The term Web3 has been thrown around a lot lately, although many people aren’t entirely sure what it means. The idea behind Web3 is that it’s a future version of the internet where ownership is more widely distributed.
Web3 cuts out the middleman so people can browse the internet without relying on sites like Facebook or Twitter. It’s about taking the power back from large tech companies and creating a decentralized system using blockchain technology.
What is Web 3.0?
Web 3.0 is a term that refers to the next iteration of the internet, it’s also known as Web 3.0. Gavin Wood coined the term in 2014 after developing the cryptocurrency Ethereum. To comprehend Web3, you must first understand Web 1.0 and 2.0. The following is a brief explanation of the terms:
- Web 1: Web 1.0 was the beginning of the internet, and it was characterized by decentralized, open protocols.
- Web 2: Web 2.0 represented a paradigm shift in how the internet was used. Bland, static web pages were replaced by social connection and user-generated content.
We’ve been utilizing Web 2.0 for the past 20 years, this has resulted in significant alterations to the internet. Social media networks and blogs increased connectivity, and a lot of content was produced. However, this information is primarily controlled by large technology companies like Meta, Google, Amazon, and Apple. These companies own and benefit from the content shared and have the power to ban individuals from these platforms.
What makes Web 3.0 Anticipated?
Web 3.0 has gained a lot of attention these days, it is impossible not to get dragged into the discussion of web 3.0. and perhaps it has become a major discussion topic for web developers.
But what makes Web 3.0 becoming so anticipated? What kind of impact it will be when web 3.0 started to applicated on the internet? And here are the point that makes web 3 gain an increase in popularity recently.
Decentralized Autonomous Organization (DAO)
In a DAO, there is no single figure (such as a CEO) to oversee the organization, instead, all of the rules for running the organization are programmed in smart contracts, which are executed automatically. The rules are transparent and available to all members of the organization, this is different from the current organizational structure, where the decisions are often made by a few individuals and are not known to all members.
Members can join and leave the DAO. If a DAO is well-designed, it will attract more and more participants, and the opposite is true. The success of a DAO is dependent on the quality of its protocol. The protocol’s operation is automatic and transparent, and group-based decision-making is not directed by any participant.
Decentralized Finance (DeFi)
Transactions between users can take place directly without the assistance of a financial intermediary. This implies that DeFi users don’t require a bank account, which allows Defi to serve people in areas with less developed financial systems, 2 billion people in the world are said to lack a bank account. Additionally, the peer-to-peer direct transaction has a lower transaction cost.
Identity and data sovereignty in Web 3
Users’ identities and data are stored throughout the decentralized network, instead of on a singular server or individual participant. This facilitates users having complete data sovereignty and being able to control their data independently and autonomously.
In Web 3, the emergence of “non-fungible tokens” (NFTs) allows creators to have unique warrants for their work in the digital world that cannot be copied. NFT can be either a mapping of real-world objects in the digital world or a digital work itself. With NFT, a creator’s work can be bought, sold, circulated, and rented just like in the real world. At the same time, the decentralized platform allows creators to receive more rewards.
As a nascent concept, Web 3 is still in the early stages of development. In the future, no single organization can have a monopoly on the internet and control it. There will be many technical, governance, and regulatory issues associated with the implementation of Web 3. The purpose of technological advancement has always been to improve society as a whole, the vision of Web 3, and the original intention of all of us.
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