The names “Metaverse” and “Web3” have grown in popularity during the past several years on the internet. But despite the fact that they are not the same thing, these two ideas are frequently mixed together. What distinguishes Web3 from the Metaverse and how do they compare to one another?
Web3: What Is It?
Web3 is the third version of the internet, commonly referred to as Web 3.0. Web3 is already in our sights after Web1 (Web 1.0), Web2, and then Web2. But how does this version of the internet differ from the one that the majority of us use today, and what does it look like?
The internet has typically consisted of centralized entities. A few senior employees at the top of the employee pyramid have the majority of influence in centralized power structures used by Google, Instagram, Meta, Amazon, and the majority of other digital platforms. Although this appears to be a rational structure and frequently functions, a top-down power dynamic like this can result in corruption and subpar judgment.
Furthermore, due of the way that the data in and control over the ecosystem are disseminated, centralized platforms are frequently targets of malevolent assaults. It’s simpler for cybercriminals to target you if you concentrate your power in one location. Since one failure might result in a system crash if it occurs at the system’s core, general technical flaws can also cause troubles more readily if the structure is centralized.
The possibility of censorship on centralized websites worries people as well. The risks of censorship have become more obvious as people rely more on the internet for news, education, and other vital information. To prevent individuals from seeing the content on these platforms, some governments have even resorted to limit access to specific news and social media websites.
Additionally, censorship has its uses, particularly when it comes to removing offensive and hateful material. However, people are worried about the methods used by platforms to determine what should and shouldn’t be banned. For instance, YouTube’s censoring policies have long angered content producers, with many of them thinking that particular films are being wrongfully taken down or made unprofitable.
Therefore, a centralized internet is fraught with problems and dangers. But what is the answer? Web3, according to some.
Gavin Wood, another co-founder of Ethereum, is credited with coining the phrase “Web3”. The most obvious difference between Web2 and Web3 development company Dubai is that the former emphasizes read-write (allowing for both content generation and consumption), while the latter emphasizes read-write-own. Let’s examine the components that enable this.
Due to the decentralized nature of Web3, no single entity has access to all the information or power within a given network. Instead, information and control are dispersed among numerous devices and connecting points (sometimes referred to as nodes). Utilizing hundreds or even thousands of different devices effectively increases the network’s reliability and resistance to malicious attacks and technical glitches. A few computers are far simpler to attack than a sea of them, after all.
Users, not a higher authority, are in charge of decentralized platforms. This is the first instance of the “own” component of Web3. Ownership of a platform effectively shifts from a limited group of upper management to its users when the latter are in charge rather than the former.
Blockchain technology is also used by Web3 to uphold its decentralized organization. Distributed ledger technology is used by blockchains to store and record data. Users can access a visible yet immutable record of data through a distributed ledger. Blockchain-based distributed ledgers are used by many different cryptocurrencies, including Bitcoin, Ethereum, and many more.
Web3 is trustless because decentralized platforms make it possible for any user to access distributed ledgers. The lack of intermediaries or third parties in Web3 further secures this element’s lack of confidence. For instance, unlike traditional financial services, trading cryptocurrency on a Web3 platform does not require the use of an intermediary to make the transaction possible.
It’s also important to note that Web3 is open-sourced, which allows anybody to access and modify the program code as they see fit. This may greatly aid in removing bugs and vulnerabilities.
Users have a role in how things develop and evolve thanks to the governance system used by decentralized platforms. This gives users of the network the option to vote on particular suggestions.
All users have the chance to participate in the platforms they love by voting on updates, feature additions or removals, interface changes, policy updates, and other platform improvements.
Consider the UniSwap cryptocurrency exchange as an illustration. The governance voting procedure on this decentralized network is open to everyone who owns UNI tokens, the platform’s native currency. Users can vote on a proposal’s outcome using their tokens once it has been filed. Users can contribute their ideas on how the situation should develop in this way, leading to a more equitable system overall.
Some networks (like the Algorand blockchain) also need users to hold specific governance tokens in order to participate in governance.
Regular users are effectively becoming shareholders through the governance process, giving them control over how things develop (which links into the “own” component of the Web3). This is a crucial element of Web3’s expanded tokenization effort.
As you might have suspected, tokens play a significant role in Web3. Most of us use conventional currencies like USD, GBP, and EUR to make online purchases of goods and services. The usage of cryptocurrencies for payments and governance involvement, however, is the main focus of Web3.
The vast majority of Web3’s components, including assets, videos, platform access, apps, photos, event tickets, and more, may all be tokenized. Additionally, this tokenization feature will make NFTs very beneficial on Web3. Within Web3, anyone can buy and trade NFTs to earn money, obtain benefits, access specific data, and more. This is related to Web3’s emphasis on ownership once more.
How does Web3 stack up against the Metaverse then? Do they resemble one another at all?
The Metaverse: What Is It?
Given how ambiguous the term “Metaverse” is, it is not surprising that it has been mistaken for other technologies, such as Web 3. The term was first used in Neal Stephenson’s science fiction book “Snow Crash” in the early 1990s, but it took years for the idea to start to feel somewhat real.
A digital environment called the Metaverse is where virtual worlds can live. Some think this is how the internet of the future will appear, while others worry that the Metaverse might be harmful to our physical or mental health. The phrase “the Metaverse” is often used to refer to the overall notion, but a single virtual world can alternatively be referred to as its own Metaverse. People can engage in real-time virtual reality through the Metaverse, where they can socialize with other users, purchase goods, play games, and more.
Virtual reality is the main focus of the Metaverse, although Web3 does not require this technology. A VR headset is not required to use Web3 applications. Simply operate your desktop computer, laptop, smartphone, or similar device as usual.
Although the Metaverse development Dubai as a whole is still primarily hypothetical, there are many platforms available right now that could play a significant role in the finished product. Take Decentraland as an illustration. This metaverse-based virtual reality platform allows users to socialize, purchase real estate and other assets, and essentially create their own worlds.
Within its ecosystem, Decentraland uses decentralization, cryptocurrencies, blockchain technology (particularly Ethereum), and NFTs. This interaction has frequently resulted in confusion between Web3 and the Metaverse. Naturally, Web3 makes use of these technologies as well, but it does so across a wider spectrum of services and applications than just those that support virtual reality.
Many people are unsure of what Web3 and the Metaverse will look like when they are fully developed, which causes misunderstanding, presumptions, and even rumors. It is quite natural why a large portion of the general population still does not fully comprehend the fundamental ideas underlying the Metaverse and Web3!