, we at AnyforSoft want to ensure that you leverage blockchain capabilities to the full and create a valuable product that will generate steady income for your business.
That’s why we’ve put together this article and addressed the following questions:
What are blockchain applications and how do they work?
What benefits does blockchain technology have?
What are its use cases?
How to develop a blockchain application from scratch?
Hopefully, you will find this information helpful.
Blockchain Applications: what they are, how they work
Before describing how to build a blockchain app, we first need to understand what blockchain applications are. And to understand what blockchain technology applications are, we should first learn how the technology works.
Blockchain basics
In layman’s terms, a blockchain is a network that stores received data chronologically in blocks. When a financial transaction or another data exchange takes place in the blockchain network, it is shared among all its participants (peers), and everyone receives a record of it. These blocks of data are stored in a chain, and once a new piece of data appears in there, it cannot be changed. This makes blockchain highly secure.
There are two types of blockchain networks you can build:
Permissionless blockchain. A permissionless blockchain system is open to all its peers—they have access to the code, can verify data exchanges, and interact with each other while remaining anonymous. For example, Bitcoin is based on a permissionless blockchain network.
Permissioned blockchain. Permissioned blockchain, in contrast, allows only authorized users, with each being assigned a specific role and permissions. It is based on a set of rules that regulate data exchange between network participants. This type of blockchain system is a great solution for organizations that want to securely manage various operations.
What are blockchain apps
Given the above, we can conclude that blockchain applications (also known as decentralized applications or DApps) are solutions based on blockchain networks. Unlike traditional applications, decentralized apps don’t use servers as an intermediary between users and transferred data. Their backend is run in a peer-to-peer network, with each participant’s device serving as a part of the server. That’s why blockchain application development is considerably different from the creation of traditional solutions.
