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(Web3 Innovation Conference site)

On November 18, 2022, the "Web3 Innovation Conference" co-created by Amazon Cloud Technology and invited Kucoin Labs chief fund manager Han, W 3. hitchhiker Lianchuang Rex, Sharding Capital founding partner Yang Chenguang, FaTPay&FaTLabs partner Cody Lee Chat with Hacash.com co-founder Ken You about the nature of Web3.

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Web3 is not a good word

From a broad perspective, the current Web3 projects are mainly those projects that are combined or related to encryption technology, Token economic model, or public chain technology, and these projects were previously called blockchain projects or encryption projects.

But Web3 is not really suitable for encryption projects. The term Web3 evolved from Web1 and Web2. Currently, the largest project in Web3 is Bitcoin, but Bitcoin is neither the Web nor a Web technology.

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Core Values ​​of Web3

What makes a good Web3 project? High-quality Web3 projects should refer to those projects that can create long-term stable sustainable value. Not projects that just made money or gained influence, like Luna and Stepn, which were smash hits and then collapsed.

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The underlying requirements of Web3 are not the technology

Computing, transmission and storage are the troika of the Internet and the underlying requirements for the development of Web2 projects. And there is a brand-new judgment perspective on the underlying requirements of Web3.

For example, without centralized control, the free circulation of Bitcoin is essentially a currency asset; the essence of Token issued by the Ethereum ERC 20 protocol is the free issuance of unregulated "securities"; the essence of NFT is a guarantee of ownership and a new asset class with liquidity. They are not some general technology platform, but a value-oriented asset form. It is these value orientations that gave birth to Bitmain, Uniswap, Opensea and other projects, and the current Web3. Therefore, only technologies and services related to value orientation are the underlying requirements of Web3, rather than evaluating the underlying requirements of Web3 from purely technical infrastructure.

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The New Value of Web3 (New Narratives)

At present, the Web3 infrastructure track is still a hot spot for major mainstream capital investment, but the direction of infrastructure investment is gradually shifting to technology. For example, the new public chains Aptos and Sui, which have raised hundreds of millions of dollars, mainly use Move, a contract language that is safer than Ethereum Solidity, and a purely technical optimization point cannot achieve a comprehensive innovation of the underlying value. Become a new Web3 narrative. A very simple reason, if necessary, Ethereum can support the Move language.

So where is the new value or new narrative of Web3?

We can look at the innovation and new narrative of the underlying value from the perspective of three impossible triangles, namely, the impossible triangle of blockchain scalability, the impossible triangle of stable cryptocurrency purchasing power and the rapid growth of blockchain projects. Possibly triangular.

The Impossible Trinity of Blockchain Scalability

The impossible triangle of blockchain scalability means that blockchain cannot simultaneously satisfy decentralization, double-spending security, and scalability. At present, the new public chains that focus on scalability have chosen to give up decentralization, and the most representative of this choice is the EOS public chain. At that time, EOS had all the resources that a public chain should have: sufficient capital support, top-notch The star team, the global market enthusiasm, but ultimately failed. The reason is that the centralized nature of EOS makes its underlying value and economic model unsustainable.

In addition, there are also public chains that choose decentralization and scalability. In terms of scalability, most of them use DAG solutions, but if you want to prevent the problem of safe double spending, you must sacrifice decentralization.

Bitcoin and Ethereum chose decentralization and security at the expense of scalability. The scalability solution uses layering or fragmentation technology, and fragmentation expansion cannot be realized. So Layer 2 and Layer 3, which serve value-oriented technologies, are becoming the next mainstream narrative.

The Impossible Trinity of Cryptocurrency Purchasing Power Stability

The impossibility triangle of stable purchasing power of cryptocurrencies means that it is impossible for cryptocurrencies to satisfy relatively stable purchasing power, large-scale circulation and decentralization at the same time. The Luna stablecoin UST is because it chose to decentralize and circulate on a large scale, and could not achieve stable purchasing power, which led to the final collapse.

Then USDT, the current largest stablecoin, chooses large-scale circulation and stable purchasing power (anchor fiat currency) at the expense of decentralization, which also causes everyone to worry about USDT after every thunderstorm in the encryption circle.

The well-known Bitcoin has chosen decentralization and large-scale circulation, using the PoW mechanism to rigidly and simply issue new currencies, but its currency value is still too volatile, and there is no necessary design for the stability of purchasing power . Then the next project that can achieve decentralization and large-scale circulation, and can be better than Bitcoin in terms of relatively stable purchasing power, will bring a new narrative.

The untriggerable of the rapid growth of crypto projects

The untriangular nature of the rapid growth of encrypted projects means that it is impossible for encrypted projects to satisfy decentralization, long-term value and rapid growth at the same time. This is essentially a natural lack caused by the decentralized nature of the encryption industry. For example, centralized exchanges represented by Binance obviously sacrificed decentralization and chose long-term value and rapid growth, which is the direction chosen explicitly or implicitly by most projects.

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Looking for Web3 projects with long-term stability and sustainable value

A Web3 project with long-term stability and sustainable value must be based on technologies and services related to the two core values ​​of Web3. One of these two core values ​​is the transformation of production relations, and the other is free circulation of new commodities and assets that are not subject to centralized control.

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Why do you need Hacash.com

Hacash.com is a Layer 2 payment network and Layer 3 multi-chