You’ve probably heard the term “Web 3.0” or “Web3” whether you’re new to the crypto world or an experienced enthusiast. But what does it mean? Web 3.0, often known as Web3, is referred to as the next generation of the internet. It functions in a decentralized ecosystem and permits peer-to-peer transactions without intermediaries. This system also uses blockchain, cryptocurrencies, and smart contracts to provide people authority over their data.
To help you further understand the concept, we will go through all you need to know about the Web3 browser and how blockchain and cryptocurrencies significantly contribute to bringing it to life.
Web3: What is it?
Web3 is a concept that pertains to the next generation of the internet, where consumers can manage and own their digital assets and other online material. It is decentralized, meaning big businesses no longer have the power to mediate the internet or control our data and assets.
We utilize a centralized internet today, which means we don’t own our data as it is under the hands of powerful corporations like Google, Apple, or Facebook. However, because Web3 is decentralized, you can utilize your knowledge, gain access to all of your data, conduct virtual transactions, and control specific areas of the internet without requesting permission from central authorities. Users can better safeguard their privacy as a result.
Looking back at how the web developed to become what it is now, we can completely understand how Web3 functions. Web 1.0 is the first version of the internet that debuted in the 1990s. Some may not recall it, but it worked almost like a massive encyclopedia, allowing users to browse through articles on unlimited themes without interaction.
On the other hand, Web 2.0 is the version of the internet that sprouted in the early 2000s. Think about platforms like YouTube or Instagram, where users can consume and create content. The primary problem is an increasing lack of privacy brought on by the massive amounts of data we exchange with some of the biggest companies in the world. They use these details to customize the material we receive based on our interests, making each of us a valuable marketing asset for advertising companies.
People now want to regain control. Web 3.0, a new version of the internet where users can partially own projects and other assets in addition to being content creators and consumers, is created as a result. And leading-edge blockchain technology, which brings us to our next point, underpins Web 3.0.
The Function of Cryptocurrency and Blockchain Technology in WEB3
When the topic of Web3 comes up, it is often associated with cryptocurrencies and blockchain. Given the decentralization component of web3, it is not surprising since crypto is known for conducting transactions without the involvement of a third party, thanks to a decentralized ledger system known as blockchain technology.
NFTs, digital currencies, and other blockchain entities are also actively utilized by Web3. For instance, Reddit is currently paving the road for Web3 by implementing web3 bounties or crypto tokens that enable users to contribute significantly to the community they engage.
Users who post on a particular subreddit may get “community points” based on how many other users upvote or downvote their posts. The system then records these points in blockchain technology to divide ownership among users and give them more power over their assets without losing it.
Top Web3 Cryptocurrencies
Examples of Web3 crypto projects building the next-generation web include the following:
- Helium (HNT) – The People’s network. It is a decentralized peer-to-peer wireless network.
- Chainlink (LINK) – A blockchain middleware that gives smart contracts access to crucial off-chain resources such as data feeds, web APIs, and traditional bank transfers.
- Filecoin (FIL) – A decentralized storage network that enables users to rent out unused hard drive space in return for Filecoin tokens. Think of it as the Amazon Web Services or Google Drive of Web3.
- Theta (THETA) – Theta is a distributed network for streaming video that enables users to share bandwidth and processing power jointly.
The Importance of Web3
You can now own digital assets in a way that was never possible, thanks to Web3. As an illustration, the item is added to your gaming account whenever you spend real money on an in-game item in the Web 2.0 online game. However, if it abruptly ceased operation, every in-game object you had previously amassed is lost. By allowing direct user ownership through non-fungible tokens (NFTs), Web3 eliminates all of the issues mentioned.
In addition, Web3 gives users the freedom to exercise their management, ownership, and monetization rights while providing an accessible environment for content development. How? Through cryptocurrency and blockchain.
Blockchain technology is essential to the creation of Web3. Users can engage with various online services using blockchain technology and peer-to-peer network governance. Peer-to-peer networks are fundamentally decentralized computer networks, as opposed to centralized servers of a single entity. Users can control their data and conduct peer-to-peer, permissionless transactions in these environments.
Therefore, blockchain makes it simple to do away with the need for intermediaries. If you have an internet connection and a Web3 bitcoin wallet, you can access the world of web3. Users would then have total control over their digital identities and the method and timing of data sharing. By using various web applications, users can utilize their private keys to keep their identity and data secure.
Also, read: Explained: What Is Blockchain and Cryptocurrency
Author: Bash Sarmiento
Bash Sarmiento is a writer and an educator from Manila. He writes in the education, lifestyle, and health realms. His academic background and extensive experience in teaching, textbook evaluation, business management, and travelling are translated into his works