By John Sarson, CEO | Sarson Funds, Inc
Exciting changes are afoot, poised to enhance our online experience in numerous ways. These transformations are unfolding rapidly, driven by the explosive growth of Web3.
The Explosive Rise of Web3
Our research at Sarson Funds reveals a remarkable phenomenon in the digital landscape. Web3 is surging, giving rise to an astounding number of community groups and businesses, with over 300 new communities forming daily across the globe. To put it in perspective, the Ethereum blockchain alone hosts over 300,000 such groups, and this figure doesn’t even encompass the multitude of NFT communities emerging daily.
Web3 communities are springing up around diverse themes, including artists, sports teams, gaming communities, professional networks, private companies, and more.
Demystifying Web3
In simple terms:
- Web 1.0: You visited websites for information about products or data.
- Web 2.0: You visited websites for product purchases or photo hosting.
- Web 3.0: You’ll visit websites that connect to your “Digital Identity.”
So, what’s a Digital Identity? Currently, it can encompass various elements, from cryptocurrency holdings and social profiles to art collections, medical records, contracts, and more. The distinguishing feature is that your data remains secure, impervious to misuse or loss by third-party tech companies. It’s not stored on the application you connect with, nor is it on your device. In fact, your digital identity is safely distributed across numerous independent yet coordinated blockchains.
Just as Bitcoin empowers individuals by reducing the influence of banks and governments, Web3 utilizes the same technology to regain control over our personal information from major tech corporations. This development marks a significant win for users.
Moreover, these blockchains offer nearly impenetrable security and specialized features tailored to specific applications. High-speed blockchains cater to fast-paced processes, while flexible ones, like Ethereum, accommodate more common applications.
With Web3, your Digital Identity remains under your exclusive control, accessible only to you and the applications to which you grant permission. This remarkable feat is made possible through the groundbreaking technology known as Blockchain, which also underpins Bitcoin.
A Bright Future with Web3
In the future, we won’t need to sign into websites or social platforms; we’ll simply connect. Our data accompanies us seamlessly from one platform to the next, be it the doctor’s office, a car dealership, our favorite gaming platform, or a metaverse. We decide the permissions each platform requires to provide its services, and we grant no additional access. When we depart, our personal data departs with us, leaving nothing with the provider to misuse or sell.
Web3 holds immense promise, particularly for companies that embrace this technology. Recognizing this potential, iconic brands like Starbucks, Nike, and even Slim Jim have launched Web3 communities.
Unlocking Benefits for Companies
Web3 companies can execute the same business processes as Web2 counterparts, such as selling lessons or subscriptions, but with a key advantage: they bypass traditional payment systems and their associated fees. These companies can also issue digital certificates to customers as NFTs, ensuring that only holders of the right credentials can access specific content or attend events, whether online or in real life.
Moreover, being a Web3-enabled company, connected to your customers’ crypto wallets, enables you to reward users with custom token giveaways for various actions, from passing a test to referring friends. This fosters novel methods of building and sustaining active membership communities while delivering enhanced value to users.
In a world where our lives increasingly unfold online, especially in this post-COVID and post-economic era, the internet becomes an integral part of our lives. It brings us closer, offers joy, and fosters connections. If you’ve ever shared a funny video with a friend or relative, you’ve contributed to digital joy. And in our quest for deeper connections, Web3 paradoxically uses technology to bridge the gap, offering meaningful solutions.
The Web3 revolution is upon us, promising a future where digital experiences are more empowering, seamless, and rewarding than ever before.
Disclosures: Not investment advice. It should be assumed that Sarson Funds or its affiliated managers hold positions in all projects that are discussed. It is not possible to invest in any project directly through Sarson Funds, Inc. or its affiliated managers. Any investment product offered by managers affiliated with Sarson Funds should be assumed to be only available to Accredited Investors and subject to the individual terms and conditions of that offering including but not limited to those eligibility requirements associated with U.S. Securities Regulation D, section 506c. Talk with your financial advisor before making any investment decisions or have them contact Sarson Funds directly at info@sarsonfunds.com
