How Web3 is changing the Internet as we know it
The world of technology has been swirling with information, ideas and concepts concerning a new type of internet: Web3 and decentralized web. It is a futuristic vision of how the internet will function and, in turn, create a unique user experience.
What is Web3?
Web3 describes a decentralized internet model built on blockchain technology. It is characterized by a shift toward a more decentralized, user-centric type of Internet. As opposed to a few large corporations having the most control, blockchain technology allows Web3 to run on a decentralized network of computers, or blockchains, that has changed how information is stored, shared, and owned. It is an attempt at bringing democracy to the web and ushering in a new era of the internet.
Key Components
Cryptocurrency and Tokens
Web3 relies on blockchain, cryptocurrency and tokens to facilitate transactions and participation in decentralized networks. Digital assets like these are used within Web3 applications as a means of exchange, control and utility. Cryptocurrency is vital in the functionality of Web3, tokenizes real-world assets, and holds significant value.
Smart Contracts
Smart contracts are self-executing. They are written directly into the code and include terms of agreement. They enable automated execution of agreements, with no need for a mediator. Smart contracts allow for further trust, transparency and efficiency in decentralized systems.
Dapps
Decentralized apps, or Dapps, include any applications built on decentralized, blockchain technology. They give users greater control over their experience by operating without a centralized authority. A subset of Dapps, DeFi, also applies to financial applications. DeFi aims to revolutionize digital finance by allowing for peer-to-peer transactions, lending, trading and more.
What Does This Mean For The Internet?
Web3 is currently being used today, even in games and applications that you may not even know about. For us, Web3 represents a vision for the future of the Internet and a gradual movement toward a more decentralized, transparent, and user-friendly web. Web3 provides users more privacy and control of data, financial inclusion, monetization of digital assets, new opportunities for education, creative expression and more.
Web3 will provide both challenges and opportunities for users and businesses alike. As this new technology rolls out, let Sparkable to guide and navigate this process to maximize its benefits for you and your business.