Three things are certain in life : The sun always rises, taxes, and the internet evolution! And when discussing about the evolution of the internet, one cannot avoid the significance of Web3.
The predecessor era or Web2, often referred to as the “read-only” era has introduced a multitude of great applications and platforms. It has allowed information sharing and user interactions. But Web3 is about to take it up a notch.
In Web3, we are witnessing a paradigm shift towards a more decentralized, secure, and user-centric internet experience. There are many key features that set Web3 apart and these are the important highlights:
- User Control and Data Ownership
Probably one of the biggest incentives of all the key features, and why we want to start with this point, is the fact that Web3 users have full control and ownership. Gone are the days of centralized entities of Web2, where you are constantly feeding a company or a platform’s server with your private information.
In Web3, users can decide how their data is used, shared, and even monetized — all in a secure, transparent and consent-driven manner. This is made possible by the next point.
One of the defining features of Web3 is decentralization. Unlike Web2, where data is typically stored and controlled by centralized entities, Web3 leverages blockchain technology to enable peer-to-peer transactions and decentralized applications (dApps).
A decentralized nature ensures no single point of control, meaning the data is scattered through multiple points. It also means no single point of failure, which enhances the durability of the network as a whole. Decentralization simply gives more control to user, removing one single authority, and protects your data better.
3. Cryptocurrencies and Tokenization
Web3 introduces the concept of cryptocurrencies and tokenization, which are integral to its functioning. Cryptocurrencies like Bitcoin and Ethereum enable secure and borderless transactions without the need for intermediaries.
Additionally, tokenization allows the representation of real-world assets, such as real estate or artwork, as digital tokens. This paves the way for fractional ownership, increased liquidity, and new avenues for investment.
4. Smart Contracts
The easiest way to explain Smart Contracts is digital agreement that is automatically executed when certain conditions are met. It is written in code and stored on a blockchain, which is a decentralized and transparent digital ledger.
So let’s say you’d like to buy a digital asset, and remember that since Web3 is decentralized, there’s practically no intermediaries or banks. The way to do it, is through smart contracts.
When both you and the seller review and agree on the terms on a smart contract, a transaction is automatically made. Now you’re not gonna be sending money to the seller, you will send it through the smart contract. After you receive the asset, the next part of the smart contract will then be executed and the money is released.
And the best part? Smart contracts are tamper-resistant, transparent, and can be audited by anyone on the blockchain, eliminating the need for intermediaries and increasing trust in transactions.
Web3 emphasizes interoperability, allowing different decentralized applications and blockchains to communicate and interact seamlessly. This feature enables the creation of complex ecosystems where users can seamlessly move between applications and platforms, leveraging the strengths of each. Interoperability opens up new possibilities for collaboration, innovation, and the creation of robust decentralized networks.
For gaming platforms like CreoPlay as powered by Creo Engine, this is when you wield a sword in game A, taking it to game B to further adventure gameplay or exchange it in game C for other items. And that is just the beginning of more exciting possibilities Creo Engine and Web3 have to offer you!
Read more about Gaming Interoperability here.
Everything Web3 maybe seem confusing and new, but don’t let that stop you from learning more or worse, getting left behind. Stay tuned while we prepare more fun insights on Web3, simplified and explained for you.
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