Web3 set to engage broad set of industries has been saved
Cover image by: Jim Slatton
After successfully launching lines of digital collectibles backed by nonfungible tokens (NFTs), including CryptoKitties and NBA Top Shot, Dapper Labs has a message for businesses who are currently standing on the sidelines of Web3 waiting to see how it will mature.
“Web3 is going to impact every single sector and industry, it’s an opportunity for companies to jump in early and make sure they’re incorporating it into their broader strategy,” says Ridhima Ahuja Kahn, vice president of business development at Dapper Labs and former partner at Andreessen Horowitz.1
Part of the reason why Ahuja and others are so confident that Web3 will impact businesses across the board is that the growth in users is exponential. Initially, blockchain-backed offerings had a high bar to entry. Users needed to be experts to use many Web3 services. But those days are rapidly receding. Dapper Labs is among those companies that simplify the blockchain through more user-friendly interfaces and experiences, making an often-opaque arena more accessible to many people and allowing anyone to sign up with a few taps.
For example, Dapper Labs offers an easy-to-use digital wallet, Dapper, in which users can store NFTs and other digital assets. Ahuja says that every additional piece of information you ask for in NFT transactions increases the bounce rate substantially. So, Dapper focused on making its digital wallet both easier to access and use for transactions. Users only need an email address and a username to get started.
Ahuja says this kind of customer-centric approach to the blockchain will increase adoption of Web3, taking it far beyond the realm of “crypto bros” and making it more of a mainstream medium for value exchange.
“Sports and NFTs are the tip of the iceberg,” she says. “We want to get billions of people on blockchain. You do that by clearly communicating benefits to consumers.”
Currently, there are 14 million user accounts, as well as 8,000 developers working on the Flow blockchain, created by Dapper Labs. People are using the platform to develop art, games, social media experiences, and more. Ahuja believes these numbers will continue to grow due to the network effect: As more creators and consumers join, the increased demand will likely encourage more businesses and creators to flock to Web3 platforms. And as businesses develop more experiences, even more users will join.
There are compelling reasons for both consumers and businesses to get involved in Web3. Customers have a chance to claim a share of value creation by investing in projects and creators at an early stage, and the return on their investment is transparent and authenticated. Businesses and creators, for their part, have new and often deeper ways of interacting with customers.
“Web3 transforms passive consumers into community members,” Ahuja says. The growth that Ahuja expects in crypto-asset uptake is not merely theoretical. To see where it’s coming from, she suggests, look at the digital habits of the next generation. Many value their digital assets and identity just as much as their real-world possessions. With the younger demographics leading the way, digital assets will increasingly become mainstream.
“We want a Web3 wallet in every pocket,” Ahuja says. “Our goal is to get blockchain into new audiences and sectors so everyone can benefit from the network effects. The actions developers and creators are taking right now will compound over the next few years.”
Cover image by: Jim Slatton