Here is Part 1 to the series.
In the first article, we discussed how Web 3.0 is vital to combat the eradication of jobs due to technological progress. The basis is the fact that tokenization allows for new distribution method of ownership. Instead of having to decide between the private (companies) and public (government) sectors controlling the means of production, we see a new model emerging.
This is of communal ownership. The ultimate goal is to have staking capital replace income capital which could be lost in a large scale.
The second factor is the control of the digital world, i.e. Internet.
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Why Web 3.0 Is So Important (Part 2)
Web 3.0 offers a lot of promise. At the core of this is artificial intelligence. This is one of the main component of the "next generation Internet".
As always, the issue arises with regards to who benefits from the AI. By this we are referring to the means of production.
In a world that is pushing towards abundance, this is a vital topic to get some certainty on. Unfortunately, so far, nothing presented is really viable.
We covered how we are moving towards a zero click Internet. This is going to enhance the negative impact upon jobs.
If we consider the industries that will be destroyed due to this, we can see how the next couple years could foster a major change.
Look at some of this industry that will be eradicated at the data is entered into Big Tech databases and operate at the surface level of their platforms:
- domain registrars
- digital publishers
- independent internet advertising
- web hosting
- SEO
Each of these are impacted due to the elimination of the website. This is billions of dollars in business that will be eradicated as these industries collapse.
This is one potential outcome.
Web 3.0 is the counter to this. While it does not necessarily save these industries, it does provide an opportunity to counteract the push by Big Tech.
Facebook and Google are beneficiaries of network effects. The way to reverse this is simply to remove oneself from the platforms. Here is where Web 3.0 can alter the landscape.
Most people have no stake in Web 2.0 platforms. There is no financial benefit to the individual. A few are making money through ad revenue sharing and a small percentage has stock in Meta or Google. Outside of that, everyone else is simply the product.
Of course, they volunteer to show up each day. In other words, this is a choice.
Web 3.0: Incentivization Through Tokenization
The advantage Web 3.0 has is a far superior incentive structure. Through tokenization, people can acquire stake in the platforms they are utilizing. It is a huge shift from what Web 2.0 offers.
What is going to be key is for Web 3.0 platforms to mirror Big Tech with AI integration. While it has the advantage of designing its models, Web 3.0 platforms can use their own data to train more specialized models.
Once again, we start with the question of data.
This is the new oil and Web 3.0, through its vast array of networks, can house a lot of it. There was an estimate that we are utilizing about 1/10th the database capacity that exists on these networks. Naturally, this is based upon where we stand today. Each quarter, the total capacity increases.
Platforms can pull this data and incorporate it into their operations. To be competitive, AI must be integrated. Without that, Web 3.0 is riding a tricycle while Web 2.0 is in a race car.
Here is where tokenization enters.
At some point, people must question what they are doing. Where do they stand to benefit the most? We know what Web 2.0 is going to provide due to the fact we see their business structure. No matter how benevolent they might get, very little (financially) is going to be shared with the majority of users.
Hence, providing an alternative is what Web 3.0 does.
Staking Capital
To me, the answer is clear.
Unless people accumulate staking capital, they will be screwed. Outside of this concept, every discussion surrounding the loss of income capital goes back to being at the mercy of outside forces.
Basically, people are beholden to either corporations or governments. It is ironic that people debate which is better when both screw the masses. Companies will lay people off at the drop of a hat if it is to their advantage. As for governments, will it doesn't take a Masters in history to know their track record.
Web 3.0 offers staking capital. This is what is missing from Web 2.0.
If we are moving to a time when information, even if written by a human, will be delivered to us as a summary by AI, then we can see how radically different this will be. Essentially, we are going to be moving towards a time where the content revealed is paid. Anything that is not under this category is buried.
Search engines are going to push this content way down to where it is not seen. We already see Google providing information directly into the search results. This is only going to be more commonplace.
In other words, the entire structure of the Internet is changing. We are heading towards one where the AI is the distributor of information.
So once again, do we want that in the hands of Big Tech?