The 6 Most Important WEB3, Blockchain, and Cryptocurrency Trends in 2024
Data privacy and control are major issues that have not been adequately addressed despite the rapid advancements in AI. Most of us already know that whenever we do anything on the internet, some kind of personal data is being collected and shared. Companies and government entities that handle it have complete control over its recipients and uses because of how centralized they are. We still have reason to be wary of data breaches and thefts, even if we believe they follow privacy rules and laws like GDPR.
According to some, Web3, which boasts blockchain-based apps and decentralized databases, is the answer. As a result, we will regain ownership of our data and experience improved privacy and security. At least in principle, no one, not even governments or tech companies, can control or censor Web3 tools and technology because they are encrypted.
Despite all the talk about generative AI in 2023, developers are still hard at work on web apps and technology that will power the web of the future. Is it possible that these advancements will become widely used in 2024? We will look at patterns that will determine its course over the ensuing year and beyond.
The Future of Blockchain and Web3 Sustainability
The obvious sustainability issue with blockchain development and Web3 technology must be at the top of any list of worries. Energy is a major concern when computing with decentralized and encrypted resources. In 2022, while running at full steam, the BitcoinBTC 0.0% network was thought to have used as much energy as Finland. As a result, green web3 projects have arisen, and more efficient technologies like the proof-of-stake algorithms used by Ethereum 0.0% networks have been developed. Regenerative finance is a new approach to using technology for sustainable and environmental causes.
Social Web3
Proponents of Web3 argue that its decentralized social tools will allow for more secure, private, and censorship-free online interactions where individuals retain ownership of their data and content. Policies might be democratically administered through voting processes based on blockchain technology, and open-source, transparent algorithms could aid in tracking and blocking attempts to propagate disinformation. If we want to see something similar compete with Facebook or TikTok, we’ll probably have to wait until 2024. I anticipate continuous innovation in this arena because decentralized social platforms like Mastodon are already appearing and gaining traction.
A Bitcoin Bull Run?
Web3 relies heavily on cryptocurrency. Many Web3 projects fail when Bitcoin’s price drops and funding dries up. It’s not a coincidence. The value of the leading cryptocurrency has historically increased in the years leading up to its halving, which is scheduled for 2024. I don’t want to speculate on the market, but if this materializes, Web3 will get a cash boost and a slew of new supporters.
Decentralized Finance (DeFi)
A new class of financial services solutions based on blockchain and Web3 technology is being referred to as decentralized finance (DeFi). They often use Web3 features, allowing P2P lending and commerce without the hefty fees charged by “middleman” banks and other financial organizations. Thanks to the investment in these products in recent years, they will be more accessible than ever before in 2024.
Web3 And The Immersive Internet
Toss the word “metaverse” around if you like. Nonetheless, the notion of fully immersive virtual worlds that simulate the physical one is central to many Web3 notions. Online identities (like avatars) and generating one-of-a-kind digital assets (through NFTs) are two areas where Web3 and blockchain technology could be useful. Additionally, it can be utilized to manage and control online organizations, ranging from clubs to businesses, by enabling members to elect officials in a democratic manner and cast ballots for the adoption of policies. Not only will we have a better idea of what Web3 development has to offer, but it’s also safe to assume that the web will keep evolving to become more immersive in 2024.
Central Bank Digital Currencies (CBDCs)
Central banks effectively issue these digital currencies. You can tell they aren’t decentralized since the banks that issue them control them. Not to mention that they shouldn’t be! On the contrary, CBDCs might be seen as efforts to migrate financial service administration technology to blockchain infrastructure, allowing for more efficient and transparent management. In 2024, China will keep testing its digital currency, joining other nations that have begun or are planning to introduce CBDCs, such as the UK, the Bahamas, Nigeria, and Sweden.
High-Profile Fraud and Other Crimes
Many dishonest people have become well-known and wealthy in crypto, supporting Web 3. This is an undeniable reality. If the market keeps growing at the pace that some are forecasting, the FTX collapse and sanctions handed down to Binance this year might only be the beginning. The sector is still in its Wild West phase because lawmakers are taking their time. Therefore, use caution if you intend to participate.
