What is Web 3.0?

March 1, 2022
Knowledge Center » Blog » What is Web 3.0?

Web 3.0 refers to the next iteration of the web, or internet. Web 1.0 is the original version from the 1990s and early 2000s. Web 2.0 is the current iteration and this term web 3.0 is talking about where we are imminently heading. The key points of this new version of the internet are decentralizing, security, transparency, and greater utility for the end-user.

Decentralized

Decentralization within web 3.0 is a term that’s used primarily when talking about financial transactions. These financial transactions are done without the need of a middle-man, such as the usual financial broker, bank, or other institution. The potential of decentralized finance is huge as it’s capable of extremely fast transactions, completely secure if you’ve done your research, and can also be used in a multitude of other ways such as high-yield savings, insuring against risk, and peer-to-peer lending.

Transparency

Since everything within web 3.0 is done using the blockchain this means every transaction is handled in the full scope of anyone who wants to look. However, this is done with anonymity so there is still a strong layer of data privacy taking place. This level of transparency allows everyone and anyone to vet out exactly what is happening at any given moment. This makes deception more difficult and can add certainty to your trades.

Web 3.0 Utility

Along with this new wave of the internet comes with it a larger scope of utility than currently exists, at least in a different way. The blockchain is capable of handling of thousands of transactions within a given second. With this in mind, there’s now a whole new way to play games, manage finances, and just browse the web by itself as well. Before Web 3.0, if you wanted to play a game you would maybe spend money to buy it, play the game a bit, then get tired of it a few weeks later and repeat the process. Although that’s still possible now, this new version of the internet has opened up the possibility of play-2-earn games. Since this new version of the web is integrated so deeply within decentralized finance, people are taking advantage of the ability to create games that are layered on the blockchain. This allows the user to actually own their content and even profit off it in the long run.

The Difference

Web 2.0 brought up an entirely new world of interactive, connected, and user-generated content to the internet. This was a huge step up from the initial iteration and is why it’s referred to as web 2.0. Web 3.0 is now taking this one step further to make everything decentralized. Giving the power really to the user to create entire worlds online and profit off of it, or just manage finances in a more secure way too.

Crypto Taxes

With all that being said, If you do decide to jump into this world of crypto and even pick yourself up some tokens, you need to make sure that you have the proper tools on hand to help you manage your financial accounting needs. One of the best solutions for you will be Ledgible.

With Ledgible, you can report and keep track of your crypto transactions with the supported integrations as you dive into the crypto space with this new information. If you want to learn more about Ledgible and get started for free, click here.

Disclaimer: The author and Ledgible do not provide investment advice and nothing in this article is meant to be taken as such. This website is presented solely for informational and entertainment purposes and is not to be construed as a recommendation, solicitation, or an offer to buy or sell / long or short any securities, commodities, cryptocurrencies, or any related financial instruments.

About Trevor English

Trevor is a technology journalist & engineer who has made a career out of engineering and technical communication. His work has appeared on Curiosity, BBC, Interesting Engineering and other sites across the web. Originally the Chief editor for Interesting Engineering back in 2016, he now works with software & tech companies, aiding them in content marketing and technical communication. Currently living in Texas, he’s also a published children’s book author and producer for the YouTube channel Concerning Reality.

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