Web3 is the future of the Internet
Many people see Web3 as nothing more than an online trading system that has traded overlords for overlords. The most prominent example is Jack Dorsey, a blockchain enthusiast who tweeted that web3 would become the new way for entrepreneurs like Google and Facebook to take over as their own. However, Dorsey’s recent decision to name his mobile payments app Block represents his dedication to blockchain technology.
If you read this, you are definitely a user of the current internet version known as Web 2.0, or perhaps you are mature enough to be familiar with Web 1.0. In any case, mastering Web3 lies ahead.
New possibilities related to career, investments, new digital currencies such as Web3 coins, NFTs, new business models, and many other opportunities will become a common case with Web3. But first things first.
Step back in WWW history
To understand the chief peculiarities of Web3, it is worth making a short overview of the previous versions. The World Wide Web is sometimes mistakenly considered the synonym of the Internet, but it is the service that uses the Internet to operate. The history of the Internet started a few years earlier. Tim Berners-Lee invented WWW in 1989.
Web 1.0 was the first generation of WWW. It was used until the early noughties. This early Internet was not more than pages joined by hyperlinks. Web 1.0 was mainly used for receiving information because users could not produce or share their content.
Web 2.0 is our everyday portal to the virtual world. Compared with the previous version, it is a significant technological shift. This version enables users to create and publish content, and it is not just passive watching.
Unlike the first Web version, where online purchasing was unavailable, the second version gave a push to e-commerce for buying, selling, payment making, and order tracking. Big tech giants like Google, Facebook, Amazon, and others serve as centralized intermediaries between internet users and thus holding all the data and money in their hands.
Web3 – a decentralized web of future
The essence of Web3 is in decentralization – shifting all the power from internet giants toward individual users and eliminating deficiencies faced in the previous version.
Web3 was introduced by Gavin Wood, the Ethereum blockchain co-founder, in 2014. But only now have investors and blockchain enthusiasts picked up this idea.
So, what is the idea? Gavin Wood described Web3 as a “decentralized online ecosystem based on blockchain.” In other words, with the help of this decentralized version, all the data is encrypted and stored over multiple computers with no single control point. Moreover, every change or data entry is recorded and copied into the interconnected blocks of the blockchain. Any changes are impossible since copies will not match each other and will be considered invalid. This feature makes the system more secure and reliable.
For example, using social networking, you need to enter the user’s name and password for successful access. But people will owe their personal identities to Web3; no intermediaries are required. The same way you use your private key to access your digital currency.
Is it possible to earn more in Web3?
There are no internet users who did not buy online. This kind of shopping became an integral part of our routine. Let’s trace the purchasing opportunities for Web versions.
So, if you are as old as a world and used Web 1.0, online shopping was out of the question. That was read-only and email sending epoch.
Today’s Web 2.0 users are luckier, and they can create personalized content and earn on ads, develop business infrastructure using social networks, and perform financial operations online. But all of them use a centralized system where everything is in the hands of big tech giants.
What about Web3? All the content created like pictures, songs, videos, and so on will be considered a value, an NFTs (non-fungible tokens) that will help create a new business model. Moreover, users will be able to earn by making content.
Many creative people will receive their lion’s share due to smart contracts programmed into a blockchain. Smart contracts work as predetermined agreements that come into action when meeting specified terms. It means that smart contracts will allow earning on NFTs every time the content created by somebody will switch hands in the marketplace.
Web3 coins – crypto projects
Some skeptics consider Web3 just an opportunity for investors to increase their capital. Even Elon Musk, who is interested in crypto, named Web3 just a marketing buzzword.
Despite the critics, there are a lot of followers whose attention was attracted by such promising features as decentralized finance (DeFi), pay-to-earn gaming, and NFTs. In addition, some executives from top tech companies shift to blockchain companies as they believe in the bright prospects of Web3 and want to be involved in the developing process.
Web3 can likely play an essential role in the future of digital currencies like cryptocurrencies like NFTs or Bitcoins. Decentralized autonomous organizations (DAOs) refer to collective organizations or companies whose management structures don’t exist. Using a blockchain-based operations model, the DAO can promote innovation and entrepreneurship. This group of companies would be owned collectively and be independent and transparent, which would help create companies quickly with no bureaucratic hurdles.
The opportunities offered by Web3 are variable and prosperous. One of them is crypto projects based on digital currencies associated with Web 3.0, also known as Web3 coins. Popular web3 tokens are Polkadot (DOT), Helium (HNT), Chainlink (LINK), Theta Network (THETA), and Filecoin (FIL). They are accessible on the exchanges for purchasing.
What are the benefits of Web3?
Promising to be the future of the Internet, it is essential to summarize all the prospects and benefits of Web3.
- Security. Using the Internet today and sharing data, you are at risk of your private information leakage and unpropped application. Using blockchain-based technologies, Web3 does not allow any editing, copies, or hacks without being undetected. However, only audited decentralized apps are considered of the top security level.
- Privacy. The decentralized nature of Web3 allows you to control your personal data and online identity. Only you can define what information about you can be generally accessible or indicate personal access.
- Composability. Application Web3 in projects resembles Lego block play, where you can easily interconnect or reuse parts. So, you can leverage the existing projects or create new, more valuable ones.
- Ownership. Blockchain technology, underlying the Web3, allows eliminating third parties in content creation and sharing. Users will be able to earn tokens for their own content and not lose ownership of them.
- Collaboration. Running on a Decentralized Autonomous Organization, Web3 gives a start to a new business model avoiding executives and boards. DAO works according to rules written in code, giving allowance to unlimited participation.
The valuable benefits are vivid. But the most significant is possessing control over data shifting power from large corporations who earn on users’ content and ensuring security.
Possible Web3 risks
It would be unfair not to warn users about the potential risks and pitfalls of Web3. Among the disadvantages and limitations, it is worth paying attention to the following issues:
- Complicated for beginners.
- Not all the devices could be compatible with Web3.
- The absence of regulations increases the cybercrime levels.
- Existing websites will require updating.
- Due to transparency, all the data will be accessible.
The possibilities for such pitfalls are nearly impossible to imagine, and the potential pitfalls spiral into inconsolable. However, there are still important factors affecting transitioning to web3 to address.
The Web3 concept was a significant innovation among technology experts who viewed this technology as a potential future in recent years. The Internet is an incredibly recent evolution. Although a consensus is not evident regarding Web3 definitions, recognition of decentralization using blockchain technologies is widespread. Those who support it claim it’s an important step that can completely change how internet companies and the Internet economy operate.
The future of the Web is a multi-billion dollar question that affects the global tech sector, including most wealthier corporations & investors. Web3 will be a crucial component within a broader discussion regarding the web experience. The term has existed for more than a century and is still a controversial subject, separating many of those who believe it can make a difference in their world.
Internet progress is inevitable. Some businesses have already adopted Web3 to be on horseback in the future, but some still hesitate to exploit new technologies. However, business owners and simple users must be ready to accept the likelihood of Web3 arrival.