Let's have a look at the Web3 technologies here:
Technologies of Web3
Among the several technologies employed in Web3, the most fundamental and important are those utilized at the foundational level, i.e., the technologies that build the overall framework of Web3. Infrastructure Technologies include the following:
Blockchain Technology: A peer-to-peer digital network that supports and records online transactions in several databases while preventing data tampering.
Crypto mining: It is a system that allows users' computers to solve challenging arithmetic problems and earn virtual digital coins such as Bitcoin, Ethereum, Dogecoin, and others in exchange for validating and authorizing transactions on its blockchain network.
Distributed Networks: A large number of jobs may be dispersed among various networks to be processed quickly while conveniently exchanging related information.
AR/VR/XR: Extended Reality (XR) refers to the combination of Augmented Reality (AR) and Virtual Reality (VR). Using eye wearables, virtual items will seem to our senses as genuine 3D objects.
Cumulative Computing: In this method, a large task is divided into simple tasks and given to other computers on the network to complete quickly and simply.
Non-Fungible Tokens (NFTs): These are encrypted virtual tokens that relate to a unique digital symbol, item, asset, picture, art, and so on that cannot be reproduced or copied.
Edge Computing: This is a decentralized and distributed network that stores and computes user data on local edge servers only.
Protocol-based Technologies of Web3
Consensus-based Algorithms: A consensus-based algorithm in a blockchain network in which all blockchain participants agree to the current state of a distributed ledger by reaching an agreement.
Side-Chains: This technology connects a secondary blockchain network with a different consensus process to the main blockchain network. This is done to alleviate congestion on the main blockchain while maintaining data security and privacy.
Blockchain Virtual Machines: A blockchain algorithm software that duplicates the activities of a computer, i.e. it has a virtual CPU, memory, and storage just like a computer and performs exactly like one.
Multi-Signature: This is a smart contract in which the majority of parties must agree in order to transact assets from the wallet. It assures that participants have equal ownership.
Virtual Blockchain Wallets: A blockchain wallet is similar to a digital wallet, but it deals with cryptocurrencies, and you may withdraw and enclose your invested currency in this wallet to store in another wallet.
Digital Assets: It exchanges the unique virtual version of any type of physical asset, increasing liquidity and allowing for quick buys and sells at cheap transaction costs.
Data Feeds: It gives real-time trading or transaction data from the crypto marketplaces. Example: Cryptocurrency Data Feed.
Off-Chain Transactions Computing: The Bitcoin transaction is transferred out of the blockchain here by reaching an agreement among the interested parties, using an intermediate guarantor, or trading the asset for a coupon, lowering transaction costs.
Pros and Cons of Web3 Technology
Pros of Web3 Technology
Let us look at the top 11 benefits of adopting Web3 technology:
- Data privacy is ensured by placing data control in the hands of consumers.
- By preventing data tampering, you may improve data security and oppose censorship of open and transparent information.
- It deprives middlemen such as banks, insurance companies, and governance organizations of their authority.
- Data transaction transparency.
- Efficient browsing with search results that are effective.
- Improved user engagement with the web.
- The free flow of data as scattered nodes provides continuous services.
- Personalized responses to search queries.
- Artists, creators, and the advertising and marketing sectors all benefit from this.
- Increases workplace productivity.
- With the advent of new technical pathways, new and better professional prospects emerge.
Cons of Web3 Technology
As it is usually beneficial to be aware of the drawbacks of any new technology, let us have a look at them here:
- Web2 applications will become outdated when non-blockchain-based gadgets and apps become less usable.
- Difficult to grasp and utilize, i.e., older generation people may struggle to comprehend certain technologies.
- It denies people the right to be forgotten since you can't update data without the approval of the majority of users on the network.
- A lack of solid privacy laws and policies.
- It is not environmentally friendly. The proliferation of technological gadgets will raise the carbon impact.
- Web3 technologies are not yet ready for adoption by traditional enterprises.
- Furthermore, in the current context, technological faults and user-side challenges inhibit its utilization.
- Threats such as hacking, money laundering, terrorism, and so on.
- The more engaging a technology is, the more addicting it becomes. As a result, web browsing time will increase.
- It has the potential to be terrible for mental health.
- If AI/ML-based robots take over the human mind, it may endanger our economy and civilization.
