November 1, 2023
Web2 has primarily focused on the progression from social to finance, while Web3 is now shifting from finance to social. This shift has led to a growing emphasis on the social element of Web3, with various initiatives such as Friend.tech and on-chain loyalty programs gaining attention.
One of the key aspects of this shift is the use of tokenization to transform social behavior. By leveraging blockchain technology, Web3 aims to incentivize and reward social interactions through the use of tokens. This has the potential to revolutionize the way we engage with social platforms and communities.
As consumer transactions increasingly move on-chain, stablecoins are expected to play a crucial role as an on-ramp and off-ramp settlement solution between decentralized finance (DeFi) and traditional finance (TradFi) use-cases. Stablecoins provide stability and liquidity, making them an ideal bridge between these two worlds.
The shift from Web2 to Web3 is not only about the progression from finance to social, but also about the transformation of social behavior through tokenization. With stablecoins acting as a bridge between DeFi and TradFi, the potential for innovation and disruption in the social element of Web3 is immense. As we continue to explore the possibilities of Web3, it is important to recognize the significance of this shift and the opportunities it presents.