Web3 Shopping: The transition from payment cards to cryptocurrencies and the era of Web3 shopping has come, Kurt Ivy says. That’s why this is good for shoppers and merchants alike.
2021 is the year when cryptocurrencies and blockchain technology went mainstream for the first time in their history. This is mainly due to the popularity of non-fungible tokens (NFTs) and the concept of Web3.
The evolution of the Internet over the past decade has been largely in the era of social media (also known as Web 2.0). But recently it has driven the internet revolution again. This is done by giving users more control over their data. And, by leveraging the power of various blockchain networks, new functionalities and economic models are enabled on the network.
Web3 has been touted as a whole new way to think about how web users interact online. Its backers claim it will be able to solve many key problems in everything from social media to online shopping.
What is Web3?
Currently, Web3 is more of a buzzword. For some of the technology’s loudest proponents, it’s still hard to articulate how this new internet age will play out in the years ahead.
That said, basically every Web3 description has some common areas of concern. The basic idea of Web3 is to apply blockchain technology and other cryptography-related building blocks. This is to create a new structural foundation for web applications focused on decentralization.
In many ways, Web3 is a reaction to the high degree of control that big tech companies like Facebook and Google have over their users and the entire internet.
Web3 Shopping: Getting Started
The user’s portal to a Web3 application might be some kind of crypto wallet. The wallet allows users to use some kind of decentralized digital identity for everything from making payments to logging into web applications. These wallets hold private keys related to users’ digital assets, online identities, certificates, and more.
Today, the most popular wallet comes in the form of MetaMask, which is an Ethereum wallet. It is also compatible with other encrypted networks using the Ethereum Virtual Machine (EVM).
Today, such crypto wallets are mostly used to log into Ethereum-based applications that focus on Decentralized Finance (DeFi) or NFTs. However, many technologists believe that this model of interacting with web applications will eventually extend to all other areas of the web as well.
While the average person may still find these types of crypto wallets a little too clunky to use right now, hopefully the ease of use will improve significantly over time.
What can Web3 bring to online shopping?
One of the areas where Web3 has caught the attention of blockchain enthusiasts is online shopping and e-commerce. Bitcoin itself started out as a way to revolutionize online payments.
But the promise of Web3 goes far beyond changing the way people buy goods and services online.
The good news is that once someone has a crypto wallet installed on their laptop browser or phone, the Web3-enabled shopping experience won’t be much different from what it is today. In fact, many Web3 applications can be seamlessly integrated into traditional online commerce platforms like Shopify and WooCommerce. The shift from payment cards to cryptocurrencies and the era of Web3 shopping has arrived.
NFTs can also play a key role in the development of this space. NFTs are unique digital tokens held in users’ encrypted wallets. They can represent various real-world or digital items.
Web3 Shopping: NFTs
Let’s take the SHOPX platform as an example, as they offer a variety of different types of NFTs for merchants to offer to their customers.
ReserveX is an NFT-based feature of SHOPX. It acts as a kind of ticketing or voucher system for new products sold by online stores. There is a common problem with pre-sale or new products that are sold in limited quantities online. Programmers will write bots to crawl the web and buy new limited-edition products as soon as they become available.
The creator of the bot will then flip the new product on another platform for profit. This means that true fans of the brand behind the product may end up paying more than they would otherwise have paid. This is simply because one or more people are able to buy out the entire inventory of new products by using robots.
With ReserveX, brands can sell or give away digital vouchers associated with new merchandise. With this setup, you need to be able to participate in the pre-sale or debut of a new product. That is, customers must own ReserveX NFTs to make purchases. The hope here is to create a fairer system that rewards true brand fans rather than commodity poachers.
Web3 Shopping: Ecommerce NFTS
Another type of e-commerce NFT enabled by SHOPX is MintX. This is a relatively well-known NFT. This is where NFTs represent some kind of physical or digital good sold by merchants. In other words, whenever a customer makes a purchase through the merchant’s online store, they receive an NFT associated with the product.
In some ways, this can be seen as a digital certificate of authenticity that customers can then store in their crypto wallets. Imagine a situation where a customer buys some kind of exclusive new product. They can then easily and cryptographically prove ownership of the item to others over the internet.
In the case of products being resold, NFTs can also be transferred to others. This helps prevent the prevalence of counterfeit or counterfeit quality branded products.
Web3 Shopping: A Changing World
Bitcoin payments are the beginning of a huge change in the world of e-commerce. Newer blockchains focused on NFTs and Web3 have the potential to enable a higher degree of experimentation. Over the next few years, merchants should pay close attention to how they use this new technology to increase brand loyalty, reduce fraud, and more.
About the author
Kurt Ivy is a content writer at SHOPX and Gamerse, a marketing consultant at Altar, a content director at Crypto PR Labs, and the CEO of Coffee Nova. Ivy is a philosopher, futurist, author and entrepreneur.
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