Cryptocurrencies are a revolutionary form of digital money that has been gaining in popularity in recent years. Web 3 cryptocurrencies are the newest iteration of these digital coins and offer users a number of unique benefits.

Web 3 cryptocurrencies are based on the latest blockchain technology and provide users with a secure, decentralized, and private way to store and transact digital assets. 

These coins are currently being used for a variety of applications, from digital payments to decentralized finance (DeFi) and beyond. 

Web 3 cryptocurrencies provide users with a reliable and secure way to store and transact value without the need for a centralized authority or third-party intermediary. 

With the rise of these digital coins, there has been an explosion of innovation in digital finance, providing users with various options for managing their finances.

In this article, we’ll dive into the following:

• Explain what Web3 cryptos are
• Sneak peek at the hottest coins in the market

What is Web3, exactly?

If there is a term that got everyone confused from the first moment it is Web3.🤷🏻‍♀️

Web3 is usually differentiated from Web 3.0, which is the next level of the global web, also known as the semantic web where people can have the ability to “read, write, and possess”.

Instead of the Web2 term, the phrase Web3 is used to depict the modernized version of the internet, which is intended to liberate online users from depending on Web 2 organizations (centralized intermediaries who have earned a bad standing for taking advantage of users’ rights to privacy and liberty of speech for monetary gain) by substituting them with decentralized service suppliers in its place. 

This is comparable to how Bitcoin and other digital currencies have eliminated the need for people to use banks and other financial organizations when transferring or keeping value.🤑

Web3’s architecture offers users the chance to guarantee their information is safeguarded from third-party access and manipulation, and to decide how to monetize their personal data instead of giving it away to tech giants to use for targeted ads. 

Similarly to other public blockchains, network participants are given Web3 cryptocurrencies as an incentive to share their resources to keep the network infrastructure running.

 

What are Web3 cryptocurrencies?

Cryptocurrencies of Web3 are a novel type of digital money that reward people who contribute to the development of a new decentralized internet. 

These tokens, which are integral to Web3 projects, are given out to network collaborators (consumers, verifiers, service providers, content developers, and more) as recognition for their help.

Web3 cryptocurrencies make use of both smart contracts and blockchain technology, enabling creators to obtain a more equitable share of income such as commissions and royalties since Web2 businesses such as Meta, Spotify, and YouTube no longer take the majority of revenue for offering a centralized platform.

 

What is the purpose of Web3 cryptocurrencies?

Cryptocurrency connected to Web3 technology is employed to motivate a variety of services that were previously managed by centralized technology businesses.

Here are some prime examples of Web3 crypto tasks that are endeavoring to create the following era of the web:

👉🏻Helium (HNT) – This network gives a decentralized counterpart to-peer remote system.

👉🏻Chainlink (LINK) – Chainlink is a blockchain go-between that permits savvy agreements to get to significant off-chain assets, for example, information feeds, web APIs, and conventional bank installments.

👉🏻Filecoin (FIL) – Filecoin is a decentralized stockpiling system where clients can lease out their extra hard drive space for Filecoin tokens. Consider it as the Web3 adaptation of Amazon Web Services or Google Drive.

👉🏻Theta (THETA) – Theta is an appropriate network intended for video streaming, which permits clients to share data transfer capacity and register power in a shared way.

 

Web3 cryptos to keep an eye on in 2023 👀

Despite the crypto winter that started in 2022, numerous Web3 projects have been created. 

Unfortunately, a decrease in token values, bankruptcies, and the disappearance of big players like FTX, who heavily invested in Web3 technology, may lead to the termination of these projects. 

Therefore, it is advisable to be cautious when investing in a bear market and only invest in Web3 cryptos that have proven network effects, utility, and ongoing traction.

You can find a list of the top Web3 tokens on the official website of Coin Market Cap.

 

❌I would like to emphasize that these are solely my own personal observations and absolutely not to be taken as financial advice!❌

 

Chainlink (LINK)

 

 

Chainlink (LINK) is an oracle network that links blockchain networks and real-world data. It is a highly praised crypto project due to its use of smart contracts to access off-chain data sources such as data feeds, APIs, banking payment networks, and more. Several decentralized protocols have adopted Chainlink’s price and market data feeds for their platform. Despite its price, Chainlink has started to increase its activity and has recently launched LINK staking, making it an attractive option for those looking to gain passive income from investing.

 

Filecoin (FIL)

Filecoin, which is built on blockchain technology, allows users to store many various forms of data on a decentralized platform, similar to the way Amazon Web Services (AWS) works. People who provide the hardware resources needed to store the data are compensated through the use of FIL coins. Filecoin had a successful Initial Coin Offering (ICO), raising $200 million, and many believe it will be an essential part of Web3, where decentralized storage is a critical feature.

Polkadot (DOT)

It’s no mystery why Polkadot (DOT) is the leader in the biggest Web3 cryptos by market cap. After all, Gavin Wood, the creator of Polkadot, was the originator of the term “Web3” in 2014 and established the Web3 Foundation to offer funds to developers. 

Polkadot (and its “testing network” Kusama) is the realization of Wood’s objective for a decentralized web, a multi-chain platform that is able to join together publicly accessible and confidential chains (called parachains) through its Relay Chain in a secure, immutable and transparent way.

 The native asset of DOT, DOT, is utilized to encourage services for operations, security, network governance and connecting tokens for use among parachains.

 

In conclusion, Web3 is an innovative technology that is happening faster than we think. It is a new, decentralized type of internet, which has the potential to solve many of the problems that arise from traditional centralized networks. Web3 takes advantage of distributed ledger technologies, such as blockchain, to enable trustless, direct peer-to-peer interactions without the need for any centralized authority. This allows for a more secure, efficient, and cost-effective way of conducting online transactions.

The rise of Web3 has created a new wave of entrepreneurs who are taking advantage of the opportunities that this technology offers. More and more businesses are looking to Web3 to provide their customers with a secure, efficient, and cost-effective way of conducting business. 

The potential of Web3 to revolutionize the way that we do business is huge and more and more 

people are recognizing this potential.

As more and more people are beginning to understand the potential of Web3, the technology is continuing to grow and evolve. 

This is creating a whole new realm of opportunities for businesses and developers alike. Web3 is here to stay, and it is rising faster than we think. 

We are only beginning to scratch the surface of what this technology is capable of, and the future of Web3 looks very bright.⚡️