Evolution of the Web (Web 1.0, Web 2.0, Web 3.0)

Summary

This video script delves into the evolution of the web, distinguishing between Web 1.0, characterized by static content, and Web 2.0, known for its interactive and social nature. It highlights the monetization and security issues of Web 2.0, such as data breaches and privacy concerns, and introduces Web 3.0 as a decentralized solution with verifiable autonomy, robust civic integration, and native payment systems. Web 3.0 aims to address these shortcomings by rethinking application development and operation, offering a more secure and user-centric internet experience.

Takeaways

• 🌐 The web has evolved significantly from static content in Web 1.0 to interactive and social platforms in Web 2.0, and is now moving towards a decentralized future with Web 3.0.
• 📚 Web 1.0 was characterized by static content and a read-only web experience, primarily from 1991 to 2004, with limited interactivity and mostly developer-created content.
• 🤝 Web 2.0 introduced an interactive and social web where users could easily participate in content creation without needing developer skills, leading to a broader base of creators.
• 💰 Web 2.0 applications often follow a monetization pattern that starts with user acquisition and ends with monetization, which can impact user experience and lead to data privacy concerns.
• 🔒 Security and privacy are significant issues in Web 2.0, with data breaches being common and user data often being centralized and controlled by companies without user consent.
• 🌟 Web 3.0 aims to address these issues by focusing on decentralization, offering verifiable, untrusted autonomy, and permissionless interaction, with an integrated payment layer.
• 💡 Web 3.0 applications are built on blockchains or distributed networks, forming crypto-economic protocols, which are often referred to as decentralized apps (DApps).
• 🪙 Cryptocurrencies play a major role in Web 3.0, providing financial incentives in the form of tokens to participants who contribute to the network in various ways.
• 💼 The token economy in Web 3.0 allows for new ways of building companies, where stakeholders can participate from the start, aligning incentives with user experience and offering transparency and immediate returns.
• 🌍 Web 3.0 introduces a borderless and frictionless payment system, enabling easy, anonymous, and secure international transactions without traditional financial intermediaries.
• 🛠 Web 3.0 protocols offer a variety of services such as processing power, storage, bandwidth, and identity, often with lower costs and higher efficiency compared to traditional cloud providers.

Q & A

How has the web evolved over the years?

The web has evolved through three main phases: Web 1, characterized by static content and a read-only web from 1991 to 2004; Web 2, an interactive and social web that allows non-developers to participate in content creation; and Web 3, which is focused on decentralization and includes features like verifiable, untrusted autonomy, and native integrated payment systems.

What is the primary difference between Web 1 and Web 2?

Web 1 was a read-only web with static content primarily provided by developers, while Web 2 is interactive and social, allowing users to easily create and share content without needing to be developers.

How does Web 2 enable more people to become creators?

Web 2 simplifies the creation process, allowing users with ideas to share them with the world through platforms that are easy to use and do not require technical expertise.

What are some of the monetization challenges faced by Web 2 applications?

Web 2 applications often face monetization challenges due to the pressure from venture capital investors for high returns, which can lead companies to prioritize user data exploitation for personalized advertising over sustainable growth models.

What are the security and privacy concerns associated with Web 2 applications?

Web 2 applications are prone to data breaches, and users have little control over their data, which is often tracked and stored without consent. Centralized servers also make it easier for governments to intervene and control applications.

What is the main focus of Web 3.0?

The main focus of Web 3.0 is decentralization, which aims to address the shortcomings of Web 2 by rethinking how applications are built and operated, using blockchains and distributed networks.

How do Web 3 applications differ from Web 2 applications in terms of data management?

Web 3 applications run on decentralized networks, which means that data is not stored in a single database or managed by a single entity, providing more control and security to the users.

What role do cryptocurrencies play in Web 3.0?

Cryptocurrencies in Web 3.0 provide financial incentives in the form of tokens to participants who contribute to the network, and they also enable a borderless and frictionless native payment layer for applications.

How does the token economy in Web 3 change the way companies are built and funded?

In Web 3, companies can be built around a token economy, where tokens are issued to early builders, sold to the public, and used for future payments and funding. This allows for a more aligned incentive structure and enables stakeholders to participate and invest from the beginning.

What are some examples of decentralized applications (DApps) in Web 3.0?

Examples of DApps in Web 3.0 include platforms that run on blockchains or distributed networks, such as Philo coin, Life peer, Aave, and the graph, which offer various services traditionally provided by cloud providers.

How does Web 3.0 address the issue of gatekeeping in financial transactions?

Web 3.0 allows users to make international payments and transactions directly through crypto wallets like Metamask and Taurus, without the need for traditional intermediaries, thus reducing friction and gatekeeping.

