Web3

Web3 is a shorthand for the idea of rebuilding internet services on decentralized infrastructure – primarily blockchains – so that users own their data and assets rather than renting access from platform companies. The term was coined by Gavin Wood, co-creator of Ethereum.

The pitch: Web 1.0 was read-only (static pages). Web 2.0 was read-write (user-generated content on centralized platforms like Facebook and YouTube). Web3 aims to be read-write-own, where the protocols themselves are open and the value accrues to participants rather than platform operators.

What Web3 Changes#

Ownership – Cryptocurrency and tokens give users portable, self-custodied assets. A user’s wallet and on-chain history travel with them across applications, rather than being locked inside a single platform’s database.

Governance – DAOs replace corporate boards with token-weighted voting. Protocol upgrades, treasury allocations, and policy changes can be decided by the community that uses the protocol.

Permissionless composition – Smart contracts on public blockchains are open by default. Anyone can build on top of an existing protocol without asking permission, so an aggregator can route through Uniswap without a partnership agreement, an API key, or Uniswap knowing it happened.

Identity – Systems like ENS (Ethereum Name Service) and on-chain attestations let users build portable, self-sovereign identity without relying on a centralized provider.

Criticism#

Web3 has drawn pointed criticism. Jack Dorsey argued that venture capital funding behind many Web3 projects recreates the same power dynamics it claims to replace: “You don’t own web3. The VCs and their LPs do.” (The LPs there are a venture fund’s limited partners, not a pool’s liquidity providers.) Elon Musk called it “more marketing buzzword than reality.”

The practical criticism has weight too. On-chain transactions are slow and expensive compared to centralized alternatives. User experience remains poor – key management, gas fees, and irreversible transactions create steep onboarding barriers. Many “decentralized” applications still depend on centralized frontends, RPC providers, or cloud hosting.

The underlying technologies – blockchains, smart contracts, token standards – work whether or not the branding survives, and most of this wiki treats them separately from the label.

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