Web3 often called the “next-generation Internet,” is an authentic decentralized internet built on blockchain technology. Web3 marketplace development is emerging as a new era of technology featured with decentralized Finance (DeFi) components and fading the lines between Web2 and crypto along with MetaFi, GameFi & SocialFi.
Why Use Web3
Content on the majority of websites was typically one-way between 1994 and 2004. When making a website, a writer or coder must be able to “read” the data as if they were a user. Web 1.0 can be thought of as a read-only version of the Internet.
Web 2.0 soon arrived, allowing users to read and contribute content. Web2.0 ushered in a new era of social media and sharing apps like Facebook, Whatsapp, Instagram, YouTube, etc., and the freedom to promote its content. Most of these sites are gratis, and their users broadcast themselves for fun and profit. As of late, everyone is using the Web3 social media platform.
Web2.0 – Losing Authority
The problem arises because you said that most of these platforms are free. Nothing in this world is free, including Facebook’s claim that you can use the site without paying anything to connect with people you already know and learn about foreign places and things by reading Wikipedia. Even though Twitter, YouTube, and Google offer their services for free, they are mining your data.
The late Steve Jobs famously said, “If you’re not paying for the product, you are the product” (Founder of Apple Inc).
While it’s understandable that some people might be willing to trade their data for free services, the fact remains that you should always be aware of how your information is being put to use. Users’ privacy settings are now more flexible thanks to Web3 Development. To whom they make their posts public and who can comment on them is entirely up to them. Moreover, all chats via social media messengers are encrypted from end to end.
Web3 and SocialFi: Building the Future of Social Media
Simply put, What is SocialFi?
At first, the thought of a society run without a central authority may seem absurd. However, you’re more likely to become upset about their reality once you learn about their defenses and stoner advantages.
Web 3.0’s answer to the next generation of social networks is called SocialFi.
Users are moving away from websites and toward social media platforms, ushering in the “web 3” era.
As a result of SocialFi’s existence, a diverse group of people with different backgrounds in networking and finance will be able to create decentralized social networks. SocialFi, a blend of social media alongside MetaFi, GameFi, and DeFi, is a permanent fixture in media and Web3 development. To put it another way, it’s a term for a social media platform built on the blockchain that also has a financial focus.
Users can generate, direct, and own content on social media platforms thanks to the concept’s fusion of decentralized finance (DeFi) and Web3 social media platform development practices. There are currently hundreds of projects using it, and their combined user base numbers are in the millions.
SocialFi- A New Beginning
Decentralization, adaptability, and user agency are all features of SocialFi. In the Web2.0 era, everything happens on centralized servers, and social media companies keep users’ data for profit. What SocialFi hopes to solve with its innovative approach to social media:
Data Authority & Sovereignty
As much user data as possible obtained lawfully from the social media platform and its affiliated third parties are collected and stored centrally.
SocialFi plans to implement Web3 and blockchain technology to ensure the integrity of the user data it collects.
The development of a social media platform like Web3 can help its owner generate massive profits for businesses by publishing targeted advertisements. They gain from increased interest and traffic, generating billions in advertising revenue, while users only gain from using the platform.
Equal Rights Monetization
Several ongoing SocialFi initiatives have noted the unequal distribution of these benefits and are working to find ways for users to profit from their social capital.
Safety and Confidentiality
Traditional forms of social networking necessitate the user’s personal information (name, address, phone number, email address, etc.) being stored in the operator’s database, making the information highly susceptible to leakage at the time of account signup.
Blockchain-based Anonymized user profiles are one of the main tenets of SocialFi, a technology for building Web3 social media platforms that prioritize user privacy and security.
Web3 Disruption in Social Media
Web3 development will face challenges and how they will affect the future of social media networking.
Freedom of Speech
In SocialFi, your financial assets serve as a visual representation of your worth. Any influencers, whether newcomers or famous people, will help them increase their stranglehold on the content production industry. Content from late adopters or less proficient general users, on the other hand, is often more difficult to find.
Improved Reward System
Currently, SocialFi offers two primary ways for users to make money.
- First, you must produce content and hope your audience will appreciate it.
- Second, similar to “Play-to-Earn,” “Write-to-Earn” allows writers to earn incentives for their efforts.
Featured Web3 and SocialFi Technologies
Enhancements to the current Internet made possible by Web3 and SocialFi development include:
- Everything is verifiable
- No need to trust
- Sense of ownership
- No permission needed
- Decentralized and robust
- Monetization – equal rights
The next-generation innovation known as SocialFi combines DeFi with popular social media platforms. Learn how to take advantage of the offspring of social media and DeFi platforms with the help of a seasoned Web3 event app development company.
There’s no doubt that Web3 Development and SocialFi will be around for a while and that they’ll help make the world a better place by guaranteeing that internet users will be compensated in the future for granting permission to receive various types of online communications. Content creators should keep a portion of the profits, and knowledge should be freely shared without the aid of advanced technology.