TBD, a subsidiary of Block, which Jack Dorsey is the CEO of, has unveiled intentions to create a new decentralized web platform built on Bitcoin (BTC), called Web 5, confirming creator Jack Dorsey's confidence that the world's largest blockchain network will play a significant part in the internet's growth.
While Web 3 uses blockchain technology and tokenization to decentralize the web, Web 5 is designed as an identity-based platform which only uses a single blockchain, being Bitcoin. In a series of tweets, Twitter user Namcios (@namcios) deconstructed the Web5 concept, describing how multiple software components work together to improve the overall user experience and allow decentralized identity management. Web 5 is said to use ION, which is an open, public, and permissionless DID (decentralized identifier) network that operates atop the Bitcoin blockchain, according to Namcios.
According to TBD's concept documentation, Web 5 is basically a decentralized web platform, or DWP, which lets programmers construct decentralized web applications using DIDs and decentralized nodes. Web 5 will also contain a monetary network based on Bitcoin, echoing Dorsey's prediction that the digital commodity would one day become the internet's native currency.
Dorsey's desire to build a new web development paradigm might originate from his opinion that Web 3 would never attain complete decentralization. Web 3 and the venture capital community that backs its development have been publicly chastised by Block's CEO. Web 3 is owned by VCs and their limited partners, according to Dorsey, who tweeted in December 2021. He essentially said that their motives will never escape them, and that it's a centralized entity with a different label at the end of the day.
We believe that Web 5, the new platform, based on Bitcoin, that Jack Dorsey is working on, is very beneficial for everybody and is great for not just Bitcoin, but all cryptocurrency. It shows that innovative concepts like Web 5 are possible and can be done. Web 5 may be the platform that ultimately secures everybody's online identity and makes Bitcoin (or potentially a different cryptocurrency) the native currency of the global internet. Furthermore, this helps, or, will help, to boost the price of Bitcoin as well as all other cryptocurrencies, so you'll make some money while innovation takes place.