Why Web3 Is Here to Stay
The UN's World Food Programme has launched a blockchain-based pilot project to help refugees in Jordan access food assistance. (photo credit - Shutterstock: Undefined Jordan child sells ordinary stones to tourists to get some food on April 9, 2014.)
by Eric Forst, co-founder and CEO of Blocksee
The emergence of blockchain technology and Web3 has the potential to revolutionize the way we transfer value, creating a new era of trust and transparency in the digital age. With all of the bad press and experiences with Crypto and Web3 lately (much of it deserved), I think it’s important to explore the main reasons why blockchain and Web3 will become the most common way that value is exchanged online.
Transactions on the blockchain are immutable and irreversible, meaning that once a transaction has been added to the blockchain, it cannot be altered or deleted. This provides a level of trust and security that is unparalleled in traditional online payment systems, which are often subject to fraud and hacking. For example, Bitcoin is a decentralized cryptocurrency that operates on a blockchain, enabling secure and transparent peer-to-peer transactions without the need for intermediaries like banks.
Web3 provides a decentralized infrastructure for the internet, where users are in control of their own data and can interact with each other directly without the need for intermediaries. This creates a new level of transparency and accountability that is sorely lacking in the current centralized model of the internet. With Web3, users can have more control over their online identities and digital assets, creating a new era of online freedom and empowerment. For example, the Ethereum blockchain enables developers to build decentralized applications (dApps) that can operate independently of traditional intermediaries like Google, Facebook, or Amazon. An example of this is the Golem dApp, a decentralized supercomputer that enables users to rent out their unused computing power to others. This creates a more efficient and cost-effective way to perform complex computing tasks, such as rendering 3D graphics or running scientific simulations.
Blockchain and Web3 have the potential to democratize access to finance and create new opportunities for people around the world. With blockchain-based financial systems, people can transact directly with each other without the need for traditional banking systems, which can be expensive and exclusive. This can create new opportunities for people who have been excluded from traditional financial systems, providing them with access to new sources of capital and economic growth. For example, the MakerDAO project is a decentralized lending platform built on the Ethereum blockchain. It allows anyone to borrow stablecoins (digital currencies pegged to the value of a stable asset) without the need for a traditional bank.
Blockchain and Web3 can help to address some of the biggest challenges facing the world today, such as climate change, poverty, and inequality. For example, the Climate Chain Coalition is a global initiative that brings together blockchain stakeholders to work on climate action. Blockchain can enable transparent and secure tracking of carbon credits, facilitating more effective climate action. Additionally, the United Nations’ (UN’s) World Food Programme has launched a blockchain-based pilot project to help refugees in Jordan access food assistance, providing a transparent and secure way to distribute aid and reduce waste. By creating a more transparent and decentralized system for value exchange, blockchain and Web3 can enable people and organizations to collaborate more effectively on solutions to these challenges, creating a more sustainable and equitable future for all.
The emergence of blockchain and Web3 represents a new era of trust, transparency, and empowerment in the digital age. These technologies have the potential to revolutionize the way we exchange value online, creating new opportunities for people around the world and addressing some of the biggest challenges facing humanity today. Let's embrace this new era with hope and optimism, and work together to create a brighter future for all.
