Web3

“Web3 is a convenient shorthand for the project to reconfigure the way the web works, using Blockchain technology to change the way information is stored, shared and owned.” – Book: Web3: The Insights You Need From HBR (2023) – Harvard Business Review.

Source: Freepik

 

Evolution of the Web: Web1, Web2 and Web3

A new era of the Internet is coming called Web3, dominated by new technologies such as NFTs (Non-Fungible Tokens), Blockchain, Cryptocurrencies and Tokenization.

Source: Interney

Web1: 1990 to 2005

Read-only-Web: users could navigate between static pages thanks to HTML and URLs. It was a way of democratizing access to knowledge.

Web2: 2006 to the present day

Read-Write-Web: the Internet is starting to become more interactive and collaborative, characterized by three “Eras”:

• Age of user-generated content (UGC): the experience of being online on social networks; viewing, learning, researching and communicating.
• Age of centralization: a few companies get rich by collecting user data and selling targeted ads.
• Age of the sharing and influence economy: ordinary people make money in new ways on and through the Internet – content creators, digital influencers, etc.

Web3: about to happen

Read-Write-Own-Web: Read-Write-Own-Web: a decentralized and more transparent Internet, in which users own their own identities and can exchange assets with each other securely.

The user no longer as a product but as an owner in Web3, would change a fundamental dynamic of the current web. It will be a profound renewal.

“The most likely scenario in the future is several systems operating in an integrated way, sharing avatars, NFTs, and other objects, all registered on blockchains like Ethereum where the data is distributed on different servers around the world.
Today we already have several platforms, but they are not integrated.” – Edney “Interney” Souza – Professor, Palestrante e Conselheiro em Inovação e Marketing Digital (Artigo: O metaverso e a Web 3.0 de 25/05/2022 publicado no site interney.net).

Web3, Metaverso and NFT

“Web3, Metaverse and NFT are key concepts that are shaping the future of the Internet and have very strong links to each other. They all point to a more personalized and interactive Internet (Web3), where users can interact in immersive virtual spaces (Metaverse) with verifiable ownership of unique items and experiences (NFTs)” – Kenneth Corrêa – Specialist in New Technologies, Artificial Intelligence and Metaverse and MBA Professor at the Getúlio Vargas Foundation (FGV).

How Web3 impacts your business

Web3 has the potential to be the next big disruptor in the business world and is being reinvented to offer a truly user-friendly experience.

In this new scenario, the web as we know it today will undergo profound transformations: monopolies will be destroyed, a new web will be created and established, and new products and services will be created.

Web3 benefits and opportunities

NFTs

Artists, gamers, and content creators can use NFTs for the authenticity and ownership of their creations and also monetize them directly, without intermediaries.

In the real estate sector, property registers and deeds can be represented as NFTs, which simplifies complex real estate processes.

Blockchain

Entities can make use of Blockchain technology in supply chains, given the greater transparency and efficiency it allows. Smart contracts are Blockchain-based executable programs that enable the automation of agreements and transactions.

Free Software and Open Source

Programming and development professionals can contribute their expertise since Web3 is being built on open-source principles.

Metaverse

Investors can generate revenue from the metaverse and NFTs. The metaverse aggregates in areas such as decentralized finance and tokenization.

Tokenization of the Economy

Investors can generate revenue from the metaverse and NFTs. The metaverse aggregates in areas such as decentralized finance and tokenization.

DAOs (Decentralized Autonomous Organizations)

Built on blockchains, they operate without a central authority and can be applied from the governance of protocols and cryptocurrencies to the management of collaborative projects and investments.

Imagine a DAO that uses decentralized technology and cryptography to finance scientific research to improve women’s reproductive health. Can you imagine that? It already exists: AthenaDAO, which has a Portuguese woman, Inês Santos Silva, as one of its founders.

Cryptocurrencies

Cryptocurrencies can serve as the payment infrastructure for Web3.

New business models

New business models have been emerging in various industries centered on user ownership, personalization, and immersive interaction, namely with the development of virtual, augmented, and mixed reality technology, and digital art curation, among others.

Faced with this imminent transformation, how can your business prepare for Web3?

What does Web3 really mean for your business?

How can you use Web3 tools and integrate them strategically into your business model?

That’s what we’ll see next.

How to capitalize on NFTs to grow your business

Understand NFTs and their underlying blockchain technology, seek expert guidance, and get a good grasp of legal and regulatory considerations.

Identify how NFTs can be applied in your sector, adding unique value, improving customer engagement, simplifying operations, or creating new revenue streams.

Create NFTs that offer genuine benefits to your customers.

Build an ecosystem around NFTs: partnerships with NFT markets, internal NFT platforms, and a community of NFT enthusiasts.

How to incorporate decentralized finance (DeFi) into your financial strategies

Acquire knowledge about DeFi and train your team.

Assess the risks associated with DeFi activities and develop risk management and compliance protocols.

Identify how DeFi can improve your business operations, whether by optimizing liquidity management, accessing alternative sources of funding, or simplifying international payments.

Partner with DeFi projects to integrate DeFi solutions into your existing infrastructure.

Cybersecurity

Always invest in top-of-the-range security infrastructure to maintain user confidence.

Web3 challenges

• Creating new forms of regulation with the aim of protecting users in a future dedicated to Blockchain is one of the challenges of Web3. They require close monitoring and involvement of the relevant authorities.
• Mitigating security risks in the Web3 space, which involves: robust cryptography, smart contract audits and adherence to best practices in cyber security.
• Accelerating the development of technology in the territory.
• Governance issues.

Fonte: Freepik

• Scalability and interoperability: to deal with the exponential growth of decentralized applications, Layer 2 solutions and sharding are needed. To ensure continuous communication and data exchange, the adoption of cross-chain compatibility.
• Demand for user-friendly interfaces.
• Equal access.
• Distribution of digital wealth.
• Information about the potential of these new technologies for the general population.

“The general impression is that all Web3 has to offer is empty NFT launches and token projects.”- Thomas Euler, German founder of a blockchain platform partner of Borussia Dortmund.

More than a strategic choice, a necessity

Web3 is still evolving, and numerous projects and initiatives are underway, but it already offers new economic opportunities never before seen for innovation, collaboration, and growth.

Experts from all sectors envision a scenario defined by decentralization, transparency, and unprecedented peer-to-peer interactions.

There is no doubt that Web3 is a dynamic and evolving technological ecosystem that will disrupt traditional paradigms.

Companies must adapt to this new reality, prioritizing continuous learning and adaptation to survive and thrive in Web3 and keep up to date with the world.

People can participate in Web3 by investigating and using Web 3.0 platforms and applications, buying cryptocurrencies and tokens, supporting open-source initiatives, and learning more about blockchain and decentralized technology.

Are you ready for this future?!