OP-ed disclaimer: This is an Op-ed article. The opinions expressed in this article are the author’s own. CoinCodex does not endorse nor support views, opinions or conclusions drawn in this post and we are not responsible or liable for any content, accuracy or quality within the article or for any damage or loss to be caused by and in connection to it.
Web3 went from being merely a buzzword on social media to becoming an appealing model for many companies, especially in the tech industry. As Web3 evolves, it seems that CEOs and leaders at high-profile companies are thinking about how to adopt and implement cryptocurrencies and blockchain to their businesses, including Meta, Spotify, Twitter and more.
Semantic Web–also known as Web3–has massive potential for everyone – from the general consumer, artists, and musicians to high-tech companies and financial entities around the world. Of course, the most tech-savvy people can forecast a prosperous future for Web3, but for the general audience, an unbeknown technology translates into risks and caution. When it comes to mainstream adoption, most people are still inclined to trust centralized brands instead of the decentralized model of Web3.
One of the reasons for this is that the mainstream audience still doesn’t understand the foundations nor the potential of this emerging technology. Another problem is that it can be difficult to use, so people would rather trust well-known financial entities before diving into digital assets and decentralized protocols.
Web3 and its benefits for individuals
Businesses, artists and content creators can get certain advantages using Web3. Let’s take musicians, for instance. By leveraging the technology behind Non-Fungible Tokens (NFTs), musicians can earn a better profit by tokenizing their albums and selling them on decentralized marketplaces, allowing them to earn higher royalties. It also allows them to better engage with their audiences in a more direct way, as they can offer exclusive products in the form of NFTs.
In addition to musicians, artists, designers and other creative people will be able to use Web3. Artists who create their works digitally will be able to convert them into unique tokens that are not inferior in value to physical works of art. Fashion designers will have the opportunity to create accessories and outfits that people will try on without leaving home, sitting in a chair. Architects and interior designers will discover a new world that provides limitless opportunities for creativity, not constrained by physical rules, such as the force of gravity, which will allow them to create breathtaking buildings and interior decoration.
With Web3, people have complete control of their data and personal information and can share it only with their authorization. Intermediaries are also out of the way as popular platforms such as Ethereum offer users fully encrypted data.
In addition to the above-mentioned advantages, Web3 has other positive features that can be really helpful:
- Fast transactions using blockchain networks
- Complete ownership of digital assets
- Decentralization – no need for third-parties
- Easy access anywhere through desktop or mobile devices
Web3 and Business
Individuals will not be the only users of the new technology. Businesses will be able to take advantage of Web3 too. By bridging Web2 and Web3, companies from different industries can improve or create new business models. Not only tech companies, however – fashion brand Gucci has launched several virtual collections in blockchain-based metaverses, sparking the sales of digital art and prompting other fashion companies to do the same.
When it comes to sports, major clubs such as Manchester United have found a way to engage their fans through Fan Tokens, giving holders exclusive benefits, such as participating in club decisions, receiving rewards or buying merchandise.
People in the tech industry are undoubtedly one of the most interested in Web3 and blockchain technology. There are already a handful of high-profile companies adopting NFTs, cryptocurrencies and blockchain technology. Some popular names are: Twitter, Meta, Instagram, Tesla and Amazon.
Financial companies and merchants have also enjoyed the benefits of allowing clients to transact with digital assets, such as faster transactions and significantly lower costs.
There’s Still Room to Improve
There are, however, certain setbacks that make a lot of e-commerce sites reluctant to allow crypto transactions as a way of payment. Some of them are:
- Unclear regulatory framework worldwide
- Lack of knowledge of cryptocurrencies
- Volatility
We need to keep in mind that these fears do not only belong to financial entities, but any company, person or business that wants to adopt crypto needs to consider the pros and cons of adopting Web3.
There are several decentralized protocols such as Polygon and Ethereum looking to hire some of the best talent in the Web2 space and onboard them onto Web3. There’s currently a large inflow of software developers, product managers, content creators, and entrepreneurs leaving their Web2 jobs and switching to Web3 startups and projects.
Conclusion
Despite its rapid growth, Web3 is still in its early ages, so without a doubt, there’s a lot of room to work on. However, sooner or later the world will switch to the decentralized version of the internet and realize the potential of cryptocurrencies and blockchain technology.
To wrap up, the advent of Web3 will provide anyone with easy access to a blockchain network without needing third parties, complete ownership, and control of their personal information, and a new world full of possibilities to explore, build, and generate new income streams.
by Fuad Fatullaev, Founder and CEO of WeWay ‒ entertainment ecosystem and NFT Marketplace.