To the point: They are hot right now and people are making a killing with them
What Are DApps?
The acronym DApp stands for Decentralized Applications. The keyword here is decentralized. What does this mean to the laymen?
Decentralization means cutting out the middleman in cryptocurrency transactions. Namely, decentralization is peer-to-peer or person-to-person or person-to-a-piece-of-computer-code (a script or a Smart Contract). Decentralization is freedom or without human intervention in a cryptocurrency transaction. Decentralization also means that YOU control your money.
To further elaborate, banks are centralized. Meaning that humans are always involved in handling transactions even though computers are involved. The world’s banking systems are not decentralized entities. They (employed by humans) handle and control your money.
What Does The Ethereum Blockchain Have To Do With DApps?
The Ethereum Blockchain was built specifically to handle DApps. Why? Because all DApps are Smart Contracts. What is a Smart Contract? A Smart Contract is a piece of computer code (a script) usually written in a programming language called Solidity.
For example, if it is programmed to give you $100 worth of Ethereum if you hold – for example – 15 tokens you purchased from it for 5 days, it will faithfully execute that instruction and pay you $100 in Ethereum.
Leveraging The Power of DApps and the Ethereum Blockchain
The new fad now is that Solidity programmers and developers are creating Smart Contract “games” that pay you when you play them. They basically work like this:
- The programmer and developer place their Smart Contract game on the Ethereum Blockchain
- To play, you send Ethereum to their Smart Contract
- Based on what you send, the Smart Contract sends you tokens
- If you hold your tokens, you earn dividends paid to you in Ethereum
- If you sell your tokens before they mature, you lose in the game
- Those who hold their tokens benefit from your sell. They earn more dividends
- If someone buys into the contract, those who hold their tokens earn dividends
- You can cash out your dividends at any time. The Smart Contact must comply.
- You can reinvest your dividends to buy more tokens which will yield higher dividends
DApp Games I Play and Benefit From
- Revolution 1. This is basically just getting started and it is cheap to buy into the Smart Contract right now. It is really taking off. Revolution 1 is a “Whale-Proof” Smart Contract game like PoWH3D that has built-in controls that do not allow whales to make or break the contract by pumping and dumping it. LINK TO REVOLUTION 1 HERE.
- Proof of Weak Hands 3D. About a month ago, this was my top performer. But it dropped off sharply I believe because of the attraction of the other games plus the PoWH3D developers have promised what they taunt as a “gaming-changing” FOMO3D system that will generate a lot of money for those who are holding their P3D tokens. The developers appear to have been dragging their feet and promised a release in mid-May. We are past mid-May and FOMO3D has not been released. Some have lost confidence and faith in the developers and sold some of their P3D tokens and lots of Ethereum left the contract. I am only holding my P3D tokens to give the developers benefit of the doubt in case their FOMO3D is released and it will do what the developers say it will. I am not recommending this at the present time. LINK TO PROOF OF WEAK HANDS 3D. TUTORIALS HERE.
NOTE: 7/5/2018 – Revolution 1 has slowed down quite a bit NOT because it wasn’t a good platform, but because investors saw other opportunities within Revolution 1 (GOW, GOD, GOF games) and other platforms). Human nature prompts individuals to migrate where they think they can make the most money. Thus, this is the downside to ant platform that starts off well and then something else comes up and people go there. It is a revolving door that never stops. I am no longer in Revolution 1 as I participated in two of there games and my money is tied up in the contracts. Not blaming anyone. I knew the risks.
Depending on how much you buy into the Smart Contract, determines your dividends in Ethereum. Your investment is not locked up and you can withdraw anytime you wish. (But understand the rules of the game when you sell).
OK, there you have it. There are many games popping up it seems each day. You can see them and how they are ranked at DappRadar.
These DApps, in my opinion, are no substitute for a solid crypto portfolio. In fact, these games can be used to earn Ethereum and you can use that Ethereum to buy or add on to cryptos in your portfolio.
One thing is certain, things are moving at breakneck speed in the world of cryptocurrency and it can be a fulltime job – and some – to keep up. I have learned that it not possible to get ahead of it.
The best you can do is learn a little more each day so that you do not get left behind.
In a later article, I will post links to free online resources that will greatly assist you in staying as current as you can in this space.
As usual: If you invest in anything, invest only what you can afford to lose.