Web 3.0 is the current darling of the tech community, along with NFT, crypto, and the metaverse — and for good reason.
These technologies promise to disrupt and therefore revolutionize how we interact with the web, with the possibility of seeing a more democratized internet and making life easier for the average user. But, what does this mean for a business? What exactly is Web 3.0 and what should the courses of action be that you take to properly prepare for it?
This guide will explore all the things that you need to know about Web 3.0, its link with crypto and NFT, and its implications to businesses.
The Future of the Web
Web 3.0 is the next generation of the internet, harnessing technologies that will decentralize the Web. This is contrary to how it looks today: an internet monopolized by large internet corporations such as Facebook, Microsoft, and Google.
This future version of the internet is described by the World Wide Web inventor as a more open, autonomous, and intelligent internet that processes information in a more human-like manner with the help of artificial intelligence (AI), machine learning (ML), and decentralized ledger technology (DLT). For this vision to be possible, applications and programs need to process and understand the information in both semantic and contextual manners which means that the semantic web and AI will play a huge role in this leap forward.
How Does Web 3.0 Compare to Its Predecessors?
One glaring problem with the current structure of the web is the fact that only a small group of corporations monopolize your data, making it impossible to take ownership of your own information since these are all a prerequisite to access their services. This has led to numerous concerns of privacy and data breaches that remain unsolvable in the current web structure.
While Web 2.0 paved the way for a more connected Internet through the rise of technologies that promote wireless and over-the-air social interaction, Web 3.0 improves upon the gaps left behind by its predecessor in terms of privacy and data ownership, complementing emerging technologies such as AI and machine learning to come up with a far superior design for things like climate modeling, precision materials, and other technologies that have the potential to be life-saving.
To put every bit of this information in a nutshell, Web 3.0 is simply the progressive evolution of Web 2.0 by making the internet more open-source. This reduces the risk of large-scale data hacks and leaks which is a result of today’s overdependence on monolithic data repositories. Web 3.0 is an internet that is made for and by users as a result of our increased demand for a human-like digital experience and increased security.
Features of Web 3.0
The future of the Web offers an array of features that will make the internet more accessible to everyone and make the experience more life-like and secure.
This is one of the cornerstones of Web 3.0 and blockchain technologies such as crypto and NFT, which stands for non-fungible tokens.
Decentralization is a contrast to how internet giants like Facebook and Google handle data since information in this version of the web can now be stored in multiple locations, eliminating the need to maintain vast, centralized databases and hence reducing the possibility of data exploitation.
This is made possible by the increased capabilities of devices to serve as their own repositories of data such as mobile phones, sensors, and Internet-of-Things (IoT) devices.
Trustless and Permissionless
Since Web 3.0 is based upon open-source software and removes the need for a centralized body, transactions will now become trustless, which means that a trusted third party is no longer required to fulfill transactions. Crypto and NFT are already using Web 3.0 technologies by allowing transactions to happen directly between individuals without the need for an intermediary.
Furthermore, Web 3.0 also makes it possible for interaction and transactions to be permissionless which basically means that there is no governing body that authorizes your behavior on the internet.
We have seen emerging technologies such as NFT and crypto take advantage of this feature as a competitive edge against traditional transaction systems such as banks and digital wallets.
AI and Machine Learning
With AI and machine learning (which is basically an offshoot of the former), computers and programs will now be able to understand and process information that closely resembles how humans understand them through semantic web and natural language processing.
This ultimately means that computers will now have increased human-like accuracy in processing data and will produce more relevant results. The possibilities of Web 3.0 can be revolutionary across industries such as pharmaceuticals and construction, which is far superior to Web 2.0 capabilities which are only limited to targeted advertising.
While it is true that Web 2.0 is the advent of increased connectivity between individuals and even businesses, Web 3.0 takes this a step further by making you and the data you interact with omnipresent and accessed by more devices and the web, especially with the rise of IoT devices.
Blockchain: The Link Between Web 3.0, Crypto, and NFT
The parallel between blockchain technology and Web 3.0 does not merely end with how both of these technologies will result in the decentralization of the internet.
In fact, the reason why Web 3.0 and blockchain closely resemble each other is that the technologies behind Web 3.0 are fundamentally built upon blockchain.
Blockchain as a technology is an electronic distributed ledger that provides digital records such as asset ownership without the need for a central authority such as a bank or a data repository. This technology allows for closing transactions faster by eliminating the need for manual processing and authentication that is usually performed by financial and digital intermediaries.
Now, this fundamental characteristic of Web 3.0 is what connects it with technologies such as cryptocurrencies or crypto, and non-fungible tokens or NFTs. These technologies make use of blockchain because of its inherent security benefit. Since this technology organizes data in blocks with a dedicated cryptographic hash, it is rather difficult to alter an entire system without altering each one of its blocks, which necessitates acquiring each of their cryptographic hashes.
This system, therefore, guarantees security for individuals that fulfills transactions using NFT and crypto. The same benefit is also enjoyed by other programs that use Web 3.0 and blockchain technology, promising more robust data security that is virtually impenetrable against privacy exploitation and attacks.
Will This Affect Your Business?
The implications of Web 3.0, crypto, and NFT on new and traditional businesses can be revolutionary.
For instance, with the possibility of contactless payment taken one step further by utilizing cryptocurrencies and non-fungible tokens, businesses will now have more channels to earn income and even eliminate the need for financial and digital intermediaries.
Furthermore, if your business can quickly adapt to the rise of Web 3.0, you will be able to take advantage of more accurate consumer data by utilizing programs that are capable to interconnect, process, and interpreting data from a vast amount of resources, which allows you to identify patterns in web traffic, consumer behavior, and even create accurate forecasts for trends within your industry.
Because of these capabilities, it is also now easier to gain insight on which messaging and marketing strategy best resonates with your target audience, allowing you to spend your marketing resources more efficiently and effectively.
Steps To Prepare Your Business for Web 3.0
As Web 3.0 is now slowly emerging in trends such as crypto, NFT, and IoT, it is absolutely crucial that your business invests its resources in initiatives and technologies that guarantee that your business is future-proof.
Invest In Cloud
Since most work will no longer require an intermediary, businesses, including yours, need to find ways to transition your work and systems into the cloud. This doesn’t merely mean using Google Forms or simple online tools to augment your current business process. This means revamping your whole business process to facilitate your business workflow from marketing to sales conversion virtually on the cloud. This is where technologies such as crypto and NFT can be of use to your business since they are largely used for these purposes. As these technologies will probably proliferate in the future, it is crucial to take the initiative and invest in them.
Hiring and Developing Your Own Web and Data Talent
The next thing that you can do to prepare for Web 3.0 is to make sure that you have the manpower that is fully capable to handle the new technologies that come with the future of the internet. Investing in a person that is knowledgeable on crypto and NFT systems, as well as operating IoT devices and other blockchain-based technology, is crucial for your business’ stability.
Embrace the Internet
The last thing, and probably the most important step for you to take to future-proof your business, is to make sure that your systems and personnel are embracing the Internet as a regular part of the business process. This makes the transition for any future emerging technologies such as NFT and crypto to be easier.
With the promise of reinstating ownership of your data, Web 3.0 certainly presents a brand new chapter for the internet. From a business perspective, however, there is still a lot of work to do to secure your success and sustainability in the midst of this paradigm shift of the web.
It is then very important to gain a good grasp of this technology and make the necessary preparations to ensure that you reap all the rewards. A more integrated and smart web can only benefit you as long as you are willing to take the leap and invest in resources for your future.