TL;DR
Technology like the Internet is always changing and innovating. We have already used Web 1.0 and 2.0, and there is much talk about what Web3 will bring. Users of Web 1.0 received a static experience because they were unable to build modern, content-rich websites. Social media and dynamic websites from Web 2.0 brought us closer together but at the expense of centralization.
Web3 seeks to build a semantic web and offer us control over our online information. This implies that computers will have no trouble processing and reading user-generated content. Blockchain will give rise to decentralization, open digital economies, and free digital identities with cryptocurrency wallets.
The availability of 3D alternatives will increase how immersively we connect with the internet. Additionally advantageous to the consumer include effective browsing, pertinent advertising, and enhanced customer service. Smart homes that are networked and virtual assistants like Siri and Alexa employ some of the most popular Web3 technology.

Introduction

The Internet has seen a significant transformation in the last twenty or so years. From Internet Relay Chat (IRC) to current social media platforms, we have come a long way. streamlined internet banking services to sophisticated digital payments. Even brand-new Internet-based technologies like cryptocurrency and blockchain have been introduced to us. The Internet has developed into an essential component of human connectedness and engagement. Web 1.0 and 2.0 have been demonstrated so far; nonetheless, what can we precisely anticipate from Web3? Let's examine the specifics and find out what is in store for us.

What exactly is Web3?

The next generation of Internet technology, known as Web3, mainly utilizes blockchain, AI, and machine learning techniques. Gavin Wood, the creator of Polkadot and an Ethereum co-founder, coined the phrase. Web3 will provide consumers more control over their online data while Web 2.0 focuses on user-generated content that is hosted on centralized websites.
The objective of the movement is to develop open, interconnected, intelligent websites and online apps with better machine-based data understanding. Decentralization and digital economies are crucial components of Web3, as they enable us to assign value to online information. It's also critical to realize that Web3 is a dynamic idea. There is no one definition, and each person will interpret it differently.

How does Web3 function?

By utilizing artificial intelligence (AI) and cutting-edge machine learning algorithms, Web3 seeks to deliver personalized and pertinent information more quickly. Machines will be able to grasp and recommend material intuitively as a result of improved search algorithms and advances in Big Data analytics. In addition, Web3 will emphasize user-owned content and support for open digital economies.
Websites today typically present static data or user-generated content, such as forums or social media. This enables data to be sent widely, but it doesn't address the demands of particular consumers. A website should customize the information it offers to each user, much like the fluidity of interpersonal communication in the real world. With Web 2.0, users no longer own or manage this information once it is online.
Tim Berners-Lee, a computer scientist and the creator of the World Wide Web, is another important character in the Web3 concept. In 1999, he shared his vision for the future of the web, saying, "I have a dream for the Web [in which computers become capable of analyzing all the data on the Web] - the content, links, and transactions between people and computers." The "Semantic Web," which enables this, has not yet developed, but once it does, the daily operations of commerce, government, and our daily lives will be managed by machines conversing with other machines.
Since then, Gavin Wood's message and Berners-Lee's vision have come together. Here, websites and applications will have access to a vast ocean of decentralized information. When working with specific users, they will comprehend and effectively utilize that data. Blockchain provides a fair way to manage this online identity, data, and ownership.

A synopsis of the web's development

Let's examine where we are today and where we came from in order to better grasp Web3. We've already witnessed significant changes in the past 20 years:

Web 1.0

The initial Internet offered what is now referred to as Web 1.0. In 1999, novelist and web designer Darci DiNucci came up with the phrase to describe the difference between Web 1.0 and Web 2.0. Websites were created in the early 1990s utilizing static HTML pages that could only show data. Users couldn't upload new data or update the existing data in any way. Simple chat messengers and forums were the only social media outlets available.

Web 2.0

A change toward a more participatory Internet began to take shape in the late 1990s. With Web 2.0, users may communicate with websites via social media, forms, databases, and server-side processing. These tools transformed the static web experience into a dynamic one.
User-generated content and interoperability across various websites and applications have become more important thanks to Web 2.0. Web 2.0 was more about participating than it was about watching. The majority of websites had made the switch to Web 2.0 by the middle of the 2000s, and big tech had started to develop social networks and cloud-based services.

What the Future Holds for Web3

When examining the development of the Internet, a semantically intelligent web makes sense. Users were first given statically presented data. Users could then engage in dynamic interaction with such data. Algorithms will now make use of all that data to enhance user experience and customize and familiarize the web. You only need to glance at Netflix or YouTube to realize how powerful algorithms are and how far they have come.
Although still in its early stages of development, Web3 can make use of peer-to-peer (P2P) technologies like blockchain, open-source software, virtual reality, the Internet of Things (IoT), and more. Additionally, Web3 wants to open up and decentralize the Internet. Users rely on network and cellular carriers to access their personal data and information under the present system. With the development of distributed ledger technology, this may soon change, allowing people to regain control over their data.
Refer to our table below to quickly identify the key distinctions between Web 1.0, 2.0, and Web 3:

Web1.0, Web2.0, and Web3

Content User-ownership for content creators Community platforms and user-generated content Passive interaction for the user
Technologies
HTML Dynamic AI, machine learning, blockchain, HTML, and Javascript
virtual settings
None
a few simple 3D uses
Advertising in 3D, VR, and AR is intrusive (banners, etc.)
Interactive
based on user behavior-targeted
storing data
stored on the servers of individual websites
large tech giants own
spread between users
Audience
specific users
specific user communities
users connecting on many platforms and devices

Web3's primary attributes

Although Web3 acceptance is still far from full, most of its fundamental ideas have already been established. The four subjects listed below are frequently cited as being among the most crucial components of the Web3 future.

