Web 3 vs. Web 2: Understanding the Key Differences


The Web3 Rabbit hole


May 30, 2023

Web 2 is a term floating around the internet for more than a decade now. And here we are in 2022, almost leveraging the best the next generation of technology has to offer. Yes, we are talking about Web 3.

So, what is Web 3? How far has it come from Web 2, and what benefits does it offer? We are sure you would be curious about a lot more things, including the technology behind Web 3 and its use cases.

There are several fundamental differences between Web 2.0 and Web 3. It’s so much so that they are not just versions of each other or two different names for one thing. When you finish reading this article, you will develop a good understanding of what those differences are. So, let’s get started.

What is Web 2 and how did it come into Existence post Web 1

Web 2 has been the buzzword for the past decade. You can use Web 2 to describe a range of things like blogs, social networks, Wikipedia, etc. The term was first used by O'Reilly Media in 2004 to describe the second generation of web-based software that added intelligence to websites.

User-generated content made it easier for users to access information and interact with each other online. Web 2.0's growth coincided with the rise of social media sites such as MySpace, Facebook, and Twitter. These sites allowed users to share their thoughts, photos, and videos with others on their personal profiles or within groups of people who shared similar interests.

The technical limitations of Web 1 didn’t allow for sharing or collaboration between users. These hindrances made Web 1 websites essentially one-way streets. Though users could browse and read published content, they could contribute to it. Web 2 brought a whole new level of interactivity and collaboration by introducing social networking sites like Facebook and Twitter.

These sites allow users to create profiles, share photos and videos, participate in groups, chat with friends and even play games on their computers or phones. The second phase also introduced forums, message boards, and wikis where people could exchange information and learn from one another.

What is Web 3

Web 3 is the next phase of the internet that promises to bring a paradigm shift. It has several core concepts like decentralization, openness, and advanced user functions. When we talk of decentralization, no single centralized entity owns and controls Web 3 assets. Instead, the ownership remains distributed among users and developers.

Everyone also gets to participate equally in Web 3 as no entity can block any individual. For example, users may get banned on Web 2 platforms like Twitter if their views go against their policies. Another vital aspect of Web 3 is native payments, which cryptocurrencies facilitate. It is helping people reduce their reliance on traditional systems like banks.

Web 3 is not just the next iteration of the web. This new paradigm will change how we view and interact with the Internet. Web 3 is more concerned with creating tools to allow developers to build applications without worrying about scalability issues or quality assurance tests.

Underlying differences between Web 2 and Web 3

Here are the various differences that offer a clear distinction between Web 2 and Web 3.

• Technologies

Machine learning, artificial intelligence, and decentralized protocols are highlights of Web 3 platforms. Web 2 has got traditional technologies like AJAX, CSS3, and HTML5.

• Focus

Web 2 focuses more on online exchanges and creating communities. Decentralization, semantic learning, and giving more power to individual users are core functions of Web 3.

• Censorship

Web 3 offers a decentralized platform with no fear of censorship, unlike Web 2 platforms like Twitter.

• Servers

Web 2 apps get impacted and face outages when servers go down. However, since Web 3 has a decentralized network on Ethereum, the chances of such events are minimal.

• Data rights

Web 2 platforms hold the entire rights over user data. Meanwhile, Web 3 platforms offer complete data and sharing ownership to users.

Features of Web 3

Here are some of the top features of Web 3.

• Connectivity

This web phase has made it easy to connect with people and share information. That's because of the semantic metadata. The result is an enhanced experience for users.

• AI

Web 3 systems can understand language like humans do. They offer more relevant and faster results.

• Omnipresence

Apps offer access from both web platforms and devices. Users can thus access any content from anywhere.

• Semantic web

Web 3 offers Semantic Web, which is an enhanced version of today's web technologies. Related Web 3 platforms will better generate, share, and link content through analysis and search.

Advantages of Web 3

Here are the different advantages offered by Web 3 platforms.

• Data encryption

Ethereum-based blockchains come with trustable platforms that offer complete data encryption. Advanced security measures ensure there are no breaches. There is thus no role for any intermediary agencies.

• Data control

Users get complete ownership and control over their data. There is further safety assurance through encryption measures. Users can thus share information with others on a need or permission basis.

• Data access

The data access advantages of Web 3 when coupled with smartphones and cloud-based apps give users the flexibility to access information from anywhere.

• Asset transfers

Blockchain users can create addresses to transfer digital assets. They can also send and receive wealth through cryptocurrencies that use blockchain as the underlying technology. There are no intermediaries as anyone can send a digital asset to almost any part of the world.

• Access denials

Decentralized Web 3 platforms do not deny a service access to users. For example, users getting banned for voicing their opinion freely is a common phenomenon across Web 2 platforms like Twitter. Such instances have low possibilities in Web 3.

Arcana Network as a Web 3 platform

Blockchain is the underlying technology in most Decentralized Apps (DApps) we see today. It powers a range of apps in the cryptocurrency, Decentralized Finance (DeFi), and NFTs space. These apps need to focus much on privacy to protect user data and identity. This is where Arcana Network comes into the picture.

It is helping DApps by reducing their reliance on three to four protocols for authentication, key management, and other functions. Arcana offers a one-stop solution for the entire data layer of DApps.

Besides offering storage and privacy support to Web 3 apps in the cryptocurrency, DeFi, and NFTs space, it also powers Web 2 platforms. These are across different domains like SaaS, FinTech, Healthcare, and others.

A Web 3 and decentralized network like Arcana offers complete encryption for assets. Furthermore, they remain split up and distributed across several storage nodes. Arcana also removes the entry barrier for entities by making it easy for everyone to access the services.

Anyone with an individual capacity or businesses with small and large data centers can use Arcana. Users can get assurance against hacking attempts, downtimes, shutdowns, etc.


It is essential to recognize that both platforms offer several unique advantages. Web 2 was revolutionary in its day and has served us well. Web 3 is the future of the internet, and there are many benefits to come along with it. Web 3 users can expect advanced technologies to achieve goals that were not possible with Web 2.

The advantages of Web 3 over Web 2 include the seamless transfer of digital assets, no censorship, complete ownership over data, and much more. Web 3 is still an evolving concept that promises a lot more in the future.

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.

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.