Outlines

00:00

🌐 Evolution of the Web

This paragraph introduces the concept of the web's evolution, emphasizing the significant changes over the past decade and the importance of understanding these developments. The speaker sets the stage for a discussion on how the web has evolved, where it is heading next, and why these changes matter. The paragraph also reflects on the impact of the internet on daily life and society, leading into a discussion about the ongoing paradigm shift in the web's evolution.

05:00

💻 From Web 1.0 to Web 2.0

This paragraph provides a historical overview of the web's evolution, focusing on Web 1.0 and Web 2.0. Web 1.0 is described as the 'read-only' web, characterized by static content and limited interactivity, lasting from 1991 to 2004. The transition to Web 2.0 brought about a more interactive and social web, enabling non-developers to participate in content creation. The paragraph also highlights how Web 2.0 has made it easier for people to become creators, but acknowledges areas where further improvements are needed, particularly in monetization and security.

10:01

💸 Monetization and Security in Web 2.0

This paragraph delves into the business models and security concerns prevalent in Web 2.0. It explains the typical lifecycle of popular apps, which prioritize user acquisition before monetization. The role of venture capital and the pressure to generate high returns often lead companies to prioritize profit over user experience, sometimes compromising privacy by selling user data. Additionally, the paragraph addresses the frequent data breaches in Web 2.0 applications, the lack of user control over data, and the centralized nature of these platforms, which makes them vulnerable to government interventions.

🛡️ Web 3.0: Decentralization and New Possibilities

This paragraph introduces Web 3.0, emphasizing its decentralized nature as a key difference from Web 2.0. Web 3.0 applications, often referred to as DApps, operate on blockchains or distributed networks, eliminating the need for centralized servers. Cryptocurrencies play a crucial role in these decentralized protocols, offering financial incentives for network participants. The paragraph highlights how Web 3.0 aims to reduce inefficiencies by cutting out intermediaries and creating new opportunities for participants to earn rewards and govern the protocols they use. It also touches on the introduction of decentralized payment systems and the potential for these changes to transform the way companies are built and operated.

🏦 The Token Economy and Future of Web 3.0

This paragraph discusses the concept of tokenization in Web 3.0 and how it could revolutionize the way companies are created and operated. It contrasts the traditional venture capital model with a new model where tokens are issued to early builders, investors, and contributors. This approach aligns incentives more closely with the long-term success of the project, allowing participants to have a say in its future through token-based voting. The transparency of blockchain data is also highlighted as a key advantage, offering full visibility into the project's progress and governance, unlike traditional companies where much is kept private.

Keywords

💡Evolution of the web

The term 'Evolution of the web' refers to the historical development and ongoing changes in the World Wide Web's structure, functionality, and user experience. In the video, it is the central theme, highlighting the transition from static content in Web 1 to the interactive and social Web 2, and the emerging decentralized Web 3. The script discusses how these changes have significantly impacted society and the internet's role in daily life.

💡Web 1

Web 1, also known as the 'read-only web,' was the initial phase of the internet where most users were consumers of content, and developers were the primary creators. The script describes Web 1 as consisting of static content provided by a static file system, lacking interactivity and running from 1991 to 2004. It set the foundation for the web's evolution.

💡Web 2

Web 2, or the 'interactive and social web,' is the current form of the web that most people experience. It is characterized by user-generated content and applications that are easy for non-developers to use and contribute to. The script mentions that Web 2 allows for the creation and sharing of content like videos, which can garner millions of views and interactions, emphasizing its user-centric nature.

💡Monetization

Monetization in the context of Web 2 refers to the process by which applications generate revenue, often after amassing a large user base. The script outlines a typical monetization pattern where companies initially focus on growth, then shift to profit-making strategies, which can include advertising and leveraging user data, impacting the user experience and privacy.

💡Security and privacy

Security and privacy are critical issues in Web 2 applications, as highlighted in the script. Data breaches are common, and users often have little control over their data, which is owned and managed by companies. This raises concerns about surveillance, censorship, and the potential misuse of personal information, especially in countries with strict regulations on freedom of expression.

💡Web 3

Web 3, or Web 3.0, represents the next phase in the web's evolution, focusing on decentralization. The script describes it as a shift towards applications that run on blockchains or distributed networks, offering verifiable, permissionless, and autonomous services. Web 3 aims to address the shortcomings of Web 2 by rethinking the architecture of applications to enhance security, privacy, and user control.

💡Decentralization

Decentralization is a core principle of Web 3, as explained in the script. It involves distributing the operation of applications across many nodes or servers, rather than relying on a single entity. This approach reduces the risk of single points of failure, censorship, and control by a central authority, promoting a more robust and democratic internet ecosystem.

💡DApps

DApps, or decentralized applications, are applications that run on decentralized networks as described in the script. They are part of the Web 3 ecosystem and operate without centralized control, often incentivizing network participants to provide services and contribute to the application's functionality and security.

