Myth 3: Web3 is unnecessary – the internet is fine as it is
Web2 platforms like Google, Facebook and Amazon are deeply embedded in our daily lives, offering speed and convenience in exchange for access to our data. For most users, these trade-offs are acceptable – personal data in exchange for free services. This has led to the belief that Web3 offers little value beyond what's already available and that users don’t care enough about data ownership to make the switch.
Reality: Though it may work well on the surface, Web2 built on centralised systems that control user data, monetise user behaviour and can impose censorship. Web3 introduces self-sovereign identity, giving individuals full control over their online identity and data. For example, instead of logging in via Google or Facebook, users can use a decentralised wallet or ID system. As privacy concerns grow and digital literacy increases, Web3 offers a real alternative to the centralised status quo.
Myth 4: Web 3 is just a fad
Just like the dot-com bubble, some believe Web3 is a trend driven by early hype and crypto speculation. With media attention focused on volatile token prices and NFT mania, critics argue that Web3 lacks the depth and durability to become a meaningful part of the internet’s infrastructure.
Reality: While it’s true that the space has seen its fair share of hype, Web3 is increasingly being adopted by major tech companies, institutional investors and governments exploring use cases in digital identity, finance and public services. This includes innovations like blockchain-based ID verification, decentralised voting and open-source finance platforms. What began as a crypto-native movement is now gaining traction across various sectors.
As we’ve seen, many of the myths surrounding Web3 stem from early misconceptions, technical hurdles and its close association with cryptocurrency. But the reality is that Web3 represents a fundamental shift in how the internet could operate, putting users back in control of their data, identity and assets.
Web3’s Challenges
Even with this potential, Web3 isn’t without its challenges. From security concerns and scalability issues to environmental impact, building a better internet comes with its own set of hurdles. Let’s take a closer look at the key issues the Web3 space needs to address to ensure it can deliver on its promise.
Privacy and Security
Web3 aims to improve online privacy by giving users control over their data and reducing reliance on centralised platforms. However, this shift also means that users take on more responsibility for their own security. Unlike Web2 platforms, where account recovery is often a click away, Web3 tools like wallets require users to manage private keys – unique codes that prove ownership of digital assets. If lost or exposed, these can’t be easily recovered. At the same time, smart contracts can be exploited if they contain bugs or vulnerabilities.
While the tech matures, users can already take steps to stay safe. Enabling two-factor authentication (2FA), using hardware wallets, double-checking contract permissions before approval and staying alert to phishing scams are all essential practices to navigate Web3 securely.
Energy and sustainability
Blockchain networks have faced criticism for their energy consumption, especially early models that relied on proof-of-work where powerful computers compete to validate transactions. This process, while secure, can be highly energy-intensive.
In response, the industry is moving towards more sustainable alternatives. Ethereum’s transition to proof-of-stake, where validators are selected based on the amount of crypto they hold rather than computing power, has significantly reduced its environmental footprint. Likewise, networks like Polygon have been built with energy efficiency in mind from the outset, showing that more sustainable blockchain infrastructure is not only possible but already in progress.
Want to learn more about scaling Web3? Discover how Polygon uses Layer 2 technology to make Ethereum faster, cheaper and more efficient in our blog article.
Scalability and decentralisation
As Web3 grows, one of the biggest challenges is scaling blockchain networks to support millions of users without sacrificing decentralisation. Blockchains are secure and open, but they process fewer transactions per second compared to centralised platforms. This can result in slow speeds and high fees when networks are busy.
To address this, developers are building Layer 2 solutions (technologies built on top of main blockchains), sidechains (connected blockchains that offload activity) and alternative consensus methods. While these can boost performance, they sometimes introduce new risks or increase reliance on centralised elements, which can undermine Web3’s core values. Finding the right balance between speed, security, and decentralisation is essential for scaling Web3 without compromising its principles.
