What Is Web3? – The New World Order of Online Commerce

Staying updated with the tech world is a never-ending job. Whether you are an IT professional, or just a common user, there is always something new to learn and understand. Tech blogs, social media monitoring services, and other means of digital content deliver ensure that you stay up to date at all times. In this article, we will try to explore and understand what is Web3. What is it? How does it work? And how can you use it? Those are some of the common questions now being asked around the term “Web3’.

What is Web3?

Web3 (https://authena.io/what-is-web3/) is a digital platform for decentralized applications, or DApp. It is an ecosystem, where developers can create decentralized applications. These applications run on Ethereum, a decentralized network that utilizes smart contract technology. The term ‘decentralized’ is used to describe the networking protocol that allows users to make direct connections without the need for third-party intermediaries. The reason web3 is now being used so much is because it’s being used as an umbrella term for a wide range of applications built on Ethereum and using decentralized networks.

How Does Web3 Work?

When we talk about Web3, we’re not just talking about Ethereum. The term is used to describe a decentralized digital network that uses the blockchain technology for a specific purpose. There are multiple ecosystems that are being built on decentralized networks, and the term Web3 is being used to describe this diverse ecosystem. Web3 actually refers to a variety of decentralized networks. The blockchain technology that powers these networks has its own use as well as its own limitations that are being addressed by the different ecosystems built on top of these networks. Among the most common networks being used for the purpose of creating decentralized applications is Ethereum. The most prominent use of Ethereum network is for the purpose of smart contracts. A smart contract, as the name suggests, is a computer code that executes automatically once the terms are met. It can be compared to a contract, where the terms and conditions are written in the computer code.