Web3 is the latest version of the internet. It's a vision of how the latest iteration of the internet (Web 3.0) will function.
Web3 is a vision of better internet. It's the latest iteration of the internet which uses blockchains, cryptocurrencies and NFTs to give ownership rights back to users of the internet.
To fully understand what Web 3 is, we first need to understand the evolution of the internet, from Web 1.0 to the current iteration and the vision for the future internet, Web 3.0.
Web 1.0 (1990-2004)
The first iteration of the internet, which began in the early 1990s, today known as Web 1.0 offered mainly static webpages on an internet that was not very well known. During this time, much of the internet and webpages were owned by universities, government institutions and companies. This first version of the internet is known today as the 'read-only' web, or Web 1.0.
Web 2.0 (2004 - Current)
The next big change in the internet came with the massive growth and popularity of social media platforms which allowed the internet to become 'read-write. In this iteration of the internet, website pages were no longer 'static' but updatable, not only by the owners of the websites but by visitors and users of the websites too.
Currently, we are somewhere between Web 2.0 and moving towards Web 3.0.
Web 3.0 - The Latest Iteration of the Internet
While still a vision of the future of the internet, Web 3.0 and its necessary components are already present on the internet.
If Web 1.0 was 'read-only' and Web 2.0 was 'read-write', Web 3.0 will be 'read-write-own'.
Web 3.0 is about a more decentralized and inclusive internet with its own currency (cryptocurrency) and its own mechanism of 'trust'.
The Architecture of Web 3.0
- Decentralization - The internet would move to a more decentralized model. Instead, the internet is owned by centralized entities, it will be distributed amongst its users. An intrinsic component of this decentralization is the decentralization of finance, DeFi.
- Trustless - Instead of relying on trusted third parties, it would operate using economic mechanisms and incentives.
- Permissionless - Non-exclusive. Every person will be able to participate in Web3.0.
- Native Payments - Cryptocurrencies, the money of the internet will be used.
The Future is Decentralized
While the term Web3 was coined back in 2014 (by Gavin Wood, co-founder of Ethereum), already many of his ideas and concepts have come into being. We are still at the beginning of what will become known as Web3 and as more decentralized projects and integrations take place, this 'new internet' will become a reality in the very near future.