National Technology Day: 5 Things You Should Know Before Diving Deep into Web3 Technology People across the globle wants to get a piece of Web3. But considering the fact that Web3 and Metaverse are new segments, we have five expert opinions you should read before diving deep into the game
By Paromita Gupta •
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India proudly celebrates 11th May as National Technology Day. And one of the emerging technologies that is on everyone's lips today is Web 3. People across the globle wants to get a piece of it. But considering the fact that Web3 and Metaverse are new segments, we have five expert opinions you should read before diving deep into the game.
1. Decentralized Autonomous Organization is not for everyone
In layperson's terms, DAO is developed on blockchain technology, which makes an organization's decision-making fully autonomous and transparent. But is DAO suitable for all organizations? Sanchi Oswal, Investment Professional, Blockchain Founders Fund; Roshan Vadassery, Founder, Permissionless; and Shashwat Eternel, Lead Narrator, NFT3, collectively believe DAO is not suitable for all organizations. Oswal shares that the motive behind a company and the existence of venture capitalists play a significant deciding role, "The philosophy and basic motive behind your company and what they are hoping to solve is very important to us." While Vadassery believes DAO is great for early-stage companies, who are trying to raise USD 25,000-50,000, "When the companies are really young, they need a lot of centralization. When VCs enter, there is absolutely no decentralization that's going to happen because there is a principal-agent interest now."
2. Not every industry needs to adopt the blockchain technology
The banking and finance sector has emerged as the biggest adopter of the blockchain technology. "When we started, we felt trade finance was the most apt use case as it is prone to fraud. It carries a lot of inefficiencies. So if it is solved, it can bring many more advantages to banks, to end customers," shared Hitesh Sachdev, Head Startup, Engagement, Innovations and Investments, ICICI Bank. But that does not mean every industry needs to laud and adopt the technology. "The problem with the industry is we are trying to force fit a blockchain where it is not needed, but there are definite areas where it is needed," shared Rama Iyer, Head, Innovation, GMR group.
3. Content generation out of events is an unexplored opportunity
Non-fungible tokens play a key role in gaming, sports, Metaverse, art, and automobile and are a new tool to experience live events such as matches and concerts from the comfort of your home. Creators and brands can monetize such events to their benefit and make the most out of them. "Content opportunity is the biggest opportunity. You use events to create content, and then the content can be turned into crypto and others," adds Deepak Choudhary, Founder & Managing Director, EVENTFAQS Media Pvt. Ltd.
4. Diversification and allocation in crypto
Experts believe that even when investing in a volatile instrument such as cryptocurrency, one can minimize risk factors by diversifying, allocating, being aware of the risk factors, and knowing one's capacity to bear the loss. "It's very hard to justify or give a certain percentage in one's portfolio. It differs from investor to investor. However, for an average investor, 5 per cent allocation of their portfolio sounds to be ideal," noted Srinidhi Moodalagiri, CPO, Flippy.
5. Adopting Metaverse will need use cases and the right hardware
There is no point in venturing into Metaverse if you aren't clear about your use cases and how your target audience will access you. Once you have your use case, technology is just an enabler. Entering the virtual world with the right idea can help you pull off what Nike has done with Nikeland. "A lot of people actually know what to do in the Metaverse; they just don't have the technology to go with the Metaverse," added Kanav Singla, Founder & CEO, Metadome.ai. To truly experience a Metaverse will require its users to have relevant hardware such as AR/VR/MR. "The gadgets at present are bulky in form. There is a lot of research happening, and there is a demand to bring it to the level of eye specs," says Mukundan Govindaraj, Principal Solutions Architect, NVIDIA.
These comments were taken on the sidelines of Entrepreneur India's Web3 and Tech and Innovation Summit held in Bangalore.
