Web3 – A Scam, The Next Big Thing, Or Simply Both

Many people believe that Web3 will be the internet of the future. This new web, which is based on blockchain technology, is envisioned to incorporate cryptocurrencies, non-fungible tokens (NFTs), decentralized autonomous organizations (DAOs), and more. 

It provides users with a read/write/own version of the web, in which they have a financial stake in the web communities they join as well as more power over those groups. The promise of Web3 is that it will revolutionize the experience of being online in the same way as personal computers and cellphones did. However, there is a possibility of adverse outcomes. 

Some businesses have ventured into this sector, only to be met with resistance because of concerns regarding the environmental impact, financial speculation, and the possibility of fraudulent activity associated with Web3 initiatives. And despite the fact that blockchain is touted as a remedy for issues relating to privacy, centralization, and financial exclusion, it has actually given rise to new manifestations of many of these issues. Before making a commitment, businesses need to carefully weigh both the dangers and the potential rewards.

Can you recall the very first time you came across the term “bitcoin”? Perhaps it was only a rumor about a brand-new piece of technology that would make things different. It’s possible that you had the temptation to join the people who had suddenly earned a modest fortune, even though it wasn’t entirely clear what the “money” could be spent on in a way that was morally acceptable. 

Bitcoin is currently appearing to have widespread adoption. Many of us haven’t noticed how slowly cryptocurrencies are making their way into the mainstream because of all the demands that are placed on our attention. Until all of a sudden, Larry David was marketing them during the Super Bowl; celebrities such as Paris Hilton, Tom Brady, and Jamie Foxx were hawking them in advertisements; and a really horrifying Wall Street-inspired robot bull celebrating cryptocurrencies was launched in Miami. 

What was initially an intriguing mystery and then a potentially lucrative market niche has evolved into a significant commercial enterprise. Cryptography, on the other hand, is only the tip of the iceberg. The technology that underpins blockchain is referred to as a “distributed ledger,” which is a database that is hosted by a network of computers rather than a single server. 

This provides users with a mechanism to store information that is both unchangeable and transparent. Blockchain is already being utilized for a variety of novel purposes, such as the production of “digital deed” ownership records of non-fungible tokens and other one-of-a-kind digital things. The collective name for all of these initiatives is “Web3.” This is a useful shorthand for the effort of rewiring how the online works by utilizing blockchain technology to change how information is stored, transferred and owned. 

The term is “rewiring the web.” In principle, a web that is powered by blockchain might break monopolies about who controls information, who makes money, and even how networks and organizations function. The proponents of Web3 claim that it would usher in a new era of the internet, which will be characterized by the creation of new online economies, new classes of products, and new services; that it will restore democracy to the internet; and that it will do all of these things.