Author's Note:
Recently, I have become part of the flexible workforce, so I have decided to revive my public account that has been on hiatus for half a year.
Also, because I have too many cats to take care of, I have formed a small team with a few friends to earn some money for cat food. We welcome all kinds of Web3 business inquiries, including product and technical aspects. Our team is not involved in reselling businesses.
This year, I have been involved in various activities, with concurrent involvement in both Web2 and Web3 industries. I have also developed a mature product for the metaverse. If anyone is interested in this metaverse product, feel free to message me privately. It can be directly deployed on Web2 or connected to a blockchain for deployment on Web3.
In addition, some friends have messaged me asking why they can't find me on X. It is because I have been permanently banned, most likely due to discussing cracking machines related to a certain hellish place. The X team informed me that this ban will not be lifted. So, on X, I only have a small account. Once I start updating regularly, I will explore multiple channels for distribution.
Main Text:
The Web3 industry is currently in an awkward phase. People inside the industry are eager for outsiders to join, while outsiders feel like they are being excluded from a closed community.
If we separate the investment dimension, we will find that Web3 has not produced any truly meaningful products. Although we can highlight some projects or technologies that are competitive in various vertical and nuanced areas, such as DEX improving capital efficiency, Layer2 improving transaction speed and reducing fees, and ZK improving security and privacy, they are only competing for existing Web3 users at a micro level. From a macro perspective, they have not driven the growth of the Web3 industry.
As products at the micro level become more specialized, the requirements and barriers for users also increase, resulting in fewer users in this category. Based on my observations of Web3 in the past two years, I have noticed that most projects are becoming more focused on the micro level. For example, those working on NFTs are making them 3D, dynamic based on wallet assets, and compatible with other metaverse projects. However, in my opinion, these developments do not drive industry growth; they only further limit the number of users.
So, what are the products that focus on the macro level? We can look at the NFT giant BAYC as an example. BAYC is the most well-known Web3 IP in recent years, collaborating with various fields such as fashion and clothing. It played a significant role in the NFT Summer a few years ago.
Therefore, macro-level products are those that stimulate the participation of more incremental users and expand the user base of the Web3 industry. These projects are effectively promoting and expanding the influence of Web3. While specialized and high-barrier Web3 projects have their own value, I believe they do not contribute much to the industry's expansion.
So, the so-called awkward phase of the Web3 industry refers to the current situation where the industry is not actively acquiring incremental users but eagerly waiting for external funding and incremental users to join. This may be the "walled garden" of Web3: people inside the industry are eager for outsiders to join, while outsiders feel like they are being excluded from a closed community.
Continuing the analysis without considering the investment dimension, what kind of track can break this delicate "walled garden" situation? I believe the core lies in two major tracks: NFT and RWA.
There is no doubt that NFT has had considerable success, including but not limited to cross-domain collaborations with BAYC, Reddit's three million NFT users (not discussing token points here), and various virtual art curation cases. All these examples prove that NFT is a major track that attracts more incremental users.
On the other hand, RWA is a major track that attracts more incremental funding. Its characteristics of crossing borders, low barriers, and even ignoring geopolitical factors allow more users to enter the Web3 field to purchase real-world assets. Because RWA is based on the mapping of real-world assets, more people can truly utilize Web3 technology and enjoy a borderless utopian financial world without the volatility risks of crypto assets.
In conclusion, I believe that after the awkward phase of Web3, the industry will inevitably move towards the incremental market. The recent popularity of the BlackRock spot ETF event may become the catalyst for the next wave of industry development. Both in terms of funding and users, the industry will follow the strategy of expanding the incremental market and growing the Web3 industry.
Author: Liu Ye Jing Hong
Public Account: Wesman Notes
Personal WeChat: liuyejinghong_
RSS3 Personal Page: liuye.rss3.bio
Xlog Homepage: liuyejinghong.xlog.app
Mirror: mirror.xyz/liuyejinghong.eth
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