Web3, DeFi, and NFTs: What’s the Future of Blockchain?

Blockchain is a new form of technology that can help people store and share information safely and without any restrictions. It begins with Bitcoin which is a form of digital money. However, the blockchain has expanded to become more than the cryptocurrency now. In our times, we talk about Web3, DeFi and NFT. These are some of the most thrilling elements of block chain world. In this essay we shall examine their meaning and what the future perhaps holds in store to them and particularly the Nigerians and Africans.

Web 3.0 is also known as Web3. It is the future phase of internet. Currently, the giant firms own most websites and applications. To give an example, Facebook, Google, Twitter all dictate what is shown, and what can be posted. the case is web 3. It is the new form of the internet where an individual can possess and manage his or her data. Web3 provides its users with an opportunity to access websites through the blockchain without middle-sized corporations in between.

Among the things that Web3 is based on are smart contracts, cryptocurrencies, as well as decentralized apps, which are referred to as dApps. Web3 will allow the people of Nigeria to create applications, exchange ideas, and even earn money without blocking and managing it by somebody. It takes the power out of the hands of the people.

DeFi is an abbreviation that means the same as Decentralized Finance. It is just like regular banking without banks. With the help of blockchain, people can either save, borrow, lend, or trade money in DeFi. All this happens on smart contracts, they are akin to computer programs that do as they are told as there are no humans involved in assisting them.

Image Source

As an example, to borrow money in a bank, one can borrow money through the DeFi mechanic directly with another individual. It does not use a bank, all is done with some cryptocurrency such as Ethereum or stablecoins.

In Nigeria, there are numerous individuals who lack access to banks or feel the cost of banking is too expensive to them. The way out here is DeFi where people can be in control of their money. It is also bringing aid to the small business owners that require loans or individuals that desire to use their money and earn interest in saving their money online.

The NFT is an abbreviation and it implies Non-Fungible Token. It is a unique form of digital object in the blockchain that is unique. That is to say it cannot be copied. NFTs may be used in art and music, videos and even tickets to an event.

The NFTs are already being used by numerous aspiring artists, musicians and designers in Nigeria to sell their products online. They no longer have to seek galleries or even music-companies to sell their art to people world-wide, they can sell right away. Customers also use cryptocurrency to make purchases, and all is kept in blockchain to make it so that no one can take their work.

The future of the blockchain is really bright. It is developing and right now Web3, DeFi and NFTs are moving so fast. A lot of individuals all over the world are now creating new applications and tools based on blockchain technology. In such states as Nigeria with their large number of talented youth, blockchain will contribute to the development of new jobs, expansion of business, and resolution of the country-specific issues.

Nevertheless, it still has some difficulties. Not many regions of Africa are yet powerful in terms of electricity, internet and education. There is too, the fact that many people do not yet know how blockchain works. Governments should also come up with improved regulations that would benefit the user but at the same time not kill new forms of ideas.

The new available technologies Web3, DeFi, and NFTs are transforming the use of the internet, money and talent sharing by people. They are empowering the commoner and not only giant corporations. This is a great opportunity to grow and be innovative in Nigeria and the rest of Africa. To have all the benefits though, it is important that more individuals become educated about blockchain and the way it functions. A brighter future with blockchain is within reach and Nigerians can take the advantage with proper support structure.