What is Web 3?
What is the difference between Web 2 Vs? Web 3?
Web 3 is the latest version of the state of the internet. Web 3 is still evolving and there is not an absolute definition that can describe everything it can do but in this blog post, we will cover the basics of what it is, how it is different from the previous version of Web 2, the one we all use and are familiar with today, and finally some of the web 3 application available today.
So what is Web 3 and how is it different from web 2?
To explain this, we have to visit the evolution of the Web. Web 1 was the first version of the internet ever developed by people. Life was simple. Web 1 was a static information provider that allowed people to read websites but they rarely interacted with the websites. Then there is Web 2, the form of the internet most of us are familiar with today. Websites are collaboration enabling and utilize user-generated content so that the experience of using it is more interactive for the end-users. Web 3 is what comes after Web 2 where people interact with websites and other users differently, and yet more in an advanced way than the previous two versions.
By now, you may be asking “but how though?” - I know that was also my question.
Fundamentally, the layout and delivery of websites will stay the same with Web 1.0 and Web 2.0 technologies, Hypertext Markup Language (HTML). But technically speaking, how it connects to data sources and where these data sources are stored will be different from the previous two versions.
Almost all websites and applications on Web 2 rely on centralized databases to deliver data to help them function. With Web 3 however, websites and applications no longer will rely on centralized databases to run, but instead, they will rely on a decentralized blockchain. The backend codes that make these websites and applications will be publicly viewable in this setting, hence, truly decentralization. So the idea here is that indeed of having a central authority that governs the operations of a platform, Web 3 suggests the distribution of authority and decentralization through its technology and community and creates a form of the self-governing system. This is also referred to as a decentralized autonomous organization (DAO).
Web 3 is the first version of Web that is adapting the use of cryptocurrency more negatively than fiat currency. Another key feature of Web 3 is its integration of AI. This enables the internet to provide more accurate and relevant information faster to the end-users. Social bookmarking sites like Reddit can come up with better search results than Google because these results are corrected and voted on by more than one user so that information becomes that much stronger. Although this information can be manipulated and that is where this machine-learning and AI functions can come in handy. These advanced technologies can separate information that lacks legitimacy into more legitimate resources. With the power of machine learning and AI, overall advancement in automation will be another critical feature of Web 3.
Web 3 technologies
With blockchain technology in its foundation, Web 3 can enable new types of applications and services to develop including:
NFT. Nonfungible tokens (NFTs) are cryptographic assets on a blockchain with unique identifiers and metadata that distinguish them from one another.
DAOs. A decentralized autonomous organization is a community-led entity without a central authority. The system works by giving users the right to propose new ideas, vote on ideas, and come to agreed decisions as a group. It is an approach to creating self-governance in an organization with no authority.
Cryptocurrency. As we mentioned in the earlier section of the blog post, Web3 creates an environment that is more optimal for Cryptocurrency than fiat money.
DeFi. Decentralized finance (DeFi) is a growing use case of decentralized blockchain being used for financial services outside of the traditional banking system.
dApp. Decentralized applications (dApps) are applications that are built on blockchain and use smart contracts.