How Web3 is Changing the Internet with NFTs
In this interview, David Sneider the Co-Founder of Lit Protocol, and Ivan Kan from Crowdcreate discuss how Web3 is changing the internet and how NFTs will unlock cross-chain interoperability. How will marketers and users have to adapt to a decentralized future, and how the Web2 technology stack is being re-written covering identity, data streams, and file storage.
Lit Protocol is an ambitious project aimed to provide decentralized access control for connected experiences and can be used by DAOs, companies and creators to use tokens, NFTs, and blockchain identity as access keys. In January of 2022, Lit Protocol raised $2.2M from Sfermion, Collab Currency, Kleiner Perkins, Gumi Cryptos, and Crowdcreate.
Web3 Apps and Products Enabled by NFTs
How can DAOs Work with NFTs?
We work with Vandal DAO records to integrate audio NFTs and all the NFT pilots are stored on our wifi. This is a functionally and innovation of Bitcoin, and blockchain is being able to create a decentralized ledger. What we get out of a decentralized ledger, whether we’re talking about a crypto asset like Bitcoin or an NFT, is the capacity to add historical context on the internet prior to these decentralized ledgers. There wasn’t a trusted way to say this thing happened at this moment in time, whether it was the minting of an NFT, the selling of a token doing some kind of smart contract function. There was never the time dimension on the internet prior to this and adding that new dimension to the way that we can interact digitally. And this was only added through solving the Byzantine generals’ problem.
Adding Utility to NFTs
Turning Communities into Decentralized Autonomous Organizations (DAO)
How NFTs Are Used in Conferences & the Metaverse
An integration that is live right now is a platform called Gathertown. What Gathertown is, it is a spatial social metaverse. Essentially you walk around as a little 2D character, and when you get close to somebody else, you’re in a video chat with them. Like being at a virtual conference. And the integration that we’ve done with them is to basically enable token gated or NFT gated doors or portals.
What are big brands like Adidas doing with NFTs?
The Future of Web3 and Interoperability
One of the really exciting parts about web 3.0 in terms of how Lit Protocol fits into that stack, certainly will be the public asset and credentialing side of this. Everything that we talked about access to experiences, events, drops, live streams, collaborations, tasks, etc. and then on the kind of the data sovereignty and web stack side basics too. An example will be orbis.club, they have built a Twitter Discord like a piece of software but what makes it different is that it is stacked rather than running on AWS or Google cloud which consists of three layers. It has got our weave, which is a storage provider. Then it’s got ceramic which is basically they would say enables dynamic data streams. I kind of think about it like a database protocol with centralized identities. And then on top of that, they’ve also got Lit Protocol, which is what we’re working on, which manages the consent and encrypting and decryption.