A Roundup of the Top Innovations in the Web3 Space




Mar 6, 2023

If you are familiar with the web3 space, you already know it is currently flourishing. The innovations here in the past few years have been tremendous. Project owners are genuinely trying to solve some of the most pressing challenges, whether it is about privacy, user control, or transparency.

There have been several successful projects that aim to live up to the expectations of the web 3 concept. This article features some of the top projects and gives you insights on how they are redefining the web3 space.


It is a layer-2 web3 project designed to overcome the challenges related to the high fees and chain congestion issues of Ethereum. Polygon is an excellent complement to Rollups that work to address similar problems. It is also one of the first few layer-2 scaling projects that earned wide attention.

From the words of Polygon, it is Ethereum’s Internet of Blockchains. The project owners want to offer developers solutions that can help them build their layer-2 scaling solutions. Developers will get a platform they can use to access features such as sidechains and connect their projects on the Ethereum platform.

Polygon is an excellent project that is a win-win solution for developers and end users. Developers can build dApps with the native scaling solutions offered by the platform. Similarly, end users can experience quick transactions while paying minimal fees on the Ethereum network.

Axie Infinity

It is one of the most popular play-to-earn projects in the market. Web 3 is an extensive field when it comes to earning cryptocurrencies. Besides the traditional investment option, users can also participate in play-to-earn games and win cryptocurrencies. The project caught the attention of the web3 community in 2021.

Besides investors, Axie Infinity also became popular with the rest of the community. Users began creating specific communities to help each other become aware of revenue opportunities. Axie Infinity stands out as it allows users to design in-game economics that helps them earn handsome revenue. Users can trade NFTs which they acquire during the game with others. It is an excellent source of passive income as the value of such tokens is bound to increase. The success of Axie Infinity augurs well for other play-to-earn projects that hold the promise of bringing a fundamental change.


Arbitrum is a promising project that is an example of an optimistic rollup. These are smart contracts that do not use the chain to execute transactions and only show the computation results. The calculations thus happen cheaper and faster. Besides being cheap and fast, developers also enjoy the compatibility with other tools related to Ethereum. One of the popular use cases is buying NFTs cheaply and quickly.

The Ethereum blockchain has thousands of tokens, and the number keeps increasing. While most remain sedate and get used only in case of transactions, they still create a lot of activity on the blockchain. Issues such as “Proof of Work” consensus also affect the chain, making it slow and less energy-efficient.

As the adoption of cryptocurrencies also increases, congestion on the network will happen eventually. Similarly, the gas fees will also increase as more transactions need confirmation. Developers attempt to create solutions to make the Ethereum network efficient and cheaper. Arbitrum promises to overcome these challenges.


The Polkadot project aims at creating a multi-chain framework for the blockchain. Polkadot is powered by DOT, which is the native coin of the network. The primary goal of Polkadot is to overcome the scalability and security limitations of the blockchain. It has garnered interest from all corners, including investors and developers.

Conceived in 2016, the project took its sweet time before hitting the market. The native token DOT hit the cryptocurrency market in August 2020 and began gaining traction instantly. The listing on Coinbase cryptocurrency exchange in 2021 turned the tables for Polkadot.

When it comes to blockchain, its prime characteristics include security, speed, and decentralization in a trustless environment. The related projects offer a few but not all, as their architecture cannot sustain everything at once. Ethereum, a popular choice for DApps, still has issues related to scalability and high gas fees.

Similarly, cheaper transactions are possible through projects such as EOS, but it comes at the cost of decentralization. Moreover, these networks remain isolated due to a lack of interoperability. Polkadot aims to overcome this problem by enabling interoperability between different networks and increasing the adoption of blockchain among the masses.


We have already seen the Polkadot project that aims at establishing interoperability between different projects. We also know about the scalability capabilities of Ethereum. Now, what if both of them come together? The result is Harmony, literally.

