What has Web3.0 got to do with charities?

Recently I’ve been thinking a lot about Web 3.0 (aka Web3) and its significance to what’s happening with the charity sector.

I’m not talking about the semantic web with all data being machine readable through common data formats and exchange protocols. That’s stuff best left to techies to explain. I’m taking about the human aspect of the web’s next iteration, currently forming on the foundations of peer-to-peer and consensus algorithms, a democratised web where group participation and collaboration are key, and centralised controlling hubs are a thing of the past. Hard to imagine but has the potential to completely revolutionise everything. ?

Note in my opening sentence I’ve said charity sector. And by that, I mean traditional not-for-profits set up to drive good.?For a while I’ve been going on about how things are changing around us, how the nature of change itself is changing, how we need to change or become irrelevant, and how it’s got to be total system change – everything from culture to operating model.

I know I’m generalising too much for some readers, as many charities are already innovating and changing. But humour me and let’s stick with the big picture for a minute or two!??

Last week at The Resource Alliance’s ‘Ask the Expert’ webinar, I was asked how to recruit Millennials and Gen Z to regular giving.?My response was as follows. Ask yourself this, of the biggest changes in society, the world, that have happened within the past 10 years, how many have been due to charities? Think about Black Lives Matter, Me Too Movement, Climate Change and Greta, and others. Nearly all have been down to people saying enough is enough, standing up and taking action.?They haven’t contacted charities, nor signed our petitions, and they certainly haven’t taken out regular gifts.?They’ve circumnavigated us, acted with conviction and determination, and in so doing, rallied others in their shared purpose.?

As with young people through the ages, Millennials and Gen Z have the conviction of youth and self-belief that they can change the world. I’m not being patronising, far from it, it’s powerful. But there are three big differences to previous generations. ?1. Their backs are really up against the wall with the clock running down, yet their whole futures are still ahead of them. 2. They don’t have inherent trust in us, in the establishment, why should they, what value do we have for them??3. They were born into a digital age, so they have different expectations of what is possible and acceptable. ?

So, rather than wondering how we convince Millennials and Gen Z to take out regular gifts, which is all about the value we can derive from them to meet our agendas. We should be asking of our organisations, what value we can provide to them, that helps them achieve their agendas. Rather than thinking of them as potential supporters we should be thinking of them as collaborators. And to do that, what are we willing to let go of?

Which is where it all comes back to Web3.0 for me.

Where with Web2.0, companies control the platforms, the rules of the engagement and experiences, and the cost of usage is handing over to them our data. Similarly, we have set the rules in our sector, controlling and creating the boxes that people must fit into.?

There’s an interesting phenomenon called ‘Uber’s Children’ - if we see something is possible in one category, we don't understand why we can't get it somewhere else. So, before it’s too late, with the emergence of Web3.0 should we also be thinking about Charity3.0?

My thoughts - rather than charities being the hubs through which supporters and beneficiaries interact (Charity2.0), we will become the connectors between the hubs. With Charity3.0 people will connect with people to help themselves and each other. Locations will become less relevant; communities of collaborators will be key, united and participating around shared purpose. You might be wondering how we will derive value in Charity3.0. The first and only real question we must answer is what value we can give. And then I believe the rest will follow. ?

I'm looking forward hearing leading thinkers share their thoughts on this at #IFC2023 . In the meantime, I’d love to hear your thoughts.