The narrative that web3, crypto and blockchain are different is not true since each one underpins the other for the sustainability of a new world order in data management, sovereignty and a shared economy. With that said, let us deep dive to unravel all of these emerging technologies and why they matter.

What is Web3? 

Web 2 allowed reading and writing over the Internet; Web 3 introduced the concept of owning what you read and write over the Internet. To put that in plain simple English, Web 1 delved into establishing a digital presence; Web 2 further stimulated the same where you can comment and share your thoughts like in Social media. Whereas, Web 3 allows you to own what you are reading and writing. So you can own your data, digital footprints and other online details and protect yourself from the abuse of centralized platforms. Based on these traits, cryptocurrency wallet development companies have simplified storing crypto with complete control. 

Blockchain & Crypto 

Blockchain is a decentralized ledger technology that empowers the concept of Web 3 through the use of crypto tokens. You can think of blockchain as a separate ecosystem which is not centrally controlled but managed by the community that runs the same. The community for securing the ecosystem must be incentivized. Now, the point is how will they be remunerated? A decentralized ecosystem cannot work with a centralized remuneration medium. Hence cryptocurrencies are the building block that empower the concept of a shared economy. Through cryptocurrencies, the network participants undertake governance and protect the system against sabotage. You can easily go to any NFT marketplace and sell your in-game assets for real money or you can transfer assets cross-chain to enjoy a better upside. 

Why Do They Matter? 

The trio: Blockchain, crypto and Web 3 matter because centralized entities have been imposing their own rules that benefit them at large. For example, whenever you are visiting any social media sites or platform, they extract data which they sell to other network partners. Not only this, these entities have been using the data to even influence consumer behavior. However in practicality, your own data shouldn’t be used as a weapon against you. But such has not happened and this has been making these centralized entities even more powerful.

They can ban or censor content as per their will. But when you bring Web3,crypto and blockchain dapps developed through blockchain development services, the equation changes since you can own your own data and prefer the way it could be used. For example, when you replace the traditional Chrome or Mozilla Browser with a decentralized browser, you can earn money for watching the ads. Likewise, when you use decentralized social media and streaming platforms where as a viewer, you can have an equal role in the incentive generation and sharing. These platforms allow users to create content and generate money directly without any third party. Likewise you can replace your traditional bank account with a cryptocurrency wallet developed by cryptocurrency wallet development company.

The creators can host their content on IPFS, the nodes running the IPFS can benefit economically for hosting the servers. At the same time, the creators can earn from posting videos that attract ads. And viewers, who are the prime contributors with no economic incentive, can claim a share of profits for the watch hours they put in. In this way, it is building the next level of engagement which is seemingly missing in the Web2 platforms. This is just the tip of the iceberg when you analyze the efficacy of Web3, blockchain and crypto. Their use-cases and applications could transform international trade, censorship and building the next level financial revolution.