Issue 7: What We Learned about Web3 Utility ???

1. News of the Week ??? ∞
2. What We Learned about Web3 Utility ??
3. Thailand Blockchain Week ?? ???? ??

News of the Week ??

??? The Week In Crypto Policy - House Speaker Race & Transaction Reporting Bill ??

??? Jack Butcher and Snowfro Collaborate on Snowpepen ??

??? Jury finds Sam Bankman-Fried guilty of all seven charges.?? ??

Recapping 2019-2023 in Web3: What We Learned About Utility ???

The years 2019-2023 have seen a remarkable evolution in the Web3 space.

Throughout the bear market, spanning from market peaks to valleys, highs to lows, we'll examine the trajectory of the role of utility in shaping, creating, and sometimes even challenging Web3 projects. Frankly speaking, let's delve into the positive aspects, the drawbacks, and the challenging aspects of this journey.

From peaks to valleys, highs to lows, we'll explore the role of utility in Web3 – discussing the good, the bad, and the ugly. Let's fucking go! ??

Here's a recap of what we've learned about utility, the pros, and cons, as well as the successes and failures during this period:

? Pros:

1. DeFi Expansion: Decentralized Finance (DeFi) continued to grow, offering a wide range of financial services such as lending, borrowing, trading, and yield farming. DeFi platforms provided users with increased accessibility to financial products and services.
2. NFT Evolution: Non-Fungible Tokens (NFTs) evolved beyond art and collectibles, with utility cases expanding into gaming, virtual real estate, and intellectual property rights. NFTs have empowered creators to monetize their work directly.
3. Cross-Chain Solutions: The development of cross-chain protocols and bridges has enabled interoperability between different blockchain networks, promoting a more connected Web3 ecosystem.
4. DAO Governance: Decentralized Autonomous Organizations (DAOs) gained prominence, demonstrating the power of community governance and decision-making in shaping the direction of projects.
5. Web3 Infrastructure: Improvements in Web3 infrastructure have led to enhanced scalability, security, and user-friendliness, making it more accessible to a wider audience.

? Cons:

1. Scalability Challenges: Scalability issues continued to plague certain blockchain networks, leading to high transaction fees and slow confirmation times, impeding mass adoption.
2. Regulatory Scrutiny: Governments worldwide increased their scrutiny of the Web3 space, introducing regulatory complexities and compliance concerns, affecting the utility of some projects.
3. Environmental Concerns: The energy consumption of Proof of Work (PoW) blockchains like Bitcoin remained a topic of environmental debate, prompting calls for more sustainable consensus mechanisms.
4. Speculative Risks: Rapid price surges and subsequent corrections in various Web3 assets, including cryptocurrencies and NFTs, highlighted the speculative nature of the space.
5. Failing to Deliver the Utility: Some NFT projects were created without a clear utility or real-world application. They focused solely on creating digital collectibles or art without addressing actual problems or needs. In the absence of a practical use case, these projects often struggled to gain traction beyond the initial hype.
6. Overemphasis on Speculation: Many NFT projects were driven by the speculative frenzy of the market, with participants hoping to profit from quick price appreciation. This emphasis on short-term gains led to a disconnect between the project's purported utility and the primary motivation of participants, which was often financial speculation.

Projects That Succeeded ? and Failed ?

? Success Factors:

• Utility-Driven Projects: Projects with real-world utility, such as DeFi lending platforms, NFT marketplaces, and DAOs, thrived. These projects offered tangible value and addressed specific needs.
• Community Building: Projects that fostered strong, engaged communities played a pivotal role in driving adoption and trust. Community support often translated into successful projects.

? Failure Factors:

• Lack of Utility: Projects without a clear utility or real-world applications struggled to gain traction and were often labeled as "hype" projects, failing to deliver lasting value.
• Overemphasis on Speculation: Projects that focused solely on token price appreciation without building a solid foundation for utility faced the risk of collapse during market corrections.

Next Iteration of Web3 Utility ∞

The next phase of Web3 utility is expected to build upon the lessons learned and address previous challenges.

This includes:

1. Scalability Solutions: Further development of layer 2 solutions, sharding, and faster consensus algorithms to enhance scalability and reduce congestion.
2. Sustainable Practices: A continued focus on sustainability with the adoption of greener consensus mechanisms, environmental responsibility, and eco-friendly practices.
3. Regulatory Adaptation: Ongoing efforts to collaborate with regulators, adapt to evolving regulations, and provide clarity to the industry.
4. Enhanced Governance Models: Improvement of DAO models and community governance structures to ensure secure, inclusive, and efficient decision-making.
5. Interoperability Advancements: The expansion of interoperability solutions to create a seamless connection between various blockchain ecosystems

Bringing Trust Back to the Web3 Ecosystem ??

Restoring trust in the Web3 ecosystem is crucial for its long-term success after all the likes of SBF , Luna or 3AC , and every other scam left us with a very damaged and misunderstood reputation. Lots of PR is in dire need as we separate the technology from the bad actors who exploit it. In order to do that and regain trust in the Web3 space, a collective effort needs to ensue based on the following factors:

1. Transparency: Projects should maintain transparency in their operations, code, and decision-making processes, as well as undergo regular audits.
2. Regulatory Cooperation: Collaboration with regulatory authorities to establish clear guidelines and ensure compliance.
3. Community Empowerment: Prioritizing community involvement, accountability, and governance to build trust and commitment.
4. Sustainability: Continued commitment to sustainable practices to address environmental concerns.
5. Education: Raising awareness and educating users about the technology, its risks, and benefits to promote informed participation.

As the Web3 space continues to evolve, the emphasis on utility, community, and trust will remain central to its success and longevity. Let's see if patterns of the past repeat or if the space as a whole is able to mature learn from past mistakes and projects then move on. ∞

Thailand Blockchain Week ?? ???? ??

Nov 10th ??

?? Upcoming Workshops ????

?? Learn More on how to grow the Web3edu ecosystem ??

?? Web3Edu LinkedIn PLN

?? Web3 Explain it to me Like I'm 5

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Join the revolution today: Advancing WEB 3.0 EDU ??

PRE-ORDER STARTING Dec 1ST ??

Welcome to WEB 3.0 EDU Ebook for Educators, the ultimate resource for joining the revolution of Web3 technologies! With this eBook, you’ll learn how Web3 technologies, such as blockchain, smart contracts, and decentralized applications (dApps), can revolutionize education and give more power to students and educators. Get informed about how Web3 can increase transparency and security in educational systems as well as reduce reliance on centralized entities. We also discuss ways to make education more equitable with Web3 technologies and create a better future for everyone in education. Get ready to learn all there is to know about this revolutionary technology and join us today in blazing the trail towards decentralization! ?

Thanks for reading ???

See you next week!

- Nick