Curiouser and curiouser...down the web3 rabbit hole
Issue 3: a history of the internet, features of web3 & other resources
Hi, I’m Emilie, and I’m launching this newsletter, Connection Engine, to discuss reflections and lessons on community building in a digital world. If you’re a community builder or just curious about community work, you can join the fun by subscribing below!
I have a suspicion my first interaction with web3 wasn’t all that unique: it’s sort of an out-of-body-what-am-I-reading-this-is-like-drinking-water-out-of-a-firehose feeling.
The biggest problem with web3 right now is that it can be difficult to understand, and things that are difficult to understand attract a lot of criticism and skepticism. But just because it’s difficult to understand doesn’t mean it doesn’t exist. It’s important that, if anything, we use the ideas of web3 to think about a world where our digital lives are completely intertwined with our real ones — sometimes to the point of no distinction. This will forever change society’s landscape, and we should think about the implications before it’s too late.
If you don’t think that time is coming, just take a look around you next time you’re at a restaurant. Most people will be on their phones, posting pictures of a life that only exists within the realms of a digital world and confined to a carefully-tailored digital identity. Whether we like it or not, the transition to a mostly digital world is slowly happening.
Why are we even talking about web3? Because community will play a key role in web3. Web3 will require the commitment and effort of people collaborating and voting on decisions to create meaningful change in this new world of a decentralized, self-governed internet. With the emergence of DAOs (decentralized autonomous organizations) & a decentralized web, it's important for community designers to have a general sense of what's going on in the space.
As with learning anything new, understanding web3 comes with a basic foundation of the history of the internet (including web1 and web2). So let’s dive in.
A brief history of the internet
In 1969, the U.S. Department of Defense funded the ARPANET (Advanced Research Projects Agency Network), which connected supercomputers in different cities and powered a transfer of data and information unlike anything the world had ever seen.
But there was a problem: no universal language to communicate the data.
In the 1970s and 80s, computer whizzes developed standards of protocol, such as transmission control protocol (TCP) and internet protocol (IP), to bridge this gap in communication. A network of connected devices was born, but there was still no way to interlink resources on the internet.
In 1989, Tim Berners-Lee invented the world wide web, where users could easily browse interlinked pages, interact with others, and consume content online. Web1 was born. While decentralized and free of spammy ads, web1 was also static, meaning pages had limited interactive features and made for a poor user experience.
This changed in the early 2000s, which marked the beginnings of web2: a more user-friendly experience with easier ways to generate and distribute content among social networks. Web2 is also riddled with ads, info stored in servers owned by a few tech giants, and essentially makes the user a product. We are currently in web2.
So what exactly is web3?
Features of web3
Put very simply, web3 is just the next phase of how we create, consume, and own content on the internet, powered by the blockchain and free of centralized servers. Web3 also marks the move from the creator economy to the ownership economy, in which people can create, distribute, and own their work without the middleman of large corporations.
“Web3 has the potential to unlock incredible opportunities for everyone who contributes and creates on the internet: a true Golden Age of content that we’ve all been looking forward to.” - Li Jin & Katie Parrott
Here is a basic but brilliant breakdown of the differences between web1, web2, and web3:
So what are some emerging features of web3?
Decentralization
I’ll argue that decentralization is the most important feature of web3. Users will be able to own what they produce using unique wallet addresses to log in and verify transactions on the blockchain (which no one owns). They won’t have to rely on big corporations to distribute content and see profits.
“In web3, ownership and control is decentralized. Users and builders can own pieces of internet services by owning tokens, both non-fungible (NFTs) and fungible. Tokens give users property rights: the ability to own a piece of the internet.” - Chris Dixon
It sounds promising, but the details of this are still messy: how do you organize something that itself isn’t organizable? The blockchain can help resolve many of these issues, but new technology won’t address fundamentally human problems (how do we build web3 without repeating the mistakes of web2?).
A new internet will require a new approach. Decentralization is a very important part of that approach, and one I hope will be thoughtfully considered by emerging web3 organizations.
Digital anonymous identities through avatars or NFTs
Non-fungible token (NFT): a digital token on the blockchain through which holders can access special perks. Non-fungible? It means there is nothing else like it, making it irreplaceable. Other examples of non-fungible items include diamonds, trading cards, or real estate.
