According to GeeksforGeeks, Web 3.0 is the next era of evolution, which involves modifying the web into a database. After focusing on the front-end user experience all these years, Web 3.0 will be focused on the back-end systems architecture and the shared internet.

Indian Ministry of External Affairs predicts that Web 3 can contribute US$1.1 trillion to the GDP by 2031, which is an optimistic number. The question is how it can be utilized to its full potential despite its nuances of being at an early stage.

The following characteristics are presented for Web 3.0, but most can also be correlated to the fundamentals of decentralization.

1. Cybersecurity

Data protection has been a challenge since the advent of Web 2.0. Businesses easily capture their customers’ behavioural data, and sometimes, they may fail to keep it in a highly secure environment. Web 3.0 prioritizes securing your data in the development cycle, or is considered from one of the beginning stages.

That being said, cybersecurity continuously evolves based on cyberattacks, defences, and protection. The foundation of cybersecurity, hence, still remains the foundational aspect and holds up legacy best practices registered over time. For example, default tactics like encryption/decryption and zero-trust frameworks can be incorporated and adapted further for great effect.

2. Open, Inclusive, and Composable

Composability is a design characteristic that helps elements of a system connect to other systems. It’s designed so that it can also be iterated with respect to the counterpart system. MahaDAO, for example, is highly composable because it’s an open-source project. It also has in-depth documentation where developers and even non-technical readers understand its upcoming integrations with other platforms.

Composability is one of the foundational features of Web 3.0. Smart contracts on the internet can be assembled as LEGO pieces as required in multiple ways. The power of composability is magnified with the contribution of open communities of developers and users who modify and build on top of the already created smart contracts, so they don’t have to make it from the beginning.

3. Accessible and Efficient

Decentralized data storage will ensure the ease of accessibility to users due to multiple backups in case of system failure.

Moreover, the government or any central organization cannot stop services or websites unless the majority in the respective community votes it out. Hence, the chances become minimal when it comes to account suspension. Therefore, the possibility of account suspension and denial of distributed services will be reduced.

Coming to the accessibility part, your data will be accessible anywhere and from any device. As Web 3.0’s fundamental principle is to expand and scale interaction and enhance the quality of information flow to trusted data servers

This will happen because Web 3.0 will enable us to interact with any machine without passing through fee-charging middlemen.

4. Trustless Environment

A trustless Environment ensures that the system operates without a central authority or intermediaries, so there are zero requirements to trust anyone else in the network. Each member in the network has the exact same data that is translated to a distributed ledger. Hence, it is next to impossible to alter or corrupt any member’s ledger, as the other members in the network will reject it.

Several key statistics demonstrate the potential of Web3 to be a trustless system:

Decentralization: One of the key aspects of Web3 is its decentralized nature, which means that any single entity or organization does not control it. This decentralized structure makes it more resistant to censorship, fraud, and other forms of abuse.

Blockchain technology: Web 3.0 relies heavily on blockchain technology, a decentralized and distributed ledger that allows for secure, transparent, and immutable record-keeping.

Smart contracts: Web 3.0 also uses smart contracts, which are self-executing contracts with the terms of the agreement between buyer and seller being directly written into lines of code without any intermediaries.

Increased transparency: Web 3.0 also provides increased transparency, as all transactions and interactions are recorded and verifiable on the blockchain. This level of transparency can help to build trust between parties and reduce the potential for fraud or abuse.

5. Self-governed

Globalization connected and decentered technical specializations and governance processes. Policy-making is no longer dependent on a single individual or an entity. Alternatively, communities and societies are becoming a diverse set of private decision-makers.

These changes collectively give us an idea/conceptualization of what the government is like. The advent of blockchain technology relating to Web3 can contribute to building secure democracy and self-sustaining governance.

In this form of decentralized governance, also known as a DAO (Decentralized Autonomous Organization), there are multiple parallels of societies where stakeholders share fractional ownership. These stakeholders can create proposals, vote, and form the ideal people-driven community.

6. Sustainable

Web 3.0 has the potential to enable more sustainable and efficient systems in a variety of sectors by enabling decentralized and peer-to-peer interactions that reduce the need for centralized intermediaries and reduce waste and inefficiencies.

A study by the Massachusetts Institute of Technology (MIT) found that blockchain technology has the potential to significantly reduce carbon emissions in supply chain management. It is estimated that using blockchain to track food products could reduce up to 50% of carbon emissions compared to traditional methods.

Additionally, the World Economic Forum (WEF) found that blockchain could create more sustainable financial systems by enabling the creation of digital currencies that are less resource-intensive than traditional fiat currencies. The WEF estimated that adopting blockchain-based digital currencies could lead to a reduction of up to 80% in energy consumption and greenhouse gas emissions in the financial sector.

Some Pitfalls

Web 3.0 faces major challenges when it comes to mainstream adoption. It’s friction and a learning curve. Even the simplest task can be an undelightful experience for the first-time user if not done sequentially.

While this one-of-a-kind technology has many advantages, we also have some serious concerns about it. Here are a few of them

1. Web3 Is in Its Infancy

There is no broad infrastructure to most Web 3.0 apps like there is with the current internet. There are major factors like widespread development, consolidation, and accessibility that need fixing before going all gaga about Web 3.0.

There are still questions about widespread adoption needing to live up to its pseudo hype. Can Web3 scale sustainably and shift masses from Web 2.0?

2. Privacy Protected

Web3, by nature, is built on the principle of transparency. The Secrecy Network’s co-founder Tor Bair quoted:

"Web3 requires you to give up privacy entirely. NFTs and blockchains are all public-by-default and terrible for ownership and security."

There are security and ownership concerns that go beyond data. Anonymous transactions on a distributed ledger with ample risk, scammers building malicious smart contracts, and legal protection are a few examples of when things can go south.

Web3 has immense potential to organize information with blockchain technology, keeping regulations and privacy issues as the major factors.

3. Complicated Functionality

Web 3.0 is complicated to understand because of its many nuances, and since it is in its nascent stage, there are very few legitimate learning platforms to learn about it. One of them I can vouch for is codementor.io

As time passes, the functionality will ease up, directly affecting the widespread applications of Web3.

Wrap up

Web 3.0, no doubt, will unimaginably bring disruption. Yet it must be partially replaced with Web 2.0, our current major web technology. It will be interesting in the coming years to witness the world-changing technology and be a part of communities beyond anyone’s nationality and religion.

The future is changing at an incredible rate. Virtual reality, machine learning, NFTs, cryptocurrencies, and DAOs are all set to come together with decentralized technology. While it is safe and reliable, the shift in mindset will encourage us to explore this topic further.