Explore the key concepts and principles of Web3 and the emerging technologies of today.
Web 3.0 is the third-generation stage of the internet that provides autonomy to users alongside the promise of immersive experiences.
Distributed Ledger Technology
Distributed Ledger Technology or DLT is a significant category associated with web 3.0 and includes any type of distributed network working on achieving consensus on specific information.
Custodial wallets are the wallets where a third-party service holds and manages users' private keys and funds on their behalf
Decentralization refers to reducing reliance on a central authority by distributing control, fostering autonomy, transparency, and resilience across a network or system.
Cryptocurrency, generally referred to as crypto, is a variant of digital currency you can use as a medium of exchange.
Decentralized Finance or DeFi is a broad term encompassing various financial services such as borrowing, trading, lending, and other activities on a blockchain network.
Ethereum is an open-source distributed network that provides the foundation for developing decentralized applications and smart contracts.
Fractionalization refers to the process in which you lock an NFT in a smart contract.
Seed Phrase is the string of words leveraged as a master password to access the crypto wallet.
Shilling refers to promoting or endorsing a cryptocurrency or token with the intention to manipulate its price or generate hype.
Master Node is the blockchain node responsible for verifying and relaying transactions alongside storing the complete history of the blockchain.
Cold wallets are offline devices used for storing cryptocurrencies, and they are simple hardware devices or sheets of paper.
Fungibility basically points out to the right for exchanging a product or asset with other products or assets of the same kind.
Asset refers to any resource which has an economic value associated with it
ERC-20 is basically a technical standard that helps in issuing and implementing tokens on the Ethereum blockchain.
Another category of tokens, ERC-721 tokens, are distinct from ERC-20 tokens owing to their non-fungibility.
An exchange basically refers to the organized marketplace which serves as the base for trading financial instruments, including cryptocurrencies, securities, and commodities.
Composables is also one of the notable concepts in the NFT space, especially related to NFT standards.
Interplanetary File System, or IPFS, is also an off-chain metadata storage solution that supports the increasing number of developers, especially in the domain of digital art.
Some of the NFTs could give out an automatic payout of royalties to their creators upon successful sales.
The metaverse is a massive 3D world including various shared digital spaces where users can participate as digital avatars. Metaverse emerged from the realm of sci-fi novels and films into reality as a 3D iteration of the internet.
Avatars are the 3D counterparts of users in the metaverse.
Virtual reality (VR)
Virtual reality (VR) is an immersive technology that creates a simulated environment, transporting users to a computer-generated virtual world.
Augmented reality (AR)
Augmented reality (AR) overlays digital content onto the real world, merging physical and digital realms.
Extended Reality (XR)
Extended Reality (XR) merges real and virtual environments for immersive experiences.
Creator economy is the concept of bringing marketplaces and software together to enable and empower creators to add content to the metaverse.
Decentraland is a virtual reality platform built on blockchain where users can create, explore, and monetize digital experiences.
Sandbox is a blockchain-based gaming platform where users can create and share unique experiences and assets.
MMORPG is an acronym for Massively Multiplayer Online Role-playing Game, which are basically online video games with the elements of role-playing games
Mixed Reality refers to the technology or systems that combine the physical world with virtual worlds alongside digital information.
Skeuomorphic design is a vital concept in user experience (UX) design that can mimic the different elements of real-life products and features.
Mirrorworld is a concept emphasizing creating a virtual counterpart of the real world in a three-dimensional environment.
Cybernetics refers to the technology that bridges the gaps between machines and human interactions.
Decentralized Autonomous Organization or DAO is an approach for on-chain governance which allows the DAO token holders to guide the organization.
Digital holograms refer to the simulation of holograms in the virtual space, including the projection of objects or user interfaces.
Digital twin refers to any digital object in the metaverse that can easily replicate the real-time properties associated with physical objects.
Blockchain is basically a consensus-based digital ledger that includes immutable, digital data, documented in different packages known as blocks.
Block is basically a record of some or all the recent transactions on the blockchain network that have not been added to the network.
The distributed ledger is a type of database or system of record which you can share, replicate, as well as synchronize across different members in a network.
Consensus is the collaborative effort required from members of a blockchain network to verify the validity of transactions.
Smart contracts are self-executing digital agreements that automatically enforce the terms and conditions encoded within them.
Mining is the process of validating and adding transactions to a blockchain network using computational power.
Nodes are individual devices or computers that participate in a decentralized network, maintaining a copy of the blockchain and validating transactions.
An address refers to a unique identifier used for sending and receiving digital assets on a blockchain network.
Proof of Work
Proof of Work is a computational effort-based consensus for blockchain validation
Hashing is the process of transforming data into a fixed-size, unique representation called a hash, used for data integrity verification and encryption in various applications.
Forks refer to the divergence of a blockchain's history into two or more separate paths, resulting in multiple versions of the blockchain.
Block explorer is a web tool for viewing blockchain transactions, blocks, and network information.
Fungibility is a clear indicator of the fact that a specific product or asset is identical.
Cryptography refers to protecting information through encryption and secure communication techniques
Decentralized Application (dApp)
A decentralized application (dApp) is an open-source application capable of autonomous operations without any entity having control over the majority of its tokens.
Token is a digital asset on a blockchain network with various uses such as ownership, access, or digital currency