Yes, Decentralized Apps (dApps) Are The Future Way to Invest in Cryptocurrencies
No, really, decentralized apps are taking the app world by storm. Sure, you make be thinking that it is a tad too early to make such a claim since only about one out of every 10 Americans own any cryptocurrency, the product that really got the technology (blockchain) that dApps are based upon rolling, but I stand by my claim since folks want apps that are shut-down proof, don’t have downtime (NEVER!), and are not owned by anyone. Heck, even dApp developers that create decentralized apps do not own it nor can they shut it down.
Just How is a dApp Different than a Regular App
Besides lacking ownership and not being able to be shut down or ever temporarily closed for maintenance, a dApp is different than other apps because they are decentralized, built by dApp developers using open source code, have a built-in cryptocurrency incentive that makes them self fueling along with a embedded mechanism that generates digital coins. All of these factors mean that dApps cost to use and are able to store value, while many traditional apps do not.
How Do dApp Developers Ensure Their dApp Can Generate a Profit?
dApp developers must make sure that the open platform that they build offers a service that users (investor) will find worthwhile. The dApp developers do this by either going the proof-of-work route or the proof-of-stake one. The first method is what Bitcoin, the Big Boy on the Crypto Block, uses as it encourages people from all around the globe to mine blocks of its coin from the limited supply waiting to be found.
The second method, proof of stake, is used by people once they have some cryptocurrency to stake. This simply means that you do not use your cryptocurrency for a period of time to allow it to grow in value on its own while also receiving a fixed amount in that same digital currency. The benefits to staking is that you do not need to mine and also that when you reinvest your rewards you are taking advantage of the power of compound interest.
White Paper + ICOs = Crowd Funding Riches
Once an dApp developer has a solid proof-of-work and/or a proof-of-work scheme in place, he can start attracting investors to his platform through the publishing of a white paper and the subsequent Initial Coin Offering (ICO). Many dApp developers have made amazing crowd fund profits through their white papers and ICOs.
If you are a cryptocurrency investor, you already know all about the fees you pay each time you sell, buy, or move your digital currencies. The great thing about being a dApp developer is that you can earn a very healthy income by charging transaction fees to those using your open platform.
Going Old School with Traditional Profit-Generating Plans
Do you know that at its height of success in 2013, Candy Crush generated more than $1.5 billion? Not bad for a game that is free to play, eh? Well, guess what… plenty of dApp developers are generating mountains of profit by following the same profit plans that traditional apps have been using for more than a decade. Yep, there are dApp developers doing very well charging membership fees, application fees, other fees, while also selling ad space on their dApps. And, if you are a dApp developer you ought to do the same.