What is Web3, How is it Beneficial for Us, and Why You Should Know More About It

The internet has been raging about Web3 ever since Facebook launched its Metaverse concept, but what is web3?

Web3.0 is the next evolution of the internet. It’s not just another new version of the internet; it’s a whole new way of thinking about how we interact with information online.

In this blog, we’ll be talking about everything Web3!

What is Web3?

The term “Web 3.0” refers to the next generation of the Internet. This new version of the World Wide Web is expected to change the way we interact with information and data.

Web 3.0 is a new type of network that connects computers and devices without using centralized servers. This means that instead of relying on a single server to store our personal data, we would rely on distributed ledgers (blockchains).

what is web3
What is Web3

A blockchain is a public ledger where transactions are recorded chronologically and publicly.

It allows us to create trustless peer-to-peer networks because all transactions are transparent and verifiable by everyone in real-time.

In other words, it creates an open system for sharing information among users.

Statistics

  • A web3 Spotify could allow fans to buy “stakes” in up-and-coming artists, effectively becoming their patrons in exchange for a percentage of their streaming royalties. (nytimes.com)
  • Examples of Web3 success in well-established industries are sparse, and large enterprises will likely be slow to cede governance, oversight and control of applications they use in conjunction with other digital ecosystem participants in order to move to Web3. (gartner.com)
  • There are other hot tech sectors — including gaming, autonomous cars and virtual reality, Evans said — but there’s likely little that could cool off web3 hype in the immediate future without a regulatory intervention from Washington or elsewhere. (nbcnews.com)
  • The term “Web3” was first coined in 2014 by Gavin Wood, a co-founder of the Ethereum blockchain, when referring to the concept of a decentralized, blockchain-based internet, according to a Wired interview with Wood. (digiday.com)
  • It seemed that everyone was launching an NFT in 2021, reaching over $23B in total trade volume according to DappRadar. (consensys.net)

Difference between Web2 and Web3:

The difference between Web 2 and Web 3 is that Web 2 is based on a central server while Web 3 is decentralized.

Centralized systems require a third party to verify and validate transactions. However, when you use a decentralized platform like Ethereum, there is no need for a middleman.

All transactions can be verified by anyone at any time.

Why is Web3 better?

There are many reasons why Web 3 is better than Web 2.

For one thing, Web 3 will allow individuals to own their own data rather than having it stored on a centralized server.

Also, Web 3 will give people more control over how they share information.

They will also have access to more relevant content as well as receive compensation for their contributions.

Applications of Web3:

As mentioned above, Web 3 is a new type of internet which does not depend on centralized servers.

Therefore, this new technology has far-reaching applications. Some examples include:

• Identity verification

• Online voting

• Smart contracts

• Supply chain management

Cryptocurrency exchanges

• Peer-to-peer lending

• Social media platforms

• Gaming platforms

• Augmented reality

• Healthcare records

• Financial services

• Education

• Media

• Insurance

and so much more.

Web3 Platforms:

Ethereum is the most popular Web 3 platform today. It was created by Vitalik Buterin, a Russian programmer who is considered to be the father of Web 3.

Other Web 3 platforms include:

EOS 

EOS is another popular Web 3 platform. It was developed by Block.one, a company founded by Brendan Blumer and Dan Larimer.

Lisk

Lisk is a JavaScript-based platform that uses smart contracts to enable developers to build decentralised apps.

Waves

Waves is a cryptocurrency exchange platform that runs on the Waves protocol. It was launched in 2014 and is currently ranked number 6 on CoinMarketCap.

OMG Network

OMG Network is a payment processing platform that enables businesses to accept payments from customers via mobile phones or online. It was founded in 2013 and is headquartered in Thailand.

Status

Status is a social networking app that lets its users transfer funds to each other instantly. It was founded in 2016 and is headquartered in Singapore.

Tron

Tron is a blockchain project that aims to provide a user-friendly interface for dApps. It was founded in 2017 and is based in China.

VeChain

VeChain is a blockchain project that focuses on supply chains. The platform’s goal is to improve transparency and efficiency within these industries. It was founded in 2015 and is headquartered in Hong Kong.

Wanchain

Wanchain is an open-source cross-blockchain solution. It was founded in 2018 and is based in Beijing.

XRP

XRP is a digital asset designed to work with Ripple’s xCurrent product. It was founded in 2012 and is based in San Francisco.

Now, hopefully you understand what is web3 and how it can be used.

Let’s move on to

Basic Concepts of Web3:

Before you start learning what is Web 3, make sure you understand some basic concepts first. Here are some things you should know:

• Blockchain – A blockchain is a digital ledger that stores transaction data. Every block contains a timestamp and a hash value.

As each block is added to the chain, it becomes harder to change or delete previous blocks. The entire blockchain is available online and accessible to anyone.

• Distributed Ledger Technology (DLT) – DLT refers to a set of technologies that help organizations store, manage, secure, and transfer data across multiple nodes.

These nodes are spread out geographically and connected through a network.

This means that no single entity controls them. Instead, every node works together to maintain a shared database.

• Decentralization – Decentralization refers to the process of removing the control from a single entity.

In other words, decentralization means that all decisions are made collectively by everyone involved in the system.

There is no central authority that makes these decisions.

• Smart Contracts – Smart contracts are self-executing computer programs that run without human intervention.

They are programmed to automatically execute specific tasks upon certain conditions being met.

• Tokens – Tokens are digital assets that represent ownership rights within an ecosystem.

They can be used to pay fees, buy goods, or exchange money.

The Future of Web 3:

what is web3
What is Web3

There are many exciting developments taking place in the world of Web 3 right now.

One example is the creation of decentralized autonomous corporations (DAC).

DACs are companies that exist entirely online and operate independently of any government or company.

Another development is the emergence of smart cities. Smart cities use technology to improve efficiency, reduce costs, and provide better service for citizens.

Another interesting concept is the idea of “Smart States”.

Smart states are governments that have been fully automated using blockchain technology.

There are also plans to create a completely new internet called the Internet of Value (IoV).

IoVs will connect people, businesses, and machines so they can communicate and transact directly.

Conclusion:

I hope this blog helped you in understanding What is Web3 and it’s uses.

The important thing to remember is Web 3 is still very young. However, we are already seeing the beginning of its impact on our lives.

It’s going to take time for this industry to mature and become more mainstream.

Debashis Konger
Debashis Konger
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