💡Cryptocurrency

Cryptocurrency plays a significant role in Web 3, as detailed in the script. It serves as a financial incentive and a means of payment within the decentralized protocols. Cryptocurrencies like Bitcoin and Ethereum enable borderless transactions and are integral to the operation and governance of many Web 3 applications.

💡Tokenization

Tokenization in the script refers to the process of issuing digital tokens that represent ownership or a stake in a project or company. It is a new way of building and funding projects in Web 3, allowing anyone to participate from the beginning, aligning incentives, and providing transparency and direct returns on investment.

💡Blockchain

Blockchain is the underlying technology for Web 3, as mentioned in the script. It provides a distributed ledger that records transactions across multiple computers, ensuring security, transparency, and immutability. Blockchain enables the creation of DApps and the decentralized storage and management of data.

Highlights

Evolution of the web is crucial as it impacts our daily lives and society.

The web has evolved through three distinct phases: Web 1, Web 2, and Web 3.

Web 1 was static, read-only, and primarily text or image-based, lasting from 1991 to 2004.

Web 2 introduced interactivity and social features, allowing non-developers to create content.

Web 2's simplicity has enabled a broader range of people to become content creators.

Monetization in Web 2 often involves a shift from user experience to revenue generation as apps grow.

Venture capital influences the monetization strategies and lifecycle of Web 2 applications.

Data breaches and privacy concerns are prevalent in Web 2 due to centralized data storage.

Web 3 aims to address Web 2's shortcomings through decentralization and cryptographic protocols.

Decentralized applications (DApps) in Web 3 operate on blockchains or distributed networks.

Cryptocurrencies in Web 3 provide financial incentives and a native payment layer.

Web 3 protocols offer various services like processing power, storage, and identity, cutting out intermediaries.

Tokenization in Web 3 introduces a new way of building companies with aligned incentives.

Web 3 enables transparent project development with public blockchain data.

Web 3 applications can be built and funded by a community from the outset, avoiding venture capital misalignment.

Web 3's native payment layer allows for easy, anonymous, and secure international transactions.

Decentralized networks in Web 3 offer low latency and minimal transaction costs.

Web 3 promotes a more democratic and transparent approach to building and funding projects.

Transcripts

Evolution of the web.

The web we experience today is very different from what it was 10 years ago.

How is the web evolving and more importantly, where is it next?

And why is any of these important?

If history has taught us something, these changes are very important.

In this video, I'll explain how the web

has evolved, where to go next, and why it's important.

Think about how the internet affects your daily life.

Think about how society has changed as a result of the internet.

Social media platform.

Mobile app.

And now, the internet is undergoing another paradigm shift.

Web evolution.

The web has evolved significantly over the years,

and today's applications are barely recognizable from the early days.

The evolution of the internet is often

divided into three phases, Web 1, Web 2, and Web 3.

What is Web 1?

Web 1 was the first iteration of the web.

Most of the participants were consumers of the content, and the creators were

usually the developers who created the website, containing the information

provided primarily in text or image format.

Web 1 lasted from about 1991 to 2004.

Web 1 consisted of websites that provided static content rather than dynamic HTML.

The data and content was provided by a static file system

rather than a database, and the website was isn't very interactive.

You can think of Web 1 as a read only web.

What is Web2?

Most of us are primarily experiencing

the web in its current form, commonly referred to as Web2.

You can think of Web2 as an interactive and social web.

In the Web2 world,

you don't have to be a developer to participate in the build process.

Many apps are built to be easy for anyone to create.

If you have an idea and want to share it with the world, you can.

If you want to upload a video and have

millions of people watch it, interact with it, and comment on it, that's possible.

Web2 is really simple, and because of its

simplicity, more and more people around the world are becoming creators.

The current web is very good in many ways,

but there are some areas that can be further improved.

Web 2.0 monetization and security.

In the Web2 world,

many popular apps follow a common pattern in their life cycle.

Think about some of the apps you use

every day and how the following examples apply to them.

Monetization of the app.

Imagine the beginnings of popular applications such as Instagram, Twitter,

LinkedIn, YouTube, and how they differ today.

The process typically looks like this.

Company launches app.

Consolidate as many users as possible.

Then monetize your user base.

When developers and businesses release popular apps, the user experience

often becomes very smooth as the app becomes more popular.

That's why they can quickly build a foothold in the first place.

Many software companies don't think about monetization at first.

They have a strict focus on growth and new

user acquisition, but in the end they need to start making profits.

We also need to consider the role of external investors.

In many cases, restrictions on the user venture capital

and the like negatively impact the life cycle and ultimately

the user experience of many of the applications currently in use.

When a company building an application

raises venture capital, its investors often expect a return on investment

in the order of tens or hundreds of their deposits.

