Web 3.0 and Blockchain Technology

Case Study – Web 3.0 and Blockchain
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Case Study – Web 3.0 and Blockchain
What is WEB 3.0?
WEB 3.0 is the latest generation of the web that allows for decentralized applications (Info, 2018). Given that WEB 2.0 is characterized by the control of platforms and applications by a few big tech companies, there has been a need to shift to a new generation of the internet that allows for competition. WEB 3.0 allows for easy entrants of participants, meaning that anyone can create and sustain a profit-making company.
What are the main differences between WEB 2.0 and WEB 3.0?
The main difference between WEB 2.0 and WEB 3.0 relate to centralization, censorship, and market domination (Info, 2018). While WEB 2.0 is characterized by centralization, WEB 3.0 is decentralized. The centralization characteristic of WEB 2.0 means that only a few companies control platforms and applications. However, with the decentralized WEB 3.0, control of data and application are in the hands of users as opposed to a few big companies. Also, unlike WEB 2.0, there is no censorship of information by major tech companies in WEB 3.0. Finally, with 2.0, there is a domination of the market by a few tech companies such as Google and Facebook. On the other hand, WEB 3.0 allows for unlimited entrants of new participants into the market. This means that anyone can start a company and generate income with WEB 3.0.
What is Blockchain Technology?
Blockchain is “a suite of distributed ledger technologies that can be programmed to record and track anything of value” (Mostazo, 2018). Blockchain technology is bound to revolutionalize how humans interact with one another because of its capacity to track and store data securely, which creates trust in the system. Blockchain technology is designed to be decentralized and distributed across a network of many computers, reducing the probability of data tampering. The decentralization of data, creation of trust, and removal of intermediaries are key features of blockchain technology that make it revolutionary. Blockchain technology is not limited to finance and banking; it can be applied to many other areas, including music streaming, wills/trusts, big data storage, identity systems, voting, and patents (Pepe, 2018).
What is a Smart Contracts?
Smart contracts are electronic contracts that execute based on predetermined rules (Goldston, 2019). Tapscott (2016 ) describes smart contracts as contracts that self-execute. Smart contracts follow "if/when…then" statements written into blockchain code and can carry out actions such as releasing money to the right parties, issuing a ticket, and vehicle registration (IBM, n.d.). Once a transaction is completed, the block is updated, meaning the transaction cannot be altered.
What is Cryptocurrency? Give some examples of cryptocurrency.
Cryptocurrency is a decentralized digital exchange medium supported by Blockchain technology (Ashford, 2023). Unlike currencies such as the US dollar or British Pound, cryptocurrency is not regulated by a central authority to maintain value. The management and maintenance of value are tasked to the distributed ...