Harmony is a popular web3 project that aims to resolve the particular issues related to blockchain that we have already discussed above. The project aims to achieve the features of blockchain – security, scalability, decentralization – on a single platform. The innovation behind Harmony is possible due to the success of the sharded Proof-of-Stake blockchain.

Sharding is a prominent layer2 scaling solution that aims at overcoming the challenges related to the congestion of the Ethereum blockchain. Harmony has managed to implement sharding and make its network interoperable with Ethereum. There are also benefits of decentralization. All these aspects make Harmony a standout web3 project.


Cryptovoxels offers a blockchain-based platform for a virtual reality world. It uses the Ethereum network and gives users the chance to experience virtual reality and monetize the related content. Cryptovoxels plans to leverage the capabilities of NFTs and virtual exploration to create a platform that has limitless potential for user-generated content.

A Cryptovoxels user can become a landowner, just like Decentraland. The land is nothing but NFT and remains unique to the user. Users can always visit NFT marketplaces to explore and buy a piece of land. They also get the chance to create unique avatars and give them virtual wearable items, which are NFTs. Users can create unique NFT wearables without worrying about anything. The virtual events on the platform allow users to participate in them and experience virtual reality at its best,

Somnium Space

It is another virtual reality world project that comes with excellent graphics. Just like Cryptovoxels, Somnium Space also uses the Ethereum platform and allows users to buy and sell pieces of land (NFTs) on OpenSea. The drag-and-drop builder allows users to be as imaginative as possible and create unique spaces.

You can also create a unique avatar by uploading your selfie. The project has a token CUBE, which is the virtual currency of the project. Users can use the token to buy and rent NFTs. You can view the world of Somnium Space right from your living space. Everything is virtual, including the floor and walls. You can move your head and navigate the space.

The Sandbox

NFTs are immensely popular in the world of web3 and cryptocurrencies. They are also widely searched on Google search, which points to their huge potential. Web3 folks are optimistic about NFTs, while at the same time there is an inherent FOMO (fear of missing out) among other users.

The Sandbox is an excellent web3 innovation in recent times. It is created keeping in mind the utility of NFTs. The Sandbox has an extensive ecosystem that offers improved gaming experiences and monetization opportunities. The Sandbox Marketplace offers tools that users can use to create NFTs.Users can also generate revenue from their virtual activities. The Game Maker feature also allows users to build their play-to-earn games.

Arcana Network

It is an EVM-compatible platform that web3 users can leverage to build privacy-focused applications. Users can access the SDKs and a developer dashboard on the platform. SDKs remain configurable, and users can change them based on their requirements through the dashboard.

Any application integrated with Arcana SDKs can provide web2 login and authentication experience to onboard web3 users on the platform. End users can upload their data to the distributed Arcana Store. Users get complete control over their data as it does not remain accessible to anyone. If they want, users can choose to share their data with others.

Bottom line

It is essential to note that this is not everything happening in the web3 space, but it will give you a good idea of some of the best innovations. There is a lot more happening than what is listed here. More importantly, blockchain technology and smart contracts are fundamentally changing the world as we know it. These projects and upcoming innovations will help realize the objectives that web3 promises.

About Arcana Network

Built for Ethereum and EVM-based chains, Arcana is the web3 infrastructure to easily onboard dApp users and enable user data privacy and ownership. Web3 developers use Arcana’s SDKs for a seamless, familiar user onboarding experience via social authentication and passwordless login. All user data is encrypted, secured with data access fully controlled by the users, and powered by blockchain.

Arcana has raised 2.7Mn USD from some of the leading investors and founders in the ecosystem such as Balaji Srinivasan, Founders of Polygon, Woodstock, Republic Crypto, and Digital Currency Group.

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Copyright © Arcana Technologies Ltd. All rights reserved.

Schedule a Demo

The call is completely free and no commitment is required.

Schedule a Demo

The call is completely free and no commitment is required.

Schedule a Demo

The call is completely free and

no commitment is required.