WHAT EXACTLY IS WEB 3.0?

WHAT EXACTLY IS WEB 3.0?

There has been a lot of discussion about Blockchain, Metaverse, Cryptocurrency, NFTs, and other fancy technology terms. But what exactly are they, what do they mean for consumers, and how will they affect how we use the internet?

In a nutshell, Web 3.0 is the next generation of the internet and will supersede Web 2.0. Web 3.0 will change how users connect around the world, as well as how their data is stored and used.

WHAT DIFFERENCES DO WEB 2.0 AND WEB 3.0 HAVE?

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Web 2.0

  • Users are exploited as a product for no personal gain.
  • Is it data-driven or information-centered?
  • A single entity manages all policies, storage, and processes, and users are used as a product.
  • Less secure in comparison
  • Uncertain about how our data will be used
  • Data can be manipulated in order to manipulate us as users.
  • Third-party data can be sold.
  • Less secure and more vulnerable to hackers
  • Hacking can cause significant damage to businesses and the economy.

 

Web 2.0 powerhouses include Google, Facebook, and YouTube.

Web 3.0

  • Is it user-driven or user-centered?
  • Has an Autonomous Decentralized Organization (DAOs)
  • P2P Connections is all open source.
  • Users have control over their data.
  • Is public identity safe in how it works?
  • The product is used by the users, not the other way around.
  • There is no centralised entity storing or utilising the data.
  • Globally managed by millions of nodes
    Data copies on additional nodes reduce risk.
  • DOAs have their own cryptocurrency token.
  • Any contribution will be rewarded.
  • Blockchain technology is primarily used.

WHAT EXACTLY IS BLOCKCHAIN?

According to Wikipedia, Blockchain is defined as follows:

“A blockchain is a growing collection of records known as blocks that are securely linked together using cryptography.” Each block contains the previous block’s cryptographic hash, a timestamp, and transaction data (generally represented as a Merkle tree, where data nodes are represented by leafs). The timestamp proves that the transaction data existed at the time the block was published in order to be included in its hash. Because each block contains information about the one before it, they form a chain, with each new block reinforcing the ones before it. As a result, blockchains are resistant to data modification because, once recorded, the data in any given block cannot be changed retroactively without affecting all subsequent blocks.

WHY IS BLOCKCHAIN SO SAFE?

Blockchain is by far one of the most secure protocols, owing to the following factors:

  • Hash checking
  • Proof of work/stake/etc.
  • Peer-to-Peer (P2P) Network

WHY USE CRYPTOCURRENCY OVER FIAT CURRENCY?

  • The government strictly regulates FIAT currency.
  • As Web 3.0 is a decentralised network communicating with many different platforms around the world and adhering to different governments, guidelines like KYC or any other depending on the country, which can take up to 24 hours or more to get approved, slows and limits the network.
  • Creating compatibility according to guidelines across thousands of networks is inefficient, and it becomes centralised again, defeating the purpose entirely.
  • DIGITAL WALLETS, such as METAMASK, that operate on a Web 3.0 standardised protocol and accept standard tokens such as ERC20, ERC71, and so on. These wallets do/can adhere to government regulations. PAYTM Wallet is an equivalent example in Web 2.0.
WHY USE CRYPTOCURRENCY OVER FIAT CURRENCY?

WHAT EXACTLY IS CRYPTOCURRENCY?

  • It is the Web 3.0 currency. 17000+ Crypto Tokens are currently available in the market and will continue to grow.
  • Crypto Currency is a digital asset similar to stocks, but unlike stocks, it can be used as a currency on the Web 3.0 Network.
  • Cryptocurrency can also be used to incentivize users to work or simply use the network. The BAT token is a great example of Incentivising.
  • The BAT token is used in the BRAVE BROWSER, which has 50 million active users.
  • You can disable ads in Brave Browser, and if you enable ads from the Brave Private Ad Network (rather than Google), you will be paid in BAT tokens.

Web 3.0

WHAT ARE DECENTRALIZED APPLICATIONS (DAPPs)?

