Am I Missing the Point of Web3 as an Engineer with Almost Two Decades of Experience?

As a founding and principal engineer at a web3/blockchain startup, I’ve been immersed in this rapidly evolving space for a few years now. Like many of my peers, I’m driven by the need to make a living, and I’m fortunate enough to be part of a venture capital-backed company that is experiencing revenue growth, albeit not yet profitable. However, despite the optimism surrounding web3, I can’t shake an unsettling feeling: are we, as an industry, missing the point?

The Echo Chamber of Web3

One observation that stands out is the nature of our clientele. It seems that our clients are predominantly other VC-backed blockchain, web3, or crypto startups. This raises a critical question: isn’t the point of blockchain and web3 technology to address problems faced by non-web3 companies? Shouldn’t we be looking to solve real-world issues instead of merely selling to one another in a self-referential echo chamber?

This situation mirrors the sentiments expressed by many seasoned engineers and developers. A recurring theme in the comments I’ve encountered is that web3/blockchain often feels like a solution in search of a problem. The technology, while promising in its decentralization and transparency, appears to be developing in a vacuum, appealing only to those already invested in its ecosystem.

The Promise of Decentralization

Proponents of web3 often tout the potential of blockchain technology to disrupt traditional systems and eliminate powerful gatekeepers. However, the reality seems to be diverging from this ideal. Instead of dismantling monopolies, we’re witnessing the emergence of new players that extract value in much the same way as their predecessors. Companies are deploying their own wallets and custom chains on top of public ones, seemingly replicating the centralized structures that web3 enthusiasts vowed to dismantle.

This has led to an overwhelming perception that the promise of decentralization is being overshadowed by a rush to capitalize on the technology. The fear is that we may just be creating a new set of gatekeepers under the guise of decentralization.

A Comparison to the Dot-Com Era

Many in the web3 community liken the current state of the industry to the public internet in the mid to late 90s. However, having lived through that transformative period, I find this comparison tenuous at best. Back then, the average user quickly recognized the value of email, chat applications, and the World Wide Web. The technology had a clear, tangible benefit to everyday life.

In contrast, blockchain, cryptocurrencies, and NFTs have been around for several years now, yet they remain largely unadopted by the broader public. Most people I know outside of the web3 community engage with these technologies only to the extent of holding a small portion of their investments in Bitcoin. The lack of widespread use raises a concerning question: what are we really building here?

The Question of Sustainability

With the current trajectory of web3, one can’t help but wonder: is this all just a house of cards waiting to collapse? The skepticism is palpable, and discussions among engineers echo similar sentiments. The concern is that without a clear understanding of the problems we are solving, the entire ecosystem could be unsustainable.

As an engineer with nearly two decades of experience, I am left pondering whether I am missing something crucial. Is there a vision that I am not seeing? Are there real-world applications for web3 technology that could yield substantial benefits outside of the crypto community? Or are we collectively trapped in a cycle of hype that ultimately leads to a disillusioned market?

Conclusion

In conclusion, my journey through the world of web3 has been both enlightening and perplexing. While I remain hopeful for the potential of this technology, I also recognize the need for a deeper, more critical examination of its purpose. As we move forward, it’s essential for us as engineers and innovators to focus on solving real problems that extend beyond our echo chamber. Only then can we build a sustainable and meaningful future for web3 technology—one that truly benefits society at large.

Are we on the brink of a breakthrough, or are we simply building a castle in the air? The answer may ultimately depend on our collective efforts to bridge the gap between innovation and real-world application.