Estimated reading time: 4 mins
If you know anything about blockchain, decentralization, smart contracts, and cryptocurrency, you’ve dipped your toes into the world of Web 3.0 already. While still in the early stages, the idea behind Web 3.0 is to provide decentralized access to the internet, meaning the likes of Apple, Facebook, and Google won’t be needed. Web 3.0 doesn’t require permissions, meaning no single authority can decide which services can and can’t be accessed or collect masses of data, which helps to protect users’ privacy. Throughout this article, we’ll take a quick look back at internet evolution, take a deeper dive into Web 3.0, and let businesses know how to begin preparing.
Step into the Past
The earliest iteration of the internet began in 1991 and ended in 2004 and is referred to as Web 1.0. This version of the internet was syntactic/read-only. The majority of users consumed content in a static format, much like news sites. If you’ve watched Pam and Tommy, which controversially explored the Pamela Anderson and Tommy Lee sex scandal (1996), you will have had a glimpse at the early days of the internet.
The majority of web users have only ever experienced Web 2.0, which is known as the social and read-write web. Putting content on the internet is no longer restricted to developers, meaning anyone can contribute to the internet. This era of the internet saw the rise of now-enormous apps including Facebook, YouTube, Twitter, Instagram, and other social media tools.
Web 2.0 is still the dominant version of the internet, but it’s reached a point where there’s too much data in play and too many dominant authorities controlling such data. The result of this data influx has led to users being increasingly concerned with how their data is being used. In some cases, people choose not to access services because they don’t trust the provider, which is a sad state of affairs.
What Is Web 3.0?
Web 3.0, also referred to as the Semantic Web or the read-write-execute, has different origins depending on your source. However, most people attribute the term Web 3.0 to Polkadot founder Gavin Wood back in 2014. To paraphrase the man himself, Web 3.0 is the vision of an entirely decentralized internet.
To help you picture this in relatable terms, Wood envisions a version of Twitter for Web 3.0, in which verifying identities and controlling posts is much easier. He goes on to say that cryptographic proofs unequivocally attribute information to the owner. Further, freedom of speech will exist in Web 3.0 because there won’t be any “gatekeepers” preventing people from expressing their voices.
Web 3.0 is reliant on blockchain technology, which is responsible for cryptocurrency and NFTs. Although still in the early days, it’s fantastic news for businesses, which will see these benefits:
- Smart contracts. Conditions are set and activated once met. For example, once a payment is made, a product or service is delivered.
- Interoperability. Operating system (OS) locks prevent tools from interacting with each other. Decentralized apps (Dapps) solve this problem through blockchain tech.
- Data security. Blockchain infrastructures help businesses store data securely and eliminate breaches. Also, it gives much more control and trust to end users.
- Selling tokenized assets. NFTs are being used in gaming communities. However, businesses can leverage technology to build product buzz. For example, Nike is already gearing up to sell digital versions of products to in-game communities.
- Operate across borders. The current state of the internet puts restrictions on international commerce. However, with the introduction of Web 3.0, all of these restrictions can be torn down.
Businesses still need to have quality hardware and a stable internet connection, easily achieved with a reputable Dardenne Prairie internet service to deliver services to their users. However, they will need to upskill their employees and transition their systems to get ahead of the changes. The following sections will tell you what to put in place.
Existing IT infrastructures are designed with centralized applications and data in mind, which is why businesses need to invest in edge computing. This new infrastructure includes private and peer-to-peer models that will deliver applications without losing out on performance.
People won’t be managing their servers, meaning trust needs to be delivered without distributing infrastructure. This means building infrastructures for centralized server/client relationships, but turning away from infrastructure distribution and running towards cryptographic trust.
Web 3.0 and decentralization are new to many people, including your staff. Unfortunately, they may not see the benefit of overhauling computer infrastructures in favor of Dapp services. Therefore, it’s your task to provide the reasons why decentralization is the way forward. For example, you can tell them how blockchain technology can improve payroll systems.
The finance industry was the first sector to be impacted by Web 3.0 and decentralization. Therefore, you should keep tabs on recent news to find out what changes are being made. Having an idea of the transition roadmap will allow you to be better prepared. Web 3.0 has been gathering speed over the last few years and common phrases including blockchain, smart contract, and tokenization are becoming widely known. Embracing decentralization is a question of when, not if — the best thing you can do as a business is to begin educating and taking new technologies for a test drive.