Web 3.0 Applications
Artificial Intelligence has grown in popularity in recent years. Both are tied to the Web 3.0 idea, with Siri being a notable example. The intelligent assistant can analyze, converse, and engage with users via automated natural language processing. Machine learning is also used in conjunction with other technical tools such as the Internet of Things (IoT) and Big Data to handle enormous volumes of data.
Web 3.0 has aided in the development of the Blockchain, the most secure mathematical framework for users. This technique is intended to store data in a way that makes it nearly hard to misrepresent it. It is a public electronic ledger that allows users to freely publish their transactions and provides an immutable record of their transactions. Because data is sent in encrypted form, the Blockchain creates an ultra-secure network. Blockchains are efficient and quick, and they stimulate the creation of smart contracts.
The metaverse is another application that will interact with this semantic web since it is a preview of what the Web 3.0 interface would look like. It will primarily depend on Virtual Reality, VR, and Augmented Reality, AR, to create an immersive experience that blends digital aspects with the natural environment.
Another well-known use is the supply of cryptocurrencies, which are referred to as Web 3.0 tokens. Its major goal is to provide people with more control over their digital information through the use of a centralized infrastructure. Except in El Salvador, digital currencies are not currently regulated by any government, central authority, or banking institution. Cryptocurrencies utilize blockchain technology to track the quantity of coins in circulation and who owns how much.
Web3 enables a new age of social media networks that stress the creator-driven economy with a fundamental goal of offering content ownership to people rather than any centralized institution. Web3 social media applications will be the next generation of today's social media apps such as Facebook, Instagram, and Snapchat, requiring users to submit their data to an authorized authority. Web3 applications, as a significant advance, allow users anonymous access through wallet address and private key.
Virtual Real Estate
The introduction of NFTs, blockchain, and metaverse has already had a significant impact on the real estate sector. With Web3 now offering a more substantial and extensive ecosystem for real estate, a variety of "modern" Web3 real-estate initiatives have been created that combine NFTs, virtual reality, and 3D technologies to confirm ownership and transfer NFT-based real estate holdings. Additionally, the blockchain's immutable and open ledger contains a record of the transaction.
Because of Web3's support for the creation of sophisticated metaverse projects, businesses are utilizing Web3 technologies to create 3D realistic workplaces that transform their actual workplaces, enable employees' avatars to work within the virtual workplaces, interact with their coworkers, and engage in enjoyable activities just like the actual workplaces.
Web3 technologies represent the next evolution of the internet, emphasizing decentralization, user control, and enhanced privacy. Built on blockchain and cryptographic principles, Web3 fosters peer-to-peer interactions, enables self-sovereign identity, and facilitates decentralized applications (dApps) that can reshape various industries. Through protocols like IPFS, Ethereum, and others, Web3 seeks to empower individuals, establish trust, and create a more open, secure, and equitable digital landscape. As it continues to develop, Web3 holds the potential to redefine how we interact, transact, and collaborate online.
Q. What are the technologies in Web3?
A. Web3 technologies include blockchain for decentralized data storage and smart contracts, decentralized identity (DID) for user authentication, decentralized finance (DeFi) platforms, non-fungible tokens (NFTs) for unique digital assets, and decentralized applications (dApps) enabling peer-to-peer interactions and services.
Q. What are Web3 tools?
A. Web3 Developer Tools include ABI Tools, Web3 IDEs, Development Frameworks, Decompilers, Disassemblers, Assemblers, React Tools, Web3 SDKs, Web3 Libraries, Web3 Languages, Web3 Education Resources, Block Explorers, Transaction Tools, Crypto News Websites, Smart Contracts, and College Blockchain Clubs.
Q. What are Web3 products?
A. Web3 products refer to applications, platforms, and technologies built on the principles of decentralized, blockchain-based networks. Unlike traditional web applications, Web3 products leverage blockchain's transparency, security, and peer-to-peer interactions to create trustless and user-centric experiences, enabling new possibilities in areas such as finance, gaming, social networks, and more.
Q. Which company uses Web3?
A. Ethereum, Solana, Polygon, and Cosmos are examples of popular Web3 networks. OpenSea, Coinbase, Ledger, and MetaMask are among the popular Web3 platforms. Many of these networks and sites offer NFTs or cryptocurrencies such as Bitcoin for sale.
Q. Does Bitcoin use Web3?
A. No, Bitcoin does not use Web3. Web3 is a framework commonly associated with Ethereum and other blockchain platforms, enabling interaction with decentralized applications (DApps). Bitcoin has its own protocol for transactions and does not utilize the Web3 framework for its functionality.