Technology is changing a lot of things. At the same time, rarely does anything operate in a vacuum.
We have a lot of moving parts right now. When looking at the next generation Internet, we have to realize how far this can extend.
Over the last decade, broadcast television got hit hard. We see this with the plight of cable news and sports networks such as ESPN. There is a generational component to this along with the fact there are other options.
We truly are in the attention economy. For every hour someone spends on a platform like YouTube, that is an hour that use to be the property of broadcast television.
Now, we have discussion about Web 3.0 emerging. This is something that carries a lot of promise. Also, like most things with technology, it will unfold in ways we do not imagine.
That said, there are a few things we can focus upon as they appear to be constant.
In this article we will highlight the most important aspect to the transition to Web 3.0: video.
Video Is King
Microblogging. Payment systems. Long form content. Gaming.
There are a lot of discussions pertaining to Web 3.0. People often focus upon different aspects. This is not a mistake. The tentacles of this are likely to be enormous.
One thing that get overlooked, for the most part, is video. There is a problem with this: it is one of the most valuable mediums. By turning attention to other areas, the value system is lagging.
When we look at just the U.S. market, this is what we see:
Notice how the total revenues are 4x in video as compared to gaming. It is almost 5x audio. This is an important concept to keep in mind.
Video is also the most consumed media there is. In fact, people watch nearly the same amount of video on a daily basis as they do sleep.
This means that video has the largest revenue per hour of consumption when compared to the other leading media forms. 
Video is king whether it is broadcast media, streaming, or social video (posts on YouTube or TikTok).
Basically, this has to be a major area of focus for Web 3.0.
Attention And Monetization
It is no surprise that this medium was very profitable. We know the revenue generated by major media companies, most of whom concentrate on video. Television was one of the industries that has the most impact. This was the case for decades.
Now that it is faltering, with broadcast dying and streaming not being the Holy Grail many believed, there is enormous opportunity. We already see people like Tucker Carlson essentially forming their own broadcast networks. The numbers he pulled by posting his stuff on Twitter is incredible.
Consider the fact that he does an order of magnitude greater on each episode than the cable news shows regularly pull.
In other words, there is big money in attention. This is something that Google and Facebook learned long ago.
This is another key component to Web 3.0. Getting eyeballs is important but so is keeping them.
One of the key metrics online is time on site. Having people return to the website and spend minutes on each page is crucial. Video does this.
Web 3.0 does hold one advantage over Web 2.0: tokenization.
The fact that platforms can reward content creators in ways that is presently not available to the existing media players is a difference maker. Ultimately, the corporations dealing with legacy systems are tied to their existing business models.
TikTok
The story of TikTok is fascinating.
This went from nothing to massive player, seemingly overnight. Of course, the platform is a decade old so that was nothing more than appearance.
However, there is a lesson in here.
It is estimated that TikTok is now worth over $65 billion. This is roughly the market capitalization of PayPal.
As a comparison, there are only 3 cryptocurrencies with a market cap that large: Bitcoin, Ethereum, and Tether with the last one being a stablecoin.
We often discuss the merging of social media and finance. Consider the explosion in value that TikTok would have if there was an additional layer of monetization like with Web 3.0.
This would certainly be worth a few hundred billion dollars if financial services were interwoven into the platform.
Video Is The Trojan Horse
Video is the gateway for Web 3.0.
The market is absolutely enormous. We can see from the stats on sites like YouTube it is only growing. Video creation and editing tools are becoming more robust as well as easier to use.
Shorts are taking off. Every platform is going to require this to have any chance at this. Being able to provide video sharing and viewing is essential.
Ultimately, this is a feeder system into the financial aspects of the ecosystem. While Web 2.0 like Twitter focuses upon payments from ads, Web 3.0 has the ability to integrate a host of financial services into the platforms. After all, if it is tied to blockchain, this is an inherent feature of the system.
The process looks like this:
- get people in using the social media services (remembering video is king)
- distribute the token through the on platform activity
- provide services that allow people to engage in DeFi opportunities with the tokens received
This is how projects are going to be able to tap into the incredible valuations that come with these types of platforms.
Even garnering a small amount of what the major players get will skyrocket these projects to the head of the crypto class.
Overall, the crypto numbers are small and waiting for something to start the shift. Video is a great way to kickstart the process.
After all, it is what people consume along with carrying the greatest value.
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