This means that instead of choosing a sustainable

growth model that can be maintained in a more organic way,

companies are often pushed down two paths promoting or selling personal information.

For many Web2 companies such as Google,

Facebook, and Twitter, more data leads to more personalized advertising.

This will increase your clicks and ultimately your advertising revenue.

Leveraging and centralizing user data is

at the heart of the way the Web we know and use today is designed to work.

Security and privacy.

Data breaches are common in Web2 applications.

Some websites address these breaches

and let you know your data has been compromised.

In Web2, you can't control the data or how the data is stored.

In fact, companies often track and store user data without the consent of the user.

All of this data is owned and managed

by the company responsible for these platforms.

Users living in countries that have

to worry about the negative effects of freedom of expression are also at risk.

Governments often shut down servers or confiscate bank accounts if they believe

that a person is expressing an opinion that contradicts the publicity.

Centralized servers make it easy for governments to intervene,

control, or shut down applications at their sole discretion.

Banks are also digitally centralized, so governments often intervene.

They may block access to bank accounts or restrict access to funds during periods

of volatility, extreme inflation, or other political turmoil.

Web 3 aims to address many of these shortcomings by fundamentally

rethinking how to build and operate applications from scratch.

What is Web 3.0?

There are some basic differences

between Web2 and Web3, but the focus is on decentralization.

Web3, as we know, know it today, add some more features to the Internet.

Web 3 is, verifiable, untrusted autonomy

without permission, decentralized and robust civic native integrated payment.

In Web 3, developers typically build and deploy applications

that run on a single server or store data in a single database,

usually hosted and managed by a single cloud provider.

Instead, Web 3 applications run on either

blockchains, distributed networks of many peer to peer nodes, servers,

or a combination of both, forming crypto economic protocols.

These apps are often referred to as DAPS,

decentralized apps, and the term is displayed.

To achieve a stable and secure decentralized

network, network participants, developers are motivated and compete to provide

the highest quality service to everyone who uses the service.

Cryptocur currencies are often part of a conversation when heard from Web 3.

This is because cryptocurrencies play a major role in many of these protocols.

It provides financial incentives, tokens, to anyone who wants to be involved

in creating, managing, supporting, or improving a project.

These protocols often offer a variety of different services,

including processing power, storage, bandwidth, identity, hosting,

and other web services traditionally provided by cloud providers.

People can make a living by participating

in the protocol in various ways, in both technical and non technical levels.

Consumers of the service usually pay to use the protocol,

similarly to how they would pay a cloud provider like AWS today.

Except in Web 3, the money goes goes directly to the network participants.

In this, like in many forms of decentralization,

you'll see that unnecessary and often inefficient intermediaries are cut out.

Many web infrastructure protocols like Philo coin, Life peer,

Aave, and the graph, which is what I work with at Edge

and Node, have issued utility tokens that govern how the protocol functions.

These tokens also reward participants at many levels of the network.

Even native blockchain protocols like Ethereum work this way.

Local payment.

Tokens also introduce a completely

borderless and frictionless native payment layer.

Companies like Strike and PayPal

have created billions of dollars in value by enabling e-commerce.

These systems are too complex to achieve

true international interoperability between participants.

They also require you to hand over your

sensitive information and personal data in order to use them.

Crypto wallets like Metamask and Taurus

enable you to integrate easy, anonymous and secure international

payments and transactions into Web three applications.

Networks like Solana offer several hundred

digit millisecond latency and transaction costs of a small fraction of a penny.

Unlike the current financial system,

users do not have to go through the traditional numerous friction-filled

steps to interact with and participate in the network.

All they need to do is download or install a wallet and they can start sending

and receiving payments without any gatekeeping.

A new way of building Companies tokens also brings about the idea

of tokenization and the realization of a token economy.

Take for example, the current state of building a software company.

Someone comes up with an idea,

but in order to start building, they need money in order to support themselves.

To get the money,

they take on venture capital and give away a percentage of the company.

This investment immediately introduces misaligned incentives that will

in the long run, not align well with building out the best user experience.

Also, if the company ever does become successful, it will take a very long time

for anyone involved to realize any of the value, often leading to years

of work without any real return on investment.

Imagine instead that a new and exciting

project is announced that solves a real problem.

Anyone can participate in building it or investing in it from day one.

The company announces the release of X number of tokens and give 10% to the early

builders, put 10% for sale to the public and set the rest aside for future payment

of contributors and funding of the project.

Stakeholders can use their tokens to vote

on changes to the future of the project, and the people who helped build

the project can sell some of their holdings to make money.

After the tokens have been released.

People who believe in the project can buy

and hold property, and those who believe that the project is going in the wrong

direction can signal it by selling their stock.

All blockchain data is fully public

and open, so buyers have complete transparency about what is happening.

This is in contrast to buying stock

in private or centralized companies, where much is often kept secret.