Since the inception of the internet, the fundamental technology behind the front-facing network has evolved significantly. The original ‘Web1’ technology has been around for over thirty years and was only able to support the transformation of text and images over the internet.
Since then, technology has radically evolved. Let’s explore the evolution of the internet, from its genesis to its most recent iteration.
Difference Between Web2 and Web3
‘Web2’ refers to the current state of the internet. Common features include ease-of-use, participation culture, and interoperability for end users. This term defines the landscape of the internet that most modern users are familiar with.
‘Web3’ on the other hand is focused on addressing the shortcomings of the conventional internet. With concepts like decentralization and ownership at its center, Web3 allows people to connect without the need for a centralized authority. Control and management structures are spread out in Web3, enabling improved governance and accessibility.
The primary technology stack of Web3 is based on blockchains that don’t rely on a centralized platform. Similarly, its foundation is rooted in cryptocurrencies and tokens. In the upcoming few years, Web3 is expected to become the predominant form of internet in most corporate segments. Leading stakeholders are embracing the ideas of blockchain technology, virtual reality, and non-fungible tokens (NFTs) to introduce new digital products to users.
In this exciting landscape, legacy companies feel the need to adapt to the new era. Consumers and regulators expect companies to improve their operational standards and evolve to Web3 standards.
Below are some of the key elements that Web3 projects typically have.
With legacy systems structured around centralized security systems, Web3 companies adopt blockchains with zero-trust security configurations. This increases security and ensures that the drawbacks of legacy systems are addressed.
In the current Web2 structure, companies tend to assume ownership of information and digital content. This often leads to user concerns about privacy. Web3 addresses this challenge by allowing users to own their digital assets. Asset storage is managed across different nodes simultaneously, which prevents censorship and centralization.
The digital economy of Web2 is rooted in fiat assets. Government-issued money such as the US Dollar or Euro are used as a means to exchange assets and services. Web3 economies expand upon this and use cryptocurrencies like Ethereum and Bitcoin to manage transactions. These currencies are encrypted and are trusted by millions of consumers due to their solid tokenomics.
Aside from Web2 innovations like podcasts, social bookmarking, and blogs, Web3 technologies expand possibilities by adding AI-powered tools, decentralized applications (dApps), and virtual assets.
Minimal Third Party Involvement
Over the past few years, consumers have become increasingly wary of centralized management structures. Third-party management has led to negligence, fraud, privacy concerns, among other issues.
Blockchain addresses these concerns by completely eliminating third-party management. Similar to the way cryptocurrencies have laid the foundation of decentralized finance, Web3 companies are starting to eradicate data brokers and privacy concerns.
Beginning the Shift to Web3
The shift to Web3 starts by embracing technologies like blockchain that offer fundamentally better solutions to customers. Businesses must improve transparency to ensure that systems and ownership structures are visible to consumers.
Moving towards Web3 starts with changing your technological stack. Adopting an effective wallet like Blocto is a great way to fast-track your company into the Web3 era. It’s a solution that is readily compatible with existing tech stacks and provides a seamless path for users to interact with Web3 technology.
How Can Users Access Web3?
Users can use the standard functionality of browsers by using Web3 browsers. These are decentralized applications (dApps) in which users retain ownership of their data and are allowed to share the revenue generated by it. Web3 applications can be accessed by Web2 browsers like Chrome or Safari using Web3 wallets such as MetaMask. Traditional web browsers can be integrated with Web3 wallets, providing dApp browser functionality that allows users to access decentralized applications without having to worry about the involvement of third parties. Additionally, Web3 users don’t have to go through Know Your Customer (KYC) or Anti-Money Laundering (AML) processes. Web3 wallets allow crypto assets to be stored and managed effectively. Some Web3 browsers include Opera, Puma, Brave, and Beaker, to name a few.
Successful Commercial Applications
Effective transition solutions like Blocto Wallet have helped industry leaders enter the Web3 space and make an impact quicker and easier. Below are some examples of successful projects that have focused on the fundamental value propositions offered by Web3.
Yahoo’s entry into the NFT industry signaled the formal adoption of Web3 by a major tech giant. Yahoo embraced Blocto’s solution to expand its existing user base and offer value to consumers, expanding Web3 accessibility. The platform features officially approved creators and comes with a quality improvement. The store also features a fiat payment gateway with credit card compatibility to simplify the experience for users.
NBA Topshop managed to become a trailblazing platform due to the way it introduced NFTs to a young sports audience. Despite the downturn in the broader crypto industry, the platform still managed to witness over $1 billion in sales in May 2022. The record-breaking growth of the platform provides insight into how the card collection industry is expected to evolve with the growth of Web3. Topshop also provides a great example of how existing Web2 products can be adapted to Web3 offerings for a newer audience.
Simplify Your Journey to Web3 with Blocto
Blocto provides the perfect platform for Web2 companies to migrate towards Web3, thanks to our seamless SDK integration. Companies can connect their services and allow users to connect using the Blocto SDK, and enjoy the benefits of a 95% user conversation rate.
The Blocto SDK allows Web2 companies to seamlessly expand their services and allows their users to explore Web3 solutions. The login process takes less than 30 seconds and does not require seed phrases or extensions. Furthermore, there’s no need for KYC or gas fees, making Web3 integration seamless and easy.