How Crypto-Assets and Web 3.0 are Driving a Paradigm Shift in India’s Digital Asset Economy
Drishti (name changed) first connected to a web browser around 2005, at the age of 15, when she used it extensively to access a world of information on the Internet. Over the next decade, she became a social media host, moving from Orkut to Facebook. Today, as a digital artist, she ventures into cryptography and transforms her works into digital assets on the Internet. Her 7 year old son is engaged in a web 3.0 based virtual learning application where he is able to learn, play and interact with virtual objects.
The evolution of the Internet has involved several exciting phases over the past few decades. From the “read-only” era of Web 1.0, where developers created websites that allowed users to read and obtain information, to the “read-and-write” era of Web 2.0, which marked the rise of social media platforms, the internet has grown in multiple ways.
Now imagine a more exciting era where you can easily own online assets and earn money from them. Well, it’s Web 3.0! As the world moves from Web 2.0 to Web 3.0, where open source software makes the internet work better, it has opened up various untapped opportunities for India’s digital asset economy.
According to experts, over the next decade, blockchain-enabled digital asset technologies will present glorious opportunities for India to participate in the ever-evolving Web 3.0 space. With a growing talent pool among a young population and a large base of developers, India stands to benefit from this emerging technology in terms of employment, revenue generation and more.
Web 3.0: an era of digital assets
The developed generation of the web is more open source and decentralized, and aims to execute digital transformation in our daily lives. This revolution has allowed digital assets such as Bitcoin and Ethereum to proliferate, leading to growing interest among individuals in the impact that decentralized technology can have on the economy and digital assets in general. NFTs have given an unanticipated boost to the creator economy by enabling the creation, transaction and monetization of unique digital assets.
In India, many business models can be built around Web 3.0. And, when it comes to cryptocurrency and blockchain, the opportunities are limitless. From now on, if a person needs a loan from a bank, he has to go through a tedious process of completing all the formalities without any guarantee that the bank will grant him this loan or not. Now imagine if you have a million dollars worth of Bitcoin and want to avail a loan on the same; it only takes 10 minutes to get 65-70% value in crypto, and all without selling your assets. Web 3.0 has simplified the process and allows people to earn with just a click.
Another concept – “Play To Earn” – is gaining momentum among individuals with Web 3.0 and should revolutionize the gaming experience in the next decade. Players can own gaming assets and generate value that could go beyond the game itself. By leveraging cryptocurrencies and NFTs, “Play To Earn” games enhance the player experience as it gives them digital ownership and even rewards them for their interactions. Players will also have the option to convert these digital cards into physical trading cards.
Several studies reveal that in India, scenarios such as “Play To Earn” and “Decentralized Finance” can be taken to the next level to give a boost to the country’s digital asset economy.
A Glorious Future for Crypto in India: The Way Forward
It is undeniable that we are still at a nascent stage of Web 3.0 adoption in India. If we invest our energies in Web 3.0, the crypto adoption rate is expected to increase by at least 15% by 2030. Currently, the global crypto market is worth $1.5 trillion and is expected to grow, with an increase of 6 to 8 USD. trillion market capitalization in the next few years. Investors need to realize the potential of this market and invest for the long term to reap the benefits.
Although several aspects of crypto are yet to be touched globally, India in particular should streamline its Web 3.0 policies to become a key player in the Web 3.0 economy. In India, there is always a growing debate over crypto politics that doesn’t seem to die down anytime soon and it may take a long time before we see a powerful outcome. Indian Web 3.0 entrepreneurs are already looking forward to countries like Dubai and Singapore that provide better regulatory space to develop such businesses online. Without clarity in the regularity and in the absence of a proactive policy framework, India could fall behind the world in joining the Web 3.0 revolution.
The opinions expressed above are those of the author.
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