Web3 is an emerging ecosystem with enormous potential and promise to alter conventional business methods. Web3 is more than a technological paradigm change. It is, instead, a new method of consuming and distributing culture. According to Alex Reinhardt, it is a culture that elevates customers’ efforts while reinforcing the connection between the contemporary consumer and their maker. Web3 is more than these things combined.
With the rise of social media came the mobile internet, which contributed to Web 2’s popularity. The open-source code quickly became a possession. The level of data abuse reached a tipping point when legal action was taken against major corporations.
Web3 business models can address these difficulties and are gaining popularity daily. Given the expansion of Web 3 and the decentralized Internet, tech startup interest in Web 3-style apps has soared, resulting in a significant increase in investor interest in their future versions.
Development of Internet
We observed the Internet’s dynamism in the middle of the 2000s. The platforms became more user-centric. Eventually, the corporations of the period accumulated influence and encouraged centralization. As users, we have been exposed to privacy concerns and content-controlling restrictions. Even Web1 was decentralized, where everything was unpatented and driven by open-source code, which many of us do not get. Beginning in the early years of the new millennium, the Internet began to change as notable streaming sites emerged.
The Web3 enterprises have an equitable distribution of ownership and control. However, there are a few obstacles to deploying Web3 for business. Alex Reinhardt examines how Web3 might improve old business models.
Benefits of the WEB3 Business Model
The Web 3.0 blockchain technology will fundamentally revolutionize conventional procedures in all industries. According to Industry Research Future, Alex Reinhardt predicts that the value of the Web 3.0 blockchain technology market will exceed $6 trillion in 2023, and Web 3.0 will increase at a pace of 44.6% from 2023 to 2030.
- No DDOS attacks: Distributed denial of service and other service failures that exploit the network’s vulnerabilities are not feasible. Web3 is substantially more resistant to DDoS assaults compared to Web2. The attacks may be stopped by adding failsafe logic to the smart contracts. It is also possible to avoid these attacks by ensuring that the nodes have sufficient bandwidth and computing capacity.
- Decentralization: Decentralized autonomous organizations (DAO) already exist to facilitate Web3’s decentralization. In decentralization, several nodes preserve comparable autonomy. In addition, instead of a single firm directing the system, anonymous parties participate in decision-making.
- Identity: Web3 offers users an identity; unlike the old approach, which requires users to register separate accounts on various sites, Web3 offers a single login across all platforms. Therefore, being safer and resistant to censorship.
- Security: All transactions must be validated on the blockchain network, enhancing security. Hacking into the systems is more difficult. Regarding 51% of assaults, they are easily patchable. Additionally, such assaults have a reduced success rate.
- Ownership: Only the website’s owner may add to the website’s content in Web 2.0; the corporation owns the text and images you contribute to social networking sites. With Web3, users will have the ability to exchange data directly with one another. There will be a wallet for each user; As an asset, the wallet account will own all data. The identical assets will be moved through the blockchain to other accounts.