A decentralized API, or dAPI, is a blockchain-native API service. API, short for application programming interface, is an established mechanism that lets web and mobile apps transfer data and services with each other. Readymade APIs can easily be integrated into applications to save developers time and cost in launching new apps.
dAPIs are blockchain-based APIs used by decentralized applications designed on blockchain technology. dAPIs can allow these dApps’ smart contracts to access off-chain data and services without compromising security.
Unlike conventional APIs that are centralized in nature, dAPIs built on the blockchain enable true decentralization, giving dApps that use all the benefits of scalability and security offered by blockchain technology. The blockchain-based API service can also provide higher levels of transparency than decentralized oracles used for blockchain-based dApps to access off-chain, real-world data.