  • These are similar to regular Web and Phone apps, but their backend is based on blockchain and operates in a decentralised manner, so there is no centralised entity’s server.
  • Censorship Resistant – Because DAPPs operate on peer-to-peer networks, there is no government or centralised agency (Play Store/App Store, etc.) controlling their operation.
  • It can never go offline because it is powered by millions of computers all over the world.
  • DeFi (De-Centralized Finance) is one of the major sectors covered by these DAPPs.
  • DEXES AAVE, CRV, UNISWAP, SUSHISWAP DECENTRALISED EXCHANGE
    METAVERSE, Binance, WazirX, and CoinDCX
  • Sandbox, Axie Infinity, and Roblox are all examples of De-Centraland.

METAVERSE 

  • Roblox GAMES, De-Centraland, Sandbox, Axie Infinity

GAMES

  • Crypto Kitties
  • NFT, Breeding, Buy/Sell 
  • Zed Run 
  • Horse racing, Bets, Information

NFT MARKETPLACES

  • OpenSea, Crypto Kitties, Rarible, Bidali

HYBRID APPS

  • Zapper Fi
  • Gets data from blockchain wallets and show it on the dashboard

STORAGE

  • SIA, FileCoin, STORJ, ARWEAVE, LAMBDA
  • Odysee, LBRY, D-Tube {web 3.0 alternative for Youtube}
  • Works on IPFS {Inter Planetary File System}, kind of protocol on which BitTorrent works in web 2.0 and in web 3.0
  • Avg. Cost – $0.01 /Gb/Month
  • Costing centralised platforms

WEB 3.0 VULNERABILITIES: WHAT ARE they?

According to Wikipedia, Blockchain is defined as follows:

  • WEB 3.0 is still in its early stages, so it is not fully mature.
  • Until now, it has not been standardised or regulated.
  • These DAO codes are open sourced, even for giants such as AAVE,
  • Ethereum, and others, making them a target for hackers who understand how everything works.
  • In the past, hackers were able to steal a few million dollars from users’ accounts through attacks on Crypto Exchanges. CoinBase was recently attacked.
  • Cryptocurrency prices are extremely volatile.

WHAT IS THE PURPOSE OF WEB 3.0?

  • Higher Adoption Rate – Since its inception, this new version of the Internet, known as “Web 3.0,” has had a higher adoption rate than Web 1.0 and Web 2.0 combined.
  • In just four years, cryptocurrency grew from 18 billion dollars to a market cap of 2.8 trillion dollars.
  • NFT (Non-Fungible Token), another popular component of Web 3.0, has a total market cap of 31.4 billion, 19.6 billion of which was collected in 2021 alone.
  • FIAT vs. BTC
  • Based on the current circulating supplies of all digital and fiat currencies combined, BTC ranks 16th in terms of value.
  • FIAT currencies have an infinite supply, so no one can truly predict their value because it fluctuates based on inflation.Supply. BTC, on the other hand, and many other digital currencies have a fixed supply. The maximum supply of Bitcoin is 21 million, with 19 million already minted.
  • BTC adheres to the concept that other FIAT currencies used to adhere to until the late 1970s, when the US abandoned this concept and began printing unlimited currency, and other countries followed suit.
  • The total market capitalization of cryptocurrency is greater than India’s GDP and the GDP of many other small countries combined.
  • When we compare GDP per capita, it is even lower.

Web 3.0

These figures paint a clear picture of where the world is heading, and FOURLINES AGENCY isn’t the only one who believes in Web 3.0. Many ordinary people are investing their money in Web 3.0 projects, which are raising millions of dollars in funding in just a few weeks. World leaders, Web 2.0 tech titans, and countries all over the world are vying to be the first to implement this technology.

If you have any questions about Blockchain, NFTs, Web 3.0, or anything else in this blog, and how you can incorporate it into your business or start-up, please contact our friendly team to schedule a meeting.

The following article was published on the Enterprise Monkey website. Special thanks to them for sharing their valuable web 3.0 knowledge.

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