Web3 products have high sustainability due to the mechanism of smart contracts and gas fees
Web3 products have high sustainability due to the mechanism of smart contracts and gas fees. Unlike Web2, which requires a large number of active users to sustain, Web3 products can persist with fewer users. shogochiai explains this in a tweet November 14, 2021. The essence lies in the decentralized hosting servers such as IPFS and DFINITY for website hosting, and the public chains for the persistence layer, which do not require maintenance costs. The underlying assumption of this logic is that users pay a small fee when posting. This is supported by the concept of smart contracts as public and natural phenomena. Regarding developers, the deployment of contracts benefits from the practices of open-sourcing programs and distributing something equivalent to stocks to users. This creates a dynamic where everything defaults to being permissionless. Even if the number of developers is zero, the system can persist through forks and other mechanisms. The most fitting characteristic of web3 is the ability to fork without needing someone's consent. This observation is made by shogochiai in another tweet November 15, 2021. The sustainability of Web3 products has positive implications. Even small-scale products can be sustained, and the maintenance costs can be shifted to the blockchain, as mentioned by shogochiai November 14, 2021. This characteristic also affects organizations, as small core teams are common in Web3 compared to Web2. Tasks can be divided among diverse communities and DAOs, contributing to the downsizing of core teams. However, Web3 core teams have less cash flow compared to Web2 organizations. Profit-taking is converted into capital gains from tokens, rather than cash flow. On the other hand, the compatibility of crypto and capitalism is not ideal, as pointed out by junbhirano November 15, 2021. It is difficult to completely detach from capitalism. For more information, refer to the end of the HEN service.