How Should We Turn the Dream of Web3 Into Reality? – Cryptopolitan

Undoubtedly, the internet has become an essential forum for public discourse and an increasingly important battlefield for safeguarding our right to free expression. At least, that’s what they poised it to be two decades ago. Unfortunately, today, we are miles off that vision of a Decentralized Internet, which defines Web3 or is the precursor for Web3.

The web has undergone a transformation in recent years, morphing into an ecosystem dominated by corporate-controlled mega-platforms that serve as intermediaries for online speech. While this evolution has certainly produced some benefits, such as improving usability and enabling content sharing on an unprecedented scale, it has also raised concerns.

Most notably, just a handful of these mega-corporations drive the most traffic to online information sources. As a result, these platforms wield an outsized influence over what information they exposed the public to daily. 

This concentration of power is deeply troubling for several reasons, as a few stakeholders end up controlling the content that is available for public consumption. The implications of this range from outright censorship dictated by national governments to more subtle biases introduced by vague and unaudited curation algorithms.

The platforms that host our networked public sphere and inform us about the world are unelected, unaccountable, and frequently beyond oversight or regulation. The implications of relying blindly on the internet mean they might subject us to unconscious biases or controlled behavior, even without realizing it. 

Can we picture a world where the internet belongs to us, the users, instead of just a few giant tech corporations? That’s the dream of Web3 – a decentralized internet that runs on a public blockchain network, giving you more control than ever before.

What is the Decentralized Internet?

The decentralized internet is a network that operates without a central authority, giving users more control over their data and online experiences. A few large companies and governments store and control traditional, centralized internet, data.

In contrast, they build a decentralized internet on a peer-to-peer network, where data is distributed across multiple nodes and computers, making it more secure, transparent and resistant to attacks. With a decentralized internet, users can communicate and share data directly with one another, with no intermediaries. This allows for greater privacy, freedom, and creativity online.

One of the most notable examples of a decentralized internet is blockchain technology, which allows for secure, decentralized storage and transfer of data. Other projects, such as the InterPlanetary File System (IPFS) and the Dat protocol, are also working to create decentralized alternatives to traditional internet infrastructure.

The concept of decentralized internet has the potential to transform the way we interact online, empowering individuals and communities to take control of their digital lives. By prioritizing user privacy and security and promoting decentralization, we can create a more open, transparent, and equitable internet for all.

Currently, the decentralized internet is still theoretical, but its potential is becoming more tangible as Web3 technologies continue to develop and transform industries. These technologies, including blockchain, decentralized finance, non-fungible tokens, and cryptocurrency, have showed the ability to replace centralized intermediaries with permissionless, trustless protocols, bringing us closer to a decentralized future for the internet.

What are the potential benefits of a decentralized internet? 

Greater privacy and security

They improved one of the most significant benefits of decentralized internet privacy and security. With a decentralized network, data is distributed across multiple nodes and computers, making it more difficult for hackers to breach. Users can communicate and share data directly with one another with no intermediaries. This allows for greater privacy and control over personal information, as users can choose what data they want to share and with whom.

Increased control over data

A few large companies and governments stored and controlled traditional, centralized internet, data. This can lead to issues such as censorship, surveillance, and a lack of transparencies. With a decentralized internet, users have more control over their data and online experiences. They can choose which applications and services they want to use, and they can store and manage their data themselves rather than relying on third-party companies.

More fair distribution of power

The centralized internet has given rise to a few large companies that hold a significant amount of power over the web. This concentration of power can be problematic, as it can lead to unfair practices, such as monopolies and censorship. A decentralized internet allows for a more fair distribution of power, as they build it on a peer-to-peer network. This means that everyone has equal access to the network, and no one entity holds more power than another.

Unrestricted innovation and creativity

Another potential benefit of a decentralized internet is increased innovation and creativity. With a more open, transparent, and fair internet, more people will contribute and create. Decentralized networks allow for greater experimentation and flexibility, as developers can create and launch applications without needing approval from centralized authorities.

