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Are Amazon and Shopee Web 3.0?

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Amazon and Shopee are two famous marketplaces that have transformed the shopping experience for internet users. They venture into new realms of e-commerce to spread their presence even more. 

But are they Web 3.0, and can they benefit from a decentralized World Wide Web?

Is Amazon Web 3.0?

Amazon isn’t Web 3.0 right now. In fact, it’s one of the leading tech giants that the Web 3.0 fans hope to take down with their decentralized third generation of the World Wide Web.

Amazon Web Services (AWS) is one of the most prevalent web services that act as a centralized platform to host content generated worldwide. 

Web 3.0 seeks to break free from such platforms and their terms and conditions by providing peer-to-peer computing.

Amazon has created a platform for sellers and customers to interact and trade directly. 

However, it acts as the intermediary between these two, regulating their interactions and intervening whenever a problem arises. That’s another case that negates the notion of peer-to-peer interaction.

Still, since Web 3.0 has different aspects, Amazon can fit into some of its areas. The company has announced its Web 3.0 division called Web3 Lab, which creates tools and platforms to facilitate the adoption of blockchain technology.

Another area where Amazon seems to be venturing into Web 3.0 is artificial intelligence. Although not strictly a Web 3.0 technology, artificial intelligence will no doubt play a critical role in the future of the web. 

Amazon’s voice assistant, Alexa, is a great example of what the future of the web will look like. Alexa is constantly learning about your preferences using the data it gathers from your daily activities. 

So, when you ask it a question, it gives you the most personalized answer, eliminating the need for you to go through thousands of web pages and results.

Is Shopee Web 3.0?

Not all of Shopee’s operations are Web 3.0. It’s a platform that, much like Amazon, connects sellers and buyers.

While it seems like a peer-to-peer interaction, Shopee acts as the facilitator between sellers and buyers. Even the money buyers pay for products first goes to an account belonging to Shopee.

In addition, sellers have to pay a commission to Shopee in exchange for the platform’s services. 

That’s the opposite of Web 3.0 goals and ambitions; it involves the users getting paid for their contribution to a website and not paying any fees to platforms.

Another aspect of Web 3.0 is being trustless and permissionless. Sellers and buyers don’t need a trusted intermediary to allow them to interact. But Shopee is there to guarantee participants a safe and secure interaction.

The closest Shopee comes to being a Web 3.0 platform is its virtual currency—Shopee coins. 

Shopee encourages customers to purchase more on the platform by giving them Shopee coins after each purchase. They can later use these coins to get discounts on their future purchases. 

Virtual coins have been a marketing tool for a long time, and they’re different from cryptocurrencies. 

The first difference is that the coins have no value outside Shopee’s platform. Secondly, user balances are only recorded on Shopee’s servers, not a decentralized blockchain with transparent access. 

So, Shopee is still far from the shopping experience intended by Web 3.0 fans.

What Is Shopee?

Shopee is a marketplace, like Amazon, that allows sellers to offer their products to customers through their platform directly. Famous brands and third-party sellers can sell their products on Shopee. 

The only difference is that recognized brands sell their products via Shopee Mall, while third-party sellers can only access Shopee’s regular platform.

Shopee started as a marketplace in South Asia but then expanded its operations to South America and Europe, with marketplaces in Spain, Poland, France, Chile, Columbia, and many others.  

The company wants to offer its customers the most tailored shopping experience using big data and machine learning. It gathers data from previous purchases to suggest products that best match their preferences.

Does Web 3.0 Already Exist?

Some applications of Web 3.0 already exist today, but the technology is far from being complete. For example, Reddit is trying to move from the centralized business model that controls all user interactions on its platform.

It’s aiming to give its users more freedom to control the communities they interact in.

Trustless, decentralized, and peer-to-peer interactions on the web require blockchain infrastructure and security measures that ensure ultimate safety without regulatory bodies and big tech companies controlling the web.

How Is Amazon Investing In Web 3.0?

Amazon is investing in Web 3.0 via its new division, Web3 Labs. The team provides platforms and tools for blockchain technologies. However, the company hasn’t disclosed other plans to venture into the Web 3.0 world.

Is Shopee Investing In Web 3.0?

Shopee hasn’t announced any investments in Web 3.0. It’s a marketplace that takes a big portion of its revenue from overseeing and regulating peer-to-peer interactions between sellers and customers on its platform. 

Decentralizing the web is the exact opposite of Shopee’s business model. However, by the time it’s completely rolled out, Web 3.0 may look completely different from now, and big tech companies and marketplaces may jump in, too.

What Is Web 3.0 And Its Examples?

Web 3.0 is the third generation of the World Wide Web governed by peer-to-peer interactions and blockchains. Cryptocurrencies and NFTs will play a significant role in Web 3.0 because they run on blockchains.   

Bitcoin is a good example of the application of blockchains on the web. You can send it from one wallet to another without any central authority monitoring the transaction. 

How To Invest In Web 3.0?

You can invest in Web 3.0 by investing in companies that develop the technologies and computing platforms required for Web 3.0. 

Alternatively, you can buy cryptocurrencies of projects decentralizing the web, including Ethereum and Cardano. 

You could also invest in NFT marketplaces and companies that offer payment methods for Web 3.0 applications.

Final Thoughts

Amazon is a tech giant that offers large cloud platforms through which data are stored and transactions take place. Shopee follows the same path and has become a marketplace through which users interact.

This centralized business model is the opposite of what Web 3.0 looks to achieve. That’s why they can’t be considered Web 3.0 just yet, although some of Amazon’s blockchain activities can be regarded as Web 3.0.