Web3: Expectation vs Reality and the Next Big Thing
The basic idea of Web3 is simple, but different from the earlier versions of Web1 and Web2 internet.
The increasing popularity of DeFi has led to the emergence of many new projects in recent times, each with the singular aim of revolutionizing the TradFi structures and bringing more financial opportunities to humanity. These projects intend to solve the multiple limitations within the defunct Web 1.0 and the still dominant Web 2.0. However, one of the key goals is to revamp every sector mirroring Web 2.0 features thereby creating an overwhelming Web 3.0 experience. Protocols like Nereus for instance, have been designed to proffer solutions to the Web 2.0 challenges of user experience and fair governance.
Typically, the concept of Web3 centers on having a future internet where users do not need to rely on centralized government bodies, and where they also do not need to rely on top private businesses. Many DeFi elite, therefore, have maintained accordingly that Web3 seems like the next logical step for the internet, and perhaps the future of the internet in absolute terms.
Indeed, the major shortfalls of Web 1.0 and Web 2.0 relate to issues regarding privacy and power concentration within centralized entities, but Web 3.0 is partially developed based on these shortfalls and exploring different blockchains to solve the Web 1.0 and Web 2.0 challenges.
Although DeFi projects differ plainly from Web3, there are connecting dots and extreme links between both worlds. The DeFi protocols entering the market, for example, provide tweaking and feedback opportunities that will ensure that Web3 serves people to the fullest. They also give a taste of what the next iteration of Web3 may look like.
According to reports, there are about 4.66 billion active internet users globally as of January 2021. As there is also an accelerated shift towards Web3, there is a high possibility of Web3 technologies becoming a reality or a default template that many of these internet users would migrate onto. They will easily navigate to Web3 using the crypto and blockchain technology that is already in global circulation. Irrespective of their level of knowledge, more simplified techniques would continue to evolve, and the projects running on blockchain protocols with difficult scalability options may fold-up if they do not adapt to the simplified techniques. Ultimately, this development will push for quicker adoption of cryptos in various countries and international markets.
Web 3 is one project that can catapult crypto into everyone’s day-to-day lives, as it emphasizes decentralization and easy movement of data from central powers. It seeks to make the internet totally accessible to all, using Al power and eliminating the need to rely on big tech powers around the Web 2.0 space - even though many of them are making efforts to upgrade with the Web3 demands. Despite the opportunities discussed above, government regulations in different countries can still restrict the crypto-Web3 opportunities. Hence both the government and Web3 advocates have the power to shape the future of DeFi by demonstrating acceptability and legitimization of cryptos.