And if Web3 had (also) good sides?

EY Fabernovel and Arbevel have just published their study “ Web3, 5 potential virtuous uses that aren’t making a splash “.

Decentralization, social and immersive experiences, inclusiveness and exclusivity illustrate the key promises that Web3 can offer. Presented in the first brick of this studythese promises are made possible today by the maturity of technologies and echo the needs of cultural and economic changes in our society.

“While money laundering often associated with Bitcoin and speculation in the purchase of virtual land, digital artwork or cryptocurrencies are the most prominent and isolated uses, other uses of the Web3 with more virtuous potential deserve to be highlighted in order to envisioned and build a more desirable and responsible future”.

explains Sébastien Lalevée, Managing Director of Arbevel

5 positive uses of Web3

Track and identify data

The possibility of publication tracked and identified data, transparently and securelyrepresents one of the first major macro-uses developed in the study.

Repeated scandals in the food sector (bird flu, GMOs, product recalls, etc.) or the lack of information and traceability of brands that may have been abused, for example “Made in France”, have only reinforced the need for greater visibility for the end customer.

The popularity of the Yuka app, with its more than 25 million users, which provides more information on the nutritional level, composition and impact of a consumable product, is a good illustration of this societal need.

Regulators begin to accelerate in the same direction. The European Union is in the process of implementing the upcoming CSRD directive which will require companies to share their data regarding ESG (Environmental, Social and Governance) criteria and is also working on regulations dedicated to eco- design and circular economy.

It is in this context that Web3 technologies, in particular blockchain – $6.6 billion in spending in 2021 according to Statita – can meet these expectations.

Track and make the production process transparent of a product is one of the most popular and mature uses of blockchain, both in environmental terms (how such vegetables were grown, for example) and in social terms (knowing the working conditions of producers in the production chain) .

However, even though information entered into the blockchain is tamper-proof, it is not always verified. Therefore, this use requires opening the data more and relying on public blockchains where a larger number of people can consult and validate the displayed data.

This use of blockchain can be extended to the burgeoning creative economy with Web3, creators – artists, designers, developers – who need ensure ownership of their digital work as well as their authentication and traceability.

The Hiscox report also noted that nearly half of online art markets were considering integrating this blockchain technology in 2021.

The study highlights 4 other key macro-uses with potential virtues:

  • Drive data transfers by evaluating contributorsso that the distribution of value is more evenly distributed among peers or among companies: monetization of digital work, tokenization, peer-to-peer lending.
  • Promoting and ensuring new ways of collective action to find alternatives to large proprietary digital platforms.
  • Rediscover social connections by facilitating virtual interaction.
  • Going beyond the limitations of reality and representing yourself to infinity : Digital twins to solve difficult problems in the real world, but also to travel or have fun otherwise…

“Web3 technologies can be catalysts or even drivers of change in use, but it is the uses that determine the interest of these technologies – and their results.

Therefore, the first question is no longer how to integrate Web3 in my company, but to identify the needs that a company or an individual can better fulfill thanks to Web3.

Although the uses presented in this study are not necessarily the ones that will remain, they are primarily a source of inspiration for the future, but also the first testing grounds for companies that dare.

You have to take the risk of testing. Not testing nothing, testing by measuring, testing in a new reasonable context, but testing”.

warns Arthur de La Brunière, Web3 analyst at EY Fabernovel and co-author of this study

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