Web 3 and the Creator Economy by Meta Product Leader, Deepthi Rao

Evolution of Internet

What is Web 3?

A new iteration of the World Wide Web based on blockchain, which incorporates concepts such as decentralization and token-based economics.

Decentralized: Consumers access the internet through services that are NOT mediated by centralized corporations. Instead, individuals, themselves, own and govern sections of the internet.

Peer to Peer: An intermediary isn't necessary for virtual transactions to occur between two or more parties. Because these agencies and intermediaries are doing most of the data collection, Web 3.0 technically protects user privacy better.

Ownership/Tokenization: Monetary incentive (tokens) to anyone who wishes to help create, govern, contribute to or improve one of the projects. Web 3.0 tokens are digital assets that are associated with the vision of creating a decentralized Internet. These protocols may provide various services, such as computation, bandwidth, storage, identification, hosting and other online services formerly provided by cloud providers.

Why is important?

Web3 aligns network participants to work together toward a common goal – the growth of the network.

As a result, all network participants are compensated using tokens. There is a clear distribution of incentives, and thus participants are not products in Web3, they are co-owners of the network.

Creator Economy

How big is it?

Artists, Singers, Musicians, Comedians, Bloggers, -Anyone that wants to monetize a Passion.

Creator Economy in 2021 was > 102B USD.

Over 1.3B in funding in 2021

1B Creators in 5 years.

Why Web3 for Creators?

Authentically verify original creators through blockchain.

  • Verifiable Ownership

  • Interop

  • Sell directly to fans

  • Royalties

Unprecedented VC investments

  • Sorare, a blockchain-based fantasy football game (mentioned above), raised a $680M Series B round.

  • MoonPay, a payment infrastructure provider for crypto companies, raised a $555M Series A round.

  • Forte, a platform used by gaming publishers to incorporate blockchain technology into their games, has raised a $725B Series B round.

  • Dapper Labs, the company behind NBA Top Shot and The Flow blockchain, raised a $250M Series D round.

Web3 by the numbers

Web3 Creator economy

NFTs- The Web3 Darlings

A Non Fungible Token (NFT) is a unique cryptographic token that exists on a blockchain. NFTs usually 'point to' real-world assets like artwork or real estate.

NFTs offer a unique opportunity for people to connect with the creators they love. Creators can sell their work directly to fans and build direct relationships with them.

  1. NFTs have become a foundational building block for creating thriving communities & digital economies;

  2. $15-20B in value has been created in 2021

Compare Web2 and Web3

Web3 is a very creative project. It helps creators own their content, connect directly and sell it to their fans, and the token economy makes them all co-owners. Web3 is the successor of the genus, much more than Web2 analogues.

Web3 Gaming

There is a huge market opportunity at the intersection of web3 and gaming.

20% - of NFT sales in 2021 by volume were gaming-related.

49% - of crypto wallet activity comes from games.

50+ Live Web3 games with more than 1K unique on chain users.

Web3 and Meta

We are at the beginning of the next chapter for the internet.

At Meta, we are on a journey to help build the future of social connection and the next generation of the internet.

The metaverse isn't just about new technologies – it's as much, if not more, about continuing to deliver the socialexperiences.

It's also about continuing to build a strong ecosystem that supports millions of creators.

We're building a strong payments foundation for the future.

Responsible innovation at the outset

There are 4 principles. We want to double down on the best features of Web3, which will be decentralization, interoperability, and shared ownership. We want to ensure this by making sure we don't compromise on privacy, security, and integrity. This will be a new paradigm for the Meta to work in the Meta universe as well.

Introducing Digital Collectibles (NFTs)

We're beginning to test digital collectibles with a handful of U.S. creators and collectors who will be able to share NFTs on Instagram that they have created or bought. This feature includes:

  • Connecting a digital wallet.

  • Sharing digital collectibles.

  • Automatic tagging of both the creator and collector.

Why NFTs?

By building support for NFTs, we aim to:

  • Improve accessibility,

  • lower barries to entry,

  • Make the NFT space more inclusive to all communities.

Building a Safe Platform: NFTs on Instagram need to be safe and enjoyable for everyone. People can use our tools to keep their accounts secure and report digital collectibles which go aganist our community guidelines.

Sustainability: Meta will help reduce the emissions impact that might be associated with the display of digital collectibles on Instagram by purchasing renewable energy.

We are just getting started...

And we couidn't be more excited. About the future of Web3!

Deepthi Rao, Meta Product Leader