How to build a DApp on Ethereum
The Ethereum DApps ecosystem is thriving, and the potential for decentralized applications (DApps) is enormous. Who doesn't want to participate?
Developers can now build applications for any purpose – from financial and industrial use cases to social media sites and of course games – with their own native coins or non-fungible tokens (NFTs) on secure blockchain networks.
Let's take a look at some questions developers may have and how to get started on an Ethereum DApp project.
What are DApps?
DApps are blockchain-based versions of the apps and software we use every day. They are built on top of smart contracts such as Ethereum, powered by modern contract technology and enabled by smart contracts.
The main advantage of DApps is that they can run on decentralized blockchains controlled by technology or community governance mechanisms rather than single corporate entities. With blockchain networks, there is greater network security as DApp data does not reside in one place. DApps use cryptocurrencies, which make assigning and transferring value, or making payments, much easier and less expensive than fiat currency transactions.
Can you build DApps on Ethereum without experience?
For those who are already software or web developers, Ethereum DApp development can come with an understanding of blockchain technology, smart contracts, the Solidity programming language, and cryptocurrencies.
There are also platforms in development that allow developers to build apps with blockchain, programming, and smart contract knowledge, but having some development experience is helpful.
Which blockchain is better for creating a DApp?
Ethereum's longevity in the crypto space and its popularity often make it a favorite for Dapp building. The network is still evolving; It has a tried and tested and established ecosystem for DApp development. However, one may consider it important to benchmark the transaction or Ethereum gas fees against other networks before starting any development initiative.
Other smart contract blockchain networks Solana, Polkadot, BNB Smart Chain, EOS, Tron and Cardano; Each has strengths and weaknesses compared to Ethereum.
The chosen network can have implications for DApp development in terms of functionality, scalability, security, and cost, as well as the community of DApp users that can be reached at launch.
To decide which blockchain is best for creating a DApp, developers can start by analyzing the DApp's requirements and goals, as well as looking at the development experience of an existing team or a hired team.
How many DApps run on Ethereum?
Over 3,000 DApps are running on Ethereum, with more in development. Dapradar is a popular site on Ethereum and competing networks, as well as to find out how many users each DApp has and how many transactions have been made.
Why Build a DApp on Ethereum?
There are several smart contract blockchains to consider for those looking to build a DApp, but Ethereum is arguably the most popular and has the highest level of decentralized security.
Ethereum is the first smart contract blockchain, and has a large developer community and open source code repositories available for new developers. It is also a common choice for business developers looking to develop their own enterprise-level blockchain initiatives.
What are examples of Ethereum DApps?
There are hundreds of popular Ethereum DApps and many more that are building their user bases. Here are some established and well-used examples:
Uniswap
One of the most widely used Ethereum DApps is the decentralized exchange (DEX) Uniswap, which has now seen more than $1 trillion in transactions on the platform.
OpenSea
The OpenSea platform is one of the largest NFT marketplaces with over 2 million NFT collections and 80 million individual NFTs for sale.
MetaMask
Both a crypto wallet and a gateway or browser for accessing blockchain-based applications, MetaMask is known as a user-friendly crypto tool.
Axie Infinity
This NFT-based game is a great example of an in-game virtual economy in action, and is one of the most popular DApp games.
How to build an Ethereum DApp
Interested developers can start Ethereum DApp development by keeping in mind what a DApp needs and its purpose. Then the next step is to start researching Ethereum DApp development tools and processes.
DApp and modern contract development can be complex, and certainly different from traditional web or software development. A sensible place to start your in-depth research is the Ethereum Developer Resources, which is a “guide for Ethereum developers”. As a decentralized application tutorial, it is one of the most comprehensive.
Five elements to consider when building an Ethereum DApp
An Ethereum DApp development project, like any business or project, needs to be planned in detail. To gauge how to build a DApp on Ethereum, here are a few more components to research first:
1. Development environment, tools and smart contracts
Once a development team is complete, a DApp needs a development environment, usually a blockchain-based testnet, where Ethereum's DApp architecture can be built and tested using the development tools it implements. Smart contracts should also be professionally designed and written.
2. Safety
Blockchain networks may be more secure for financial transactions than traditional systems, but the security of an Ethereum DApp cannot be overstepped. Cryptographic security is complex, and should be well understood or managed by experts, keeping in mind that blockchain networks and cryptocurrencies are frequently targeted by hackers and fraudsters.
3. Front-end development and user experience
Front-end DApp development usually occurs after DApp architecture and smart contract construction. A front-end web or Web3 application may use more conventional development tools, but the user experience must also be designed in detail to ensure project success.
4. Ethereum DApp testing and debugging
Developers who plan to build on top of Ethereum use tried and tested blockchain technology as well as open source code repositories to help new projects. However, developers should test and debug new DApp builds, smart contracts, and UI/UX, because there's nothing worse than launching software that doesn't work!
5. Deploy DApp
The Ethereum DAP deployment will be the last part of the project and probably the most exciting. After testing and debugging is complete, a DApp is taken from the testnet and distributed to the Ethereum mainnet, where customers can use it. At this stage, project sales and marketing begin in earnest.
How much does it cost to build a DApp on Ethereum?
Experienced developers who build their own DApps using the available Ethereum development tools can achieve lower build costs. For developers or entrepreneurs looking to hire a DApp developer or Ethereum DApp development team, estimates can range from $15,000 and up for a simple DApp to $30,000 and up for a more complex DApp or hiring a more experienced developer.
Challenges related to DApp development on the Ethereum blockchain
Building a DApp on Ethereum or any other blockchain is not without challenges. Here are some to look out for:
Market saturation
There are more than 3,000 DApps built on Ethereum, so any new DApp development must at least compete within the Ethereum community.
Scalability, speed, security, interoperability and decentralization
Each modern contract blockchain is still working to adequately deliver on blockchain's promises and is a natural challenge to leverage the potential of projects for mainstream use and collaboration with other projects and technologies to deliver security and decentralization.
Trading or gas fees and crypto price volatility
Every transaction in a DApp generates transaction fees – in the case of Ethereum, gas fees – that are usually passed on to DApp users. Crypto coins or tokens associated with DApps experience the price volatility felt by the broader market.
Existence of professional/smart contract complexity
Blockchain development is still a very new profession, so there is a shortage of truly experienced professionals, and smart contracts still have technological limitations for developers to navigate.
Lack of sector regulation
Cryptocurrencies and tokens, including those used in DApps, are not yet comprehensively regulated, so there is a lot of uncertainty when building these digital currencies.
User experience
DApp functionality outside of the crypto community can be difficult for users to connect with conventional applications, and many consumers are still unsure about using cryptocurrencies.
