The original Internet protocols (TCP/IP and HTTP) defined how computers communicate to deliver data, and not how it is stored.
Today we live in a digital economy where our most important personal information is controlled by private companies.
Application goliaths, including Facebook, Amazon, Netflix and Google, developed programs that capture and store all of the structured and unstructured data that users produce.
These large centralized institutions have created private networks which they control and profit from user data.
The applications have to ‘pay’ to use the system on which they operate.
Thesis 2.0 Reviews
Ethereum is a protocol, and various decentralized applications (DApps) are built upon it.The individual benefits and the decentralized protocol layer has value by supporting the network.For this reason, in the evolving blockchain web, value will be captured mostly from the Protocol Layers in Web 3.0.This is causing the shift in Web 3.0 from formerly ‘thin’ protocol layers, which used to have little economic value, to ‘fat’ protocol layers poised to capture the lion’s share of value.The 5 Primary Protocol Layers of Web 3.0 in Development For each Protocol Layer, a dominant digital asset may emerge with the strongest characteristics for investment.For this reason, today, value is captured mostly from the Application Layer in Web 2.0.Value Capture Today and Evolving In the decentralized, protocol-based framework of Web 3.0, the most significant digital asset investment opportunity, or ‘Value Captured’ lies in the Protocol Layers.This limitation is addressed by blockchain technology.There are obvious regulatory and incumbent hurdles to overcome, yet blockchain technology has the potential to transform the Internet by creating greater efficiencies for data validation, delivery and security.Not only does the distributed architecture of blockchain offer more data protection, it also presents endless possibilities and new solutions for tracking data flow.In Web 3.0, the protocol layer is ‘peer-to-peer’ (P2P), meaning each computer on the network becomes a file server as well as a client.