What is web3 and why you should know about it?

Navigating the Web3 Landscape: A Prelude for Designers

In the ever-evolving digital ecosystem, the years following 2020 have witnessed an extraordinary surge in the realms of Web3 and cryptocurrency. Within this dynamic and transformative landscape, designers find themselves at the intersection of innovation, serving as vital conduits between stakeholders and an audience that is becoming increasingly interconnected.

As we embark on this exploration, it becomes evident that Web3 is not just a buzzword but a seismic shift in the way we conceive and interact with digital spaces. The challenge lies in the fact that being a relatively nascent industry, Web3 brings with it a host of unknowns, creating a substantial learning curve for designers. This learning journey is not merely about adapting to a new set of tools or trends; it's about understanding the foundational principles and the paradigm shift that defines Web3.

Disclaimer Alert: This article serves as a foundational stepping stone, a comprehensive introduction aimed at educating and updating fellow designers about the multifaceted world of Web3. While the focus here is not on the specifics of designing for Web3, rest assured that our journey is just beginning.

https://www.notion.so/Why-DESIGNER-should-expand-their-knowledge-on-web3-9f2ad849e85d46b083813f5b77b7c821?pvs=4#eeae0080c2314ee99773b0a00f6a9922

Below are the terms essential for understanding the Web3 industry:

  1. Blockchain: A blockchain is a digital ledger or decentralized database that records transactions across a network of computers. It operates on a secure and transparent system where each transaction, grouped into blocks, is linked and secured using cryptographic techniques. This technology ensures trust, immutability, and decentralization in various applications, from cryptocurrencies to supply chain management. The whole ecosystem of web3 is based on Blockchain.
  2. Crypto Wallet: A crypto wallet is like a digital bank account for your cryptocurrencies. It lets you store, receive, and send digital currencies securely.
  3. Defi (Decentralized Finance): DeFi refers to a set of financial services, like lending or trading, built on blockchain technology, allowing users to engage in financial activities without traditional intermediaries like banks.
  4. MetaMask: MetaMask is a digital wallet and gateway to blockchain apps. It allows users to manage their crypto assets and interact with decentralized applications (DApps) directly through their web browser.
  5. NFTs (Non-Fungible Tokens): NFTs are unique digital assets representing ownership of specific items or content, often used for digital art or collectables.
  6. Secondary Market and Primary Market: In the secondary market, users buy and sell already issued assets, like NFTs. The primary market involves the initial sale of these assets directly from the creator or issuer.
  7. Gas Fee: Gas fees are the costs associated with processing transactions on a blockchain network. Users pay these fees to miners for validating and adding transactions to the blockchain.
  8. Tokens: Tokens are digital assets representing ownership or access rights within a blockchain ecosystem. They can signify various things, from cryptocurrency to voting rights in a decentralized organization.
  9. DApps (Decentralized Applications): DApps are applications that operate on a decentralized network, typically a blockchain. They run on a peer-to-peer network of computers instead of a central server.
  10. DAO (Decentralized Autonomous Organization): DAOs are entities governed by smart contracts and run by code rather than people. They allow for decentralized decision-making and management.
  11. Ether: Ether (ETH) is the native cryptocurrency of the Ethereum blockchain, often used for transactions and powering smart contracts.
  12. Polygon: Polygon is a scaling solution for Ethereum, enhancing its capabilities by providing faster and cheaper transactions.
  13. Solana: Solana is a blockchain platform known for its high-speed and low-cost transactions, aiming to improve scalability in decentralized applications.