This is going to be a multi-part series discussing why Web 3.0 is crucial. Due to advancements in AI, we are seeing things being altered very quickly. Unfortunately, it seems most are asleep to what is taking place, even within the crypto industry.
There are two major components that are going alter the make up of our economies. In this article, we will cover the job situation. There is an example that exemplifies what is about to take place.
In the second one, we are going to deal with the fight against Big Tech. They are positioning themselves to destroy many online businesses, pushing the likelihood of only a few digital platforms running everything to the forefront.
For the moment, let us look at the first reason why Web 3.0 is crucial.
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Massive Job Destruction
When you take the money out of something, it tends to diminish.
This is the basic essence of human labor. It is becoming devalued with each passing day. The release of the last versions of Large language Models (LLM) revealed this. What we have coming next, in my estimation, is going to blow away what we are presently dealing with.
Of course, the company that gets a great deal of attention is OpenAi. This is important to this article since its Chief Product Officer, Kevin Weil, recently spoke out about where things are going.
What happens when something goes from $6,000 to $3?
I think most would say that is some major deflation. To the users of that product or service, that is a huge decline.
This is exactly what is happening in the legal industry.
OpenAI’s Chief Product Officer Kevin Weil has sparked a profound discussion about AI’s transformative impact on professional services, particularly in the legal sector. His ‘Ray Summit 2024‘ revelation about their o1 model’s capability to produce legal briefs traditionally handled by high-billing associates highlights a dramatic shift in the economics of professional services.
To some, this does not come as much of a surprise. The discussion around knowledge work being devalued at accelerating pace is starting to be felt.
According to Weil:
The stark contrast between traditional and AI-powered legal work is eye-opening: what once required six hours of a $1,000-per-hour associate’s time can nOW be accomplished in five minutes for merely $3 in API credits. This 99.9% reduction in both time and cost raises fundamental questions about the future of professional services and their pricing models.
The last part is clear: these professional services cannot compete. It is really that simple. It is no different than a human bookkeeper producing a spreadsheet at the pace of Excel.
As we stated on numerous occasions, this means jobs. If we focus upon this single service, over time, the revenue coming in will decline. The businesses will have to start reducing costs, meaning people will be let go.
Ultimately, these firms will close up shop. Have you seen a buggy (horse) manufacturer lately?
Why Web 3.0 Is So Important?
If we are entering a period of rapid decline in the value of labor (even if we don't get to post-labor economics), how are people going to survive?
This is the multi-trillion dollar question that nobody seems to have an answer for. What we have is the ownership of the means of production is going to shift seriously.
Here we have the private versus public debate. Many are stating that something like Universal Basic income (UBI) is the answer. While this could make sense on the surface, what is really happening is the means of production is basically being handed to the government. People love free money so they will support this. Of course, this is fine until the political landscape changes and one falls out of favor.
Then your income ends up being eliminated.
Web 3.0 offers the potential for something different. The regular debate operates in the geographically based world. Instead of going this route, the future solution could be based upon communal ownership in networks. Here is where Web 3.0 changes everything.
With the expansion of digital capabilities, economic productivity is being tied, to a greater degree, to networks. Since we are dealing with data, processing, and advancing "intelligence", it is clear how these are becoming more important.
Networks within the Web 3.0 realm are not exclusively owned by corporations. Instead, public blockchains democratize the ownership, allowing anyone to be involved. Here is where the ability to own assets enters.
Thus we see what the debate boils down to: Big Tech versus everyone else.
Web 3.0 provides a different ownership structure that provides the opportunity for communal ownership. People are able to accumulate stake, often through a variety of methods, to have a vested interest in the economic activity that is generated. Over time, if this is increasing, the value of one's holding will follow.
Here is where we see the distribution mechanism change. Users, investors, and entrepreneurs are all on the same footing. It does not matter how one acquires stake. This is radically different from the present business model, where ownership requires either buying in or starting something oneself.
This is a shift from income to staking capital. By having stake, people are presented with a host of financial opportunities.
It is going to be necessary as their job prospects start to dry up.
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STOPAll this rings true, but my main concern about Web3 being a solution is 'take-up'. People may steer clear of using anything related to a blockchain because of fears generated by:
My article What's Next - Web3 or Web0? was inspired by reading The Circle by Dave Eggers.
Hi @taskmaster4450 and C/LeoFinance.
I found the discussion you propose very important: Why Web 3.0 is so important (part 1). And the first part is fundamental. AI is covering much of our way of working, I think that education and AI education must be rapidly changing society and its way of working; this belongs to a few posts to be discussed.
But, what you raise in Web 3.0 is fundamental, the democratization of private property or rather, communal ownership in networks, leads us to a situation of economic corporations and among all, where we all (communes) are people participate in owning assets. Now, are we aware of it?
Hola @taskmaster4450 y C/LeoFinance.
Me pareció importantísimo el debate que propones: Por qué es tan importante la Web 3.0 (1ª parte). Y la primera parte es fundamental. La IA está cubriendo gran parte de nuestra forma de trabajo, pienso que la educación y la educación IA deben ir cambiando rápidamente la sociedad y su forma de trabajo; esto pertenece a unos posts por discutir.
Pero, lo que usted plantea en la Web 3.0 es fundamental, la democratización de la propiedad privada o mejor dicho, la propiedad comunal en redes, nos lleva a una situación de las corporaciones económicas y entre todos, donde todos (comunas) somos las personas participe en poseer activos. Ahora, ¿estamos consciente de ello?
This is such a powerful breakdown of why Web 3.0 is more than just a technological shift—it’s a necessary evolution for a decentralized future.
The way you highlight how AI is reshaping labor markets and how Web 3.0 can empower individuals through ownership is truly insightful.
It gives hope that this new digital era can create opportunities for everyone.
We are waiting to see where this will lead!
That is all I can say.
From 6K to 3 dollars? I mean the decline is elaborate. AI is introducing more scare in human to human transaction.
Adding to that, relying on government through UBI is a bad idea, we know some government capabilities at least. Only few understand the advantage of web3, till then it is better for it users to keep pushing it's positive evidence.
I see Web3 as favorable, asymmetric, leveraged bet on the future.
Gotta stake where the puck the puck is going to be. 🤣