Crypto Must Be Destroyed For Web3 To Appear, Says Tim O'Reilly

Crypto is said to have to fail like dot-com for web3 to appear. (The-Blockchain)

JAKARTA – One of Silicon Valley's top intellectuals who popularized the term Web 2.0”, Tim O'Reilly recently issued an interesting statement regarding crypto and Web3. O'Reilly stated that Web3 would emerge after the crypto bubble burst. Therefore, cryptocurrencies must first fail like the dot-com bubble.

“Web 2.0 is not a version number, it is the second coming of the web after the dot-com fiasco. I don't think we'll be able to call Web3 “Web3” until after crypto breaks. Because only then can we see what lasts.

Reporting from U.Today, O'Reilly recalls that many companies have exorbitant valuations of crypto even though it has little or no economic impact. He cites the Pets.com disaster as his most notable example.

When it comes to crypto, he wants to see what projects will survive once the bubble will eventually burst and indiscriminate funding will simply disappear.

O'Reilly believes that the industry should focus on actual adoption rather than valuation figures. He also admits that centralization is everywhere. Tech pioneers, who have a tendency to spot disruptive trends, take issue with extreme centralization in a crypto space that supposedly values decentralization.

“So I guess I've just seen that pattern repeat itself so often that when everyone started talking about decentralization and cryptocurrencies, I immediately looked for centralization. And you see it everywhere."

O'Reilly said crypto values centralized exchanges, token issuers, and NFT marketplaces. Tech entrepreneurs think that Big Data and AI are more attractive from a decentralized point of view than cryptocurrencies.

Web3 is an umbrella term for a service created for a new iteration of the internet, it has become a popular topic of conversation and attracts venture capital firms to pour in funds for Web3. In addition, Web3 has also caused a lot of criticism from a number of figures in the technology field such as Elon Musk and Jack Dorsey.