There’s been a lot of buzz about Web3-related innovation, from the metaverse to cryptocurrency. But what really is web3 and how can apps incorporate its technology to make their apps more marketable?

Cut through the jargon and buzz to learn what you really need to know about web3 for your app in our blog below.

What is Web3?

As web3 is still very much an emerging plane of technology, definitions differ on what it is exactly. The main point is that its decentralized — versus today’s internet, known as web2 — which is controlled by governments and corporations. To some extent, web3 is also connected to the concept of the metaverse.

Decentralized vs. centralized web

As mentioned, the current iteration of the internet that we operate on today — web2 — is centralized. In other words, the sites and spaces where people spend time online are usually owned by corporations and operated under regulations set out by governments. On the other hand, web3 is extolled for being a decentralized iteration of the internet. How does it achieve this decentralization? By integrating technologies like the blockchain that stores data online with encryption and distributed computing.


Encryption is a process of encoding information so that it can only be accessed by people who have permission to access it. For example, even if data is stored on a computer belonging to someone else or an entity — like a government agency or corporation — individuals and companies can use encryption to protect it from hacking.

Distributed computing

Distributed computing is a type of computer science that shares files across many computers or servers. This can provide another layer of informational protection, since if one copy of a file doesn’t match the other copies, then the data in that file can be flagged as invalid. With distributed computing, no one person can change data other than whoever is in control of it, unless they have permission from the person who owns the data or permission from the entire distributed network.


Putting all these concepts together, web3’s decentralization enables individuals to store data so that it is under the sole control of the person who owns it — regardless of whether it’s stored on a server owned by a corporation or controlled by a government entity. And, even if the server is shut down or wiped, the data is accessible on one of the hundreds of other computers that it’s stored on. Finally, web3’s infrastructure is also known as open. In other words, web3 is built on open-source software that is trustless and permissionless.

Web3 apps — decentralized apps or “dApps”

In case you’re wondering — there is such a thing as web3 apps. Today, most apps that people download and engage with are web2 apps. In other words, the infrastructure most apps operate on today is centralized and owned by corporations like Amazon and Google. The codebase of web2 apps are stored on servers controlled by these corporations. Furthermore, interactions between users are managed and controlled privately by the company’s server.

But, more and more, web3 apps — also known as decentralized apps or “dApps” — are being built by developers looking to create apps with codebases that are distributed across blockchain networks like Bitcoin, Ethereum and Solana. On these apps, users interact directly with one another, and they can undertake trustless transactions managed by smart contracts.

Many argue that given dApps’ decentralized architecture, they are inherently more user-oriented, democratic, and permissionless because their infrastructure is not owned or controlled by a single user or entity.

Side note: “permissionless” means you can freely join and participate in a blockchain network without first obtaining permission, approval, or authorization.

How web2 apps can leverage web3 

There are a multitude of ways to integrate web3 technologies into your app to improve its UI, inspire community and enhance its overall marketability. Here are a few:

Virtual economies

Games are often early adopters of emerging technologies and when it comes to web3 — this holds true. Many mobile games have adopted blockchain technology to create virtual economies within their worlds. These virtual economies allow players to buy and sell items with cryptocurrency. In fact, Play to Earn (P2E) games use NFTs to develop in-game assets that translate into real-world value. Gamers can collect in-game tokens and sell them for real-world currency. Not only does this inspire long sessions of play, it also keeps players coming back again and again.

Secure transactions

As mentioned above, web3 technology enables decentralized, secure transactions between parties without the authorization of intermediaries like banks or government agencies. This can incorporated in apps to give users more control over their data. For apps in finance, security and utility categories, web3 decentralization can be used to assure users their data is under their sole control. This, in turn, inspires long term user loyalty.

Payment options 

Web3-based cryptocurrencies like Bitcoin and Ethereum can be integrated in web2 apps. This lets users buy goods and services on the blockchain network. These currencies don’t use fiat money — government-issued currency that is not backed by a physical commodity, such as gold or silver, but rather by the government that issued it. Offering cryptocurrency payment solutions can help apps provide flexible payment options to their users. In other words, offering cryptocurrency payment solutions can let users pay for goods and services with currencies that cannot be manipulated by governmental inflationary policies. Again, this diversification of an app’s offerings can inspire engagement and loyalty.


Web3 is a decentralized technology that allows users to securely store their data using encryption and distributed computing. There are a multitude of ways to integrate web3 elements into your app to improve its UI and inspire community.

  • Virtual economies: Play to earn (P2E) games can use virtual economies to let players buy and sell items with cryptocurrency.
  • Secure transactions: Web3 decentralization can be used to assure users their data is secure and under their sole control.
  • Payment options: Offering cryptocurrency payment solutions can help apps provide flexible payment options to their users. In particular, payment options that don't use government-issued currency that can be manipulated by inflationary policies.

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