As the global digital landscape has continued to undergo a radical transformation over the last decade or so, Web2 companies, particularly some of the smaller players in the market, have found themselves at a technological crossroads, one where they are being faced with the imminent reality of decentralized systems (ala Web3) revamping their operational structures completely.
However, this leap from Web2 to Web3 is not merely a technological shift but rather a paradigm change that encapsulates a host of challenges — some of which stand to potentially throttle the pace at which these companies can onboard Web3 services.
Among these challenges is the requisite shift from a corporate-controlled to a user-controlled framework, which entails a new approach to data handling and governance. Additionally, the technical expertise required for mastering new coding languages, deploying smart contracts, and ensuring interoperability across diverse blockchain platforms also necessitates a steep learning curve.
Similarly, public perception, too, plays a critical role in this transition. There have been instances where major Web2 companies have faced backlash from their respective user bases after expressing their intentions to explore certain blockchain and crypto-centric technologies. For example, Discord and Mozilla had to backtrack on their plans of integrating Ethereum within their digital frameworks after being faced with a massive outcry over environmental concerns (associated with blockchain tech).
In addition to the challenges outlined above, one of the most pressing blockades preventing Web2 entities from exploring the blockchain landscape is poor education and awareness. To this point, a swath of individuals/companies operating in the traditional tech realm are not fully cognizant of what Web3 entails, let alone the myriad of opportunities it can potentially unveil. As per a 2022 report, only 3% of internet users worldwide are currently utilizing Web3 technologies — underscoring the awareness gap pervading this space.
Moreover, another study notes that while a vast majority of users are discontent with the current Web2 landscape, owing to rising cases of data breaches and privacy intrusions, they are still not entirely ready to transition to the Web3 frontier. To elaborate, a majority of the respondents noted that they are still unclear about several core technologies (such as Non-Fungible Tokens (NFTs) and DeFi) permeating this space.
Unveiling the potential benefits associated with Web3 technologies can oftentimes be seen as a herculean task. This is where expert consultation can come to the fore. For example, as things stand, companies like AAG are offering their clients a unique blend of quality information, education, and guidance in an effort to help them venture into the Web3 arena.
Additionally, through its comprehensive education programs, workshops, and consultancy programs, AAG is actively demystifying many of the intricacies associated with the sector, ensuring a smoother transition for companies and catalyzing the evolution of the digital landscape in the process. Also, AAG’s team of seasoned industry veterans — comprised of technologists, legal advisors, and business strategists — provide clients with tailored solutions aligning with their unique needs and operational nuances.
Lastly, it bears mentioning that AAG’s holistic suite of products and services extends beyond mere consultation, providing users with access to a burgeoning support ecosystem as well as an expansive network of industry partners.
The trajectory towards Web3 seems to be much more than a passing technological fad but rather a transition toward a new digital epoch. The potential growth of the Web3 sector is staggering, with projections indicating that the industry will reach a valuation of $116.51 billion by the year 2033, growing by nearly 40 times when compared to its current valuation of $2.86 billion.
This multi-fold increase not only suggests a clear adoption of decentralized services and blockchain technologies in the coming years but also serves as a testament to the technological advancements made by the Web3 industry as a whole. Thus, with companies like AAG leading the transition brigade, it will be interesting to see what lies ahead for this burgeoning market.