Some people compare NFTs to a form of art collection, others see it as a way to opt into crypto by minting a unique token instead of buying non-unique currency. Either way, when you own an NFT, that digital token is yours — there is nothing else like it on the blockchain.
“NFTs are more than JPEG images. They are digital assets that represent art, experiences, community access, collectibles, or in-game items - all residing on the blockchain.” - Ian Kane
NFTs can also unlock a powerful means to bring people together. By minting an NFT, you are buying access to a community with utilities, benefits, and the power to vote on decisions and contribute to the project. Because NFT holders are responsible, and rewarded, for creating value, a sense of ownership translates from the holder to the community — the magic of decentralization and people-powered ventures.
If you're still wondering why anyone would buy a JPEG (trust me, I was there, too), think of it this way. An NFT acts as a unique ticket, or a membership pass, that unlocks the door to a project and community you'd like to participate in or support. With participation comes power, and with power, value. I’ll talk more about my experience and thoughts on NFTs as a community tool in my next issue.
Decentralized autonomous organizations (DAOs)
DAOs are communities owned and run by its members, built on smart contracts on the blockchain. Members of DAOs vote on changes and are responsible (and rewarded with a share of the organization’s treasury) for creating value.
“When you take away the crypto jargon, a DAO is intuitive, not intimidating. Self-organizing is our human instinct. Being in community is what enabled our survival as humans. Forming tribes improved our ability to gather resources, defend against enemies, and build collective knowledge. Coming together around a shared cause, deciding on group norms, pooling together resources, and taking action based on the greater group’s desires is not revolutionary. One might even say, it’s evolutionary.” - Sarah Wood
The metaverse
A lot of people think the metaverse is a place. Their minds immediately go to Ready Player One as they conceptualize VR worlds with avatars and pseudonymous identities. That can certainly be one way to think about it, but I challenge you to think about the metaverse as a time, rather than a place — a time when our digital identities take priority over everything else. This is already slowly happening.
“People think the metaverse is a place - but it's really about a time when immersive digital worlds become the primary way we live our lives. The metaverse is a continuation, not a new thing.” - Mark Zuckerberg
Check out this thread from Shaan Puri on why everyone is wrong about the metaverse:
Web3 is a bit like the wild west right now. Bots and hackers run rampant across an unfamiliar, lawless landscape. For what should be an innovative and exciting new phase of the internet, web3 has surprisingly archaic security practices, such as the seed phrase concept (don’t store it on your computer!). Web2 companies claim to be web3 by dropping words like “NFTs” and “tokens” into their marketing materials. DAOs lack the proper incentive design to keep members engaged and contributing. Is something that is accessible to only a small portion of the population really that revolutionary? Not to mention the volatility of cryptocurrency.
All this to say, the potential for web3 is enormous for creators and projects. Imagine being the sole owner of your work and having your output be visible, and verifiable, to everyone, but owned by no one except you. Imagine working for a community you believe in with people you believe in and getting a share of the value created through a transparent smart contract triggered and run by predetermined conditions, not people. Imagine supporting your favorite artists without having to go through third-party companies.
It sounds extremely exciting and liberating — but there is still much left to figure out and build.
Web3 resources
If you’re curious about web3, here are some more great introductory resources (found on startupy).
The Web3 Renaissance: A Golden Age for Content by Li Jin & Katie Parrott
Why Web3 Matters by Chris Dixon
Web3: in a nutshell by Eshita
Crypto in Plain English podcast
Curious Beginner’s Guide to Crypto by Peter Yang
Projects focusing on web3 onboarding:
People to follow:
Our lives may be entering more of a digital landscape, but that doesn’t remove the need for human connection. In my next issue, I’ll discuss what community looks like in web3 today (both the good and the bad things I’ve experienced) and the potential for community-powered ventures in a web3-fueled future.
Until then, thanks for being a part of Connection Engine!
About me
I’m Emilie Kormienko, community designer at startupy. Why am I doing this? To share my learnings on community work, to learn more myself, and to make new internet frens :)
Want to read more? Follow me on Twitter and subscribe to my newsletter here.
Have a community question for a future issue or just want to chat? Email me at ekormienko@gmail.com.