Every time you send money to a friend, your bank communicates with card networks, settlement rails, other banks, and databases, as well as dozens of invisible systems, in just a few seconds, so that your friend receives the cash. The concept of Web3, within this familiar story, operates on the same principle; however, it eliminates intermediaries.
As a result, every time you send crypto to a friend, there’s a technology in place to ensure it’s secure and decentralized; instead of banks and dozens of invisible systems, it’s smart contracts.
Does this mean you can send money or value to your friend without the bank, and they receive that value securely and instantly? Yes, that’s what it means, but Web3 is even bigger than just that one use case.
Just a couple of decades ago, the internet was read-only, and then it became social and interactive. Now, it has evolved into Web3, a new phase where you own your data and digital assets.
So what is Web3 exactly? Robert Stevens’ article on Coindesk defined Web3 in a really Unique way: Web3 refers to a decentralized version of the internet powered by blockchain technology, where value and control shift from corporations to individual users.
There’s no doubt that it’s the next phase of the internet, where value moves peer-to-peer on public blockchains, and you hold the keys. In this article, we’ll explore how we arrived at this point, from the early web to blockchain and the numerous use cases with it, and what Web3 actually means in various contexts of the world.
By the end, you’ll see how Web3 is not just a tech buzzword but a fundamental shift, one that’s putting control back into the hands of users like you. Let’s dive in and start with the difference between Web3, Blockchain, Cryptocurrency, and Tokens.