Semantic markup

Machines are getting better at comprehending the information and material that people provide over time. To create a seamless experience where meanings are completely understood, there is still much work to be done. For instance, the term "bad" can occasionally signify "good." The difficulty of a machine comprehending this can be very high. With Big Data and more data to analyze, AI is starting to comprehend what we write online better and convey it in an intuitive manner.

Blockchain

In Gavin Wood's Web3 future, data ownership, online economies, and decentralization are crucial components. Although we'll go into more detail later, blockchain offers a tried-and-true method to accomplish many of these objectives. Web3 is well suited to the ability for anyone to tokenize assets, store data on-chain, and establish a digital identity.
Presentation of 3D visualization and interaction
Simply put, the appearance of the web will drastically change. A shift toward 3D surroundings that even include virtual reality is already evident. We are already accustomed to socializing through 3D video games, and the metaverse is one space that is leading the way in these encounters. For web users, the domains of UI and UX likewise strive to deliver information in more natural ways.

Artificial intelligence (AI)

The secret to converting human-created material into machine-readable data is artificial intelligence. Customer support bots are already commonplace, but this is only the beginning. AI is a flexible tool for Web3, presenting data to us and sorting it. The best part is that AI will continue to evolve and learn, lessening the effort required for future human development.

What distinguishes Web3 from its forerunners?

The primary components of Web3 when combined should provide a number of advantages. Don't forget that the success of the underlying technology will determine the success of all of these:

1. There is no single point of control - Since middlemen are no longer involved, user data is no longer under their control. Due to this freedom, there is less chance of being subject to corporate or governmental censorship, and DoS assaults are less successful.
2. Increasing interconnectedness of information - As more items are linked to the Internet, greater data sets provide algorithms with more information to examine. By doing so, they may be able to provide users with information that is more accurate and meets their individual needs.
3. More effective browsing - Choosing the best results from search engines can occasionally be difficult. Nevertheless, they have improved over time in locating semantically pertinent items based on search context and metadata. This leads to a more convenient web browsing experience that makes it simple for everyone to locate the precise information they require.
4. Better marketing and advertising - No one enjoys being inundated with web advertisements. However, if the advertisements are helpful rather than annoying, it may be because they are pertinent to your requirements. By utilizing AI algorithms that are smarter and targeting particular audiences based on consumer data, Web3 seeks to improve advertising.
5. Better customer service - Websites and web applications must provide excellent customer service to ensure a positive user experience. But many successful web services find it difficult to scale their customer support operations because of the prohibitive prices. Users can benefit from an improved experience when interacting with support professionals thanks to more sophisticated chatbots that can speak to several consumers at once.

What role does crypto play in Web3?

When it comes to Web3, blockchain and cryptocurrency have a lot of potential. Successful decentralized networks encourage more responsible data ownership, governance, and content production. Its most important elements for Web3 include:

1. Digital crypto wallets - Anyone can build a wallet that serves as a digital identity and enables transactions. You don't have to keep your information on file or open an account with a centralized service provider. Your wallet is completely under your control, and you can frequently use the same wallet on several blockchains.
2. Decentralization - With blockchain, it is simple to transparently distribute knowledge and power across a large group of individuals. This contrasts with Web 2.0, where powerful tech companies control substantial portions of our online life.
3. Digital economies - New digital economies are created when it is possible to use decentralized transactions and own data on a blockchain. These make it simple to value and exchange online products, services, and content without the need for personal or financial information. This transparency makes financial services more accessible and gives customers the ability to start earning.
4. Interoperability - Data and on-chain DApps are becoming more and more compatible. The DApps, wallets, and tokens of blockchains created using the Ethereum Virtual Machine may seamlessly support one another. As a result, the ubiquity required for a linked Web3 experience is increased.

Use cases for Web3

Despite the fact that Web3 is still under development, there are some examples that are now in use:

Virtual assistants Siri and Alexa

Many of the Web3 requirements are met by the virtual assistants offered by Apple's Siri and Amazon's Alexa. Both services benefit from AI and NLP in order to better comprehend voice instructions from users. Siri and Alexa's AI get better at making recommendations and interacting with users as more people use them. As a result, it is the ideal illustration of a semantically intelligent web application that belongs in the Web3 era.

smart houses with connections

Ubiquity is a key component of Web 3. This implies that we can use various devices to access our data and online services. Systems that manage the heating, cooling, and other utilities in your house are now capable of doing it in a smart and connected way. Your smart home can detect when you leave and return as well as your preferred indoor temperature. It can make use of all of this data to provide a customized experience. No matter where you are, you can use your phone or other web devices to access this service.

Concluding remarks

The long path of the Internet's evolution will undoubtedly lead to many versions. Websites and applications are evolving toward a more immersive web experience as a result of the enormous boom in data that is now readily available. Web3 has yet to get a formal definition, although developments have already begun. The path we are heading on is obvious, and blockchain, of course, appears to be a crucial component of the Web3 future.