WHAT ARE WEB 3 CRYPTOS
Web3 cryptos are an incoming new generation of cryptocurrency assets that are utilized to help build Web3’s fully decentralized internet.
These cryptocurrencies are the native assets of blockchain-powered Web3 projects that use smart contract technology to give web users control once again over their private data and allow them to transact without the need for Web2 intermediaries. Web3 cryptos are used as incentives to network participants to help govern, secure and grow their respective chains
What Do Web3 Cryptos Do?
Web3 refers to a decentralized version of the Internet, while Web3 cryptos are digital assets that are used by Web3 blockchain-based applications to provide specific services and rewards to users.
Web3 projects use Web3 cryptos to provide critical decentralized services, such as network infrastructure (e.g. Helium and Deeper Network), data storage (Arweave and Filecoin), bandwidth and processing power sharing (Theta for video and Render for graphics), data indexing (like The Graph), social media (Steem) now regarded as HIVE and more.
What Is the Difference Between Web3 Tokens and Coins?
The Web3 sector uses both coins and tokens to power their networks and DApps. However, it’s important to distinguish between the two.
Coins are the native digital assets of specific independent blockchains, such as Ethereum’s ETH and Solana’s SOL cryptocurrencies, and are used as a medium of exchange to run the chain and collect gas fees
Tokens are crypto assets created and hosted on an existing blockchain platform, such as Ethereum, in a standardized format such as ERC-20or ERC -721 They usually serve a specific use case for their protocol, such as Governance They leverage the security of the underlying base chain, which is extremely important for any smart contract-powered functionality.
In conclusion: The future remains bright, and remains tied to blockchain and crypto, if you know where to look.
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