How Does the Decentralized Internet Work?

A lot of the conversations on the decentralized internet focus solely on the use of blockchain. While blockchain will be a foundation of a fully decentralized web, there are other technologies that will need wider adoption for the concept to become a reality soon. Here are the critical technologies for wide adoption and organization to bring a decentralized internet to life: 

• Blockchain Technology: Blockchain is a decentralized, distributed ledger that is used to record transactions. This technology allows for secure and transparent transactions with no central authority.

• Peer-to-Peer (P2P) Networking: P2P networking allows for direct communication and file-sharing between individual nodes on a network, with no central server.

• Distributed File Systems: Distributed file systems allow for files to be stored across multiple nodes on a network, making it difficult for any single entity to control or manipulate the data.

• InterPlanetary File System (IPFS): IPFS is a protocol and network designed to create a permanent and decentralized method for storing and sharing files.

• Mesh Networks: Mesh networks allow for communication between nodes without the need for centralized infrastructure, making them ideal for decentralized networks.

• Cryptography: Cryptography is used to secure data and transactions on a decentralized network, ensuring that no interception or no manipulation happens to the information.

Is a decentralized internet too good to be true? 

This concept of a decentralized internet is gaining traction with decentralized applications, or dApps, which are already transforming the current Web 2.0 landscape. However, skeptics still question whether a decentralized internet is practical, given the technical and sociopolitical challenges that come with it.

Tech leaders argue that Web3 is just a marketing campaign that cannot deliver on its promises of disrupting centralized tech companies. There is a lot of debate regarding the fact that blockchain faces fundamental problems with scalability, bandwidth, and storage that make it difficult to compete with centralized systems. In this view, decentralization is an unrealistic fantasy that cannot acknowledge that someone will always be in control of our online lives.

Similarly, Brett Palatiello, a blockchain partner at venture capital firm Interplay, points out that decentralization is not just a technical issue but also a sociopolitical one. It requires overcoming philosophical questions about censorship and bad actors and grappling with the practical implications of creating a fully decentralized platform. While he acknowledges the appeal of decentralization as a response to the current state of the internet, he believes it is an extreme swing of the pendulum that may not be the best solution. Instead, he advocates for a balanced approach that restores power to users and promotes transparency and accountability.

Palatiello imagines a business model similar to Uber, where the drivers and riders hold power and decide rather than a centralized company. He sees this as the optimal society where users, rather than big banks or investors, on the protocol. However, he acknowledges that total decentralization may not be in the best interest of users and that some level of centralization may be necessary for quick and efficient decision-making.

The state of web3 in 2023 

So, how close are we to the potential reality of a decentralized internet? To answer this question, we have to look at the current state of web3 advancements. 

Financial analysts expect Global Web 3.0 Blockchain Market to reach USD 23.3 billion by 2028, and they forecast the metaverse market to be valued at $678 billion by 2030, with 2 billion people spending at least one hour a day there by 2026. Dubai has enacted a cryptocurrency law to regulate virtual assets, while 51% of gen Z and 48% of millennials plan to work in the metaverse within two years.

A recent survey found that 38% of respondents would take part in extreme sports in the metaverse, while 87% of Americans between 13-56 would engage in a virtual experience built around a celebrity they love. 

Meanwhile, 77% of participants in another survey complained about the metaverse, citing addiction to simulated reality, privacy issues, and mental health issues as major concerns. Around 81% of those who know about Web 3.0 believe it will improve their well-being, although most them want stricter regulations on Web 3.0 than the internet currently has. 

So, web3 adoption is definitely growing and will continue to grow in the coming years. However, as current statistics reflect, there are certain challenges and push-backs from the wider market that might restrict the wider vision of having a fully decentralized internet soon. 

Conclusion

To sum it up, the concept of a decentralized internet is still in its early stages, and its feasibility and practicality remain a topic of debate among experts. While the promise of decentralization is alluring, it is important to consider the technical and sociopolitical challenges that come with it and find a balanced approach that empowers users while promoting accountability and efficiency.