Web 3.0: The Gateway For Financial Inclusion And Freedom Does this next phase of the internet have a dependable future?
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Web 3.0 is not just an upgrade on the previous versions of the internet as we've known, but it has the potential to entirely change the webverse. Pegged as a decentralized version of web and content ownership, Web 3.0 can be truly democratic, cementing a user's right to privacy, which even the Supreme Court has held is a fundamental right.
Given the decentralized foundation of Web 3.0, it relies on cryptocurrencies, NFTs, and blockchain technology. At the 2022 World Economic Forum, Prime Minister Narendra Modi spoke at length about the startup culture in India and how we've seen several of them advance to the level of unicorns, stating that now is the best time to invest in the country. At the same time, he also mentioned the need for all countries to work together on cryptocurrency. He further said that the technology attached behind crypto makes it impossible for any one country to manage all the challenges related with this digital currency.
The concerns raised by our Prime Minister are valid, but Web 3.0 is not intended to make the internet an irresponsible or unregulated space. The idea behind Web 3.0 is to give an individual more responsibility and ownership of what they're sharing in the online world, and whom they're interacting and transacting with. It's not going to be easy to lure someone into the way of harm. People will be able to retain their freedom for digital expression. They can choose whom to transact with, and will not be bound by one common ecosystem of selling and buying. This is decentralized ownership that Web 3.0 banks upon.
With increased digital spending, there are enough reasons to believe that bank frauds might also increase. The Deloitte India Banking Fraud Survey, in its fourth edition, revealed 78 per cent of respondents stating that frauds in the banking sector could increase in the next two years. As per the study, the banking industry could witness increased instances of fraud given the disruptions caused by the pandemic. The remote working model, customers using non-branch banking channels and limited monitoring have also been attributed as the risk to the industry.
Web 3.0 can be the solution to prevent such frauds. As mentioned earlier, it will rely on blockchain technology, which will make the banking system more centralised. Therefore, penetrating such a system will become tough with blockchain technology making it entirely foolproof. While risks will always remain, Web 3.0 will have the ability to reduce such frauds. In fact, peer-to-peer platforms will flourish, allowing even peer-to-peer lending to gain more credibility.
What will be exciting to observe will be the further enhancement of Artificial Intelligence and Machine Learning, how they'll make our systems more intuitive, and how that will translate into seamless payments. The more people understand and interact with Web 3.0, the greater chances of it improving, and creating a wealth of information for everyone to consume.