What is Web3 (Web 3.0)? A plain guide for business

What it is

Web3 is the next stage of the internet. Web 2.0 is run largely by central platforms; Web3 is decentralised and built on blockchain, so users have more control over their data and their interactions.

In Web3, users are not only consumers of content and services but active participants in them.

Image source: Zipmex

How it works

Web3 rests on three building blocks:

Blockchain: a shared record of transactions that is transparent and tamper-proof.
Smart contracts: agreements that carry themselves out automatically, with fewer intermediaries.
Decentralised applications (DApps): apps that run on a blockchain rather than on one company's servers.

People reach Web3 services from computers and smartphones, and increasingly through AR and VR devices. For businesses, the draw is stronger security, transparency and new business models.

Image source: Pirimid Fintech

Where it is used in industry

Supply chain management: better transparency and traceability, and less fraud.
Smart contracts: automating and enforcing agreements.
Digital identity: giving people control over their personal data.
Decentralised finance (DeFi): peer-to-peer transactions without central institutions.
NFTs: proof of ownership and authenticity for digital assets.
Decentralised autonomous organisations (DAOs): community-led decisions and governance.
Healthcare data: secure storage of health records that different systems can use.
Energy trading: peer-to-peer trading of energy.
Content and gaming: creators earning directly, and players owning in-game items.

How we use it

Web3 is part of what we teach business leaders. Our AI in XR Leadership Programme covers blockchain, Web 3.0, NFTs and the creator economy, and our metaverse masterclasses explain how the metaverse, blockchain and NFTs fit together. Talk to our team about training for your leadership team.

FAQ

Frequently asked questions

What is Web3 (Web 3.0)?

Web3, or Web 3.0, is the next stage of the internet: a decentralised version built on blockchain. Users have more control over their data, transactions are open and hard to tamper with, and users are active participants in content and services rather than only consumers. People reach Web3 from computers, smartphones and increasingly AR and VR devices.

How does Web3 work?

Web3 rests on three building blocks. Blockchain is a shared record of transactions that is transparent and tamper-proof. Smart contracts are agreements that carry themselves out automatically, with fewer intermediaries. Decentralised applications (DApps) run on a blockchain rather than on one company's servers. For businesses, the draw of Web3 is stronger security, transparency and new business models.

How do businesses use Web3 in industry?

Businesses use Web3 for supply chain transparency and traceability, smart contracts that automate agreements, digital identity, decentralised finance (DeFi), NFTs as proof of ownership for digital assets, and DAOs for community-led governance. Other uses include secure healthcare records, peer-to-peer energy trading, and content and gaming where creators earn directly and players own in-game items.

What is the difference between Web 2.0 and Web3?

The main difference is control. Web 2.0 is run largely by central platforms, while Web3 is decentralised and built on blockchain. In Web3, users have more control over their data and interactions, transactions are transparent and hard to tamper with, and applications can run on a blockchain rather than on one company's servers.

Does Metaverse911 offer training on Web3 and blockchain?

Metaverse911 teaches Web3 to business leaders. Its AI in XR Leadership Programme covers blockchain, Web 3.0, NFTs and the creator economy, and its metaverse masterclasses explain how the metaverse, blockchain and NFTs fit together. Companies can talk to the Metaverse911 team about Web3 training for their leadership team.

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