Navigating Web3: Challenges and Opportunities

Artists today know more. They are aware of the market more than they once were. There seems to be something in the air that art is commerce itself.

-Jasper Johns. (2008)

Now that NFTs are mainstream, the subject is inevitable. Web3 has been the latest buzzword these days. However, before we understand what makes Web3 so revolutionary, we need to revisit Web1 and Web2.

Web1 refers to the early days of the internet, which emerged around 1991-2004, where the contents were read-only and consumed passively. It was a time when we started communicating across the world via email and chat rooms (think AOL dial-up days).

We're now in Web2, participatory web or the social web, where the social media platforms such as Facebook, YouTube, Instagram, Twitter rely and monetize on user-generated content.

We've been scratching the surface of the world of Web3 (slightly different from Web 3.0 or Semantics Web), built on blockchain and decentralized systems, such as DAO (Decentralized Autonomous Organizations). DAO works similarly as a company without the central leadership and members having the voting rights to make decisions. In addition, the built-in smart contracts and blockchain ledgers allow more transparency within the ecosystem. However, unlike Web2, the creators build and own their content and have direct access to their audience, community, and collectors rather than relying on third parties.

Since the pandemic, we've spent most of our lives online, so it's been a natural transition to move towards the Web3. Although some skeptics have a dystopian vision of Web3, many creators are using Web3 as a way to fix the old paradigm and build their own economy without compromising their values. However, it's become an essential tool for major legacy brands and artists to sustain their relevance and thrive in the marketplace without the "middle" man.

The Challenges of Web3

CHALLENGE 1: CUTTING THROUGH THE NOISE AND HYPE

Web3 is still in its infancy and has plenty of room for improvement. When I started in the blockchains space back in 2018, there were hardly any resources available, and communities were a lot smaller. I also used to get confused looks and questions whenever I mentioned how blockchain is radically changing the art world (and I still get baffled looks occasionally).

There's a plethora of information with splashy headlines and hype nowadays where people strike gold seemingly overnight. Also, there's a lot of hype around PFPs and 1/1s flooding the marketplaces. As a result, minting NFTs have been much easier than before (like uploading files onto a platform). However, these attention-grabbing headlines fail to mention the thoughtful strategies for cultivating a community, work, and team behind the scenes. The NFT marketplace and Web3 work similar to the real world--the artwork needs to have more substance and intrinsic value; artificial scarcity alone isn't going to last long.

As with any investment, the navigation of Web3 requires time, patience, and careful research. So don't just follow the hype and look for projects and communities that align and vibe with your values and mission.

CHALLENGE 2: OVERCOMING THE MYTH OF STARVING ARTIST

Art and business have been taboo in the art world. Artists have been taught that attaching money to art is sacrilegious and undervalued themselves and work for centuries. However, talent and creativity nowadays won't get very far, especially in Web3. Jasper Johns' statement above attests that artists need to be proactive with building relationships and business and understanding the marketplace.

CHALLENGE 3: UNDERSTANDING THE CONCEPT OF OWNERSHIP

Most people are baffled by the ownership concepts in the digital world. How can something replicable have value and be owned by someone or an entity? Having complete ownership of your work and communities requires a clear vision and greater responsibilities. Building community in Web3 follows the same principles IRL as mentioned above, and it's another mode of communication.

Just as in IRL, everything revolves around trust and relationships. For instance, whether IRL or Web3, I invest and commit to projects because of the long-term trust and relationships. If I were to base the work solely on aesthetics, the chance of me investing in the project would have been very slim. So collecting NFTs is not just validating the proof of ownership or owning something "cool," successful projects have focused on delivering the value or utility to the community.

The Opportunities

OPPORTUNITY 1: COMPLETE OWNERSHIP OF YOUR WORK AND LEGACY

As mentioned above, setting up a DAO is like setting up a business. The creators' clear vision and mission must execute a successful project. Building a community of like-minded people takes time and deliberate intentions. It's challenging to build a community without having a crystal clear vision of what that would look and feel. Although blockchain can run itself without a central authority, it does not replicate human connections and interactions. (Read more on AI making art article). We're using Web3 as a portal to strengthen those relationships and trust.

OPPORTUNITY 2: ROOM FOR EXPERIMENTATION

We're all new to this technology and still learning! It is a perfect opportunity for artists to experiment with something different and thrive. History has favored the bold, courageous, and revolutionary concepts that won't be novel without controversies and challenges. Just as with the previous generations of the World Wide Web, it took time for us to adapt and become the norm.

OPPORTUNITY 3: THE RISE OF THE CREATOR ECONOMY: WHERE ARE THE STARVING AND TORMENTED ARTISTS?

For centuries, our culture and art history have glorified the "starving," "tragic," or "tormented" artist (Read my previous article and NYT Magazine article). Troubling behaviors, mental issues, and addictions were synonymous with the "gifted" or "genius" artists. Also, artists have not been taken seriously as "real world" professionals, and the idea of children becoming an artist terrified many parents. Fortunately, Web3 is reshaping the image of the artists and breaking the old paradigm where the artists become more independent and slowly gain recognition as serious professionals. In addition, now more parents are fostering creativity in their children beyond childhood.

Again, Web3 isn't perfect, but we're making progress toward the utopian vision where it's creating more opportunities for artists to expand their practice and sustain their careers without compromising their ethos. These days, artists are in demand as many brands seek collaborations more than ever; we have finally arrived at a point where the artists have the best time in history. As the saying goes in Web3, #WAGMI (we're all gonna make it).