🔥 5 Reasons Why Web 3.0 will Fail?
Do you really need to waste your time learning Web 3 if it is just a failed idea?
Intro
For the majority of people, Web 3.0 sounds like one more buzzword used to promote crypto scams or get a piece of hype. For others — it is decentralized web applications where a network of people control their own slice of the internet. Where the data is managed with smart contracts and crypto, rather than owned by Google, Meta (Facebook), and Amazon. The idea looks quite romantic but is implementation realistic enough? Or it will remain only in the dreams of the crypto subculture and never become mainstream. We are going to answer this question, but first, let’s look at the downside of Web 3.0 perspectives.
1. Web 3 is Chaotic
The main feature of Web 3.0 is decentralization, which means the web application is stored in a blockchain. The owner is all participants of blockchain, and they decide on the product changes through the consensus.
To be more fluent with terminology, take a look at this article.
The main point is that there is no single authority that takes responsibility for the data. There are no laws or regulations to define what a program or content can be published. It will be a huge headache to control it and find who will be responsible for harassment and scam content. The regulation is far away from technologies and it will make more scammers find out new ways to abuse the system.
2. Web 3 is Hard to develop
The Web 3.0 applications are called DApps, or decentralized applications. The codebase will be distributed across the blockchain and the data stored in peer-to-peer networks. There are more issues coming from this architecture:
- The consensus approach is slowing down development;
- The application will depend on the particular blockchain that may have some issues;
- Depending on third-party tools that provide services to build the app (such services are still very new and didn’t prove themselves in long run);
- Debugging and testing problems.
3. DApps are not actually decentralized 😦
Technically — yes, DApps are residing in blockchain and fueled with crypto, but some had to create this blockchain campaign and launch the token. If you take a look at the stats:
You will notice that a large part of the blockchain industry is controlled by vulture capitalists and silicon valley insiders. If you are planning to build your Web 3.0 app in some of the blockchains, be aware that it can be shot down anytime by the manipulation of some limited group of people who own the major crypto market.
4. No benefit for mainstream businesses
Theoretically, any web application can be built using the Web 3 stack. Well, cryptocurrency, blockchain, decentralization sound great, but what is the point to convert your business to a decentralized application, it is equal to giving away your assets for no reason. There is no clear understanding of why everyone has to do it, for example, banks. Too many people are working in the financial industry, and making life on it, and suddenly, they have to give up their job and business. Blockchain technology is powerful and perspective, but it will take time to find the best use of it.
5. Crypto crush will ruin all Web 3 perspectives
Cryptocurrency (tokens) — are the main source of payment for any transactions in the blockchain, and there is no way Web 3 can exist without it. And cryptocurrency doesn’t bring any other values, you can not buy a house or car using crypto or NFT. It makes the crypto market quite fragile. Ironically, it exists only because of groups of enthusiasts and speculators. On the other hand, the price of some cryptocurrencies is skyrocketing without any meaningful reason. Such a bubble can explode at any time, and a domino effect will make Web 3 fade in the past.
Conclusion
There are still a lot of issues to solve in Web 3 to make it more human-friendly. For some people, it will be a major argument to exclude such technologies from their life, because such a future will never come true, and they will be right. For others, it will be a huge opportunity to make this future closer and take a benefit of it. Some smart human said: “Pessimism sounds smart, but optimism makes money.”
And if it goes mainstream you will be glad that you started early.
Thank you for reading, let me know if you learned something new. If you don't want to be scummed by crypto, follow me on medium and learn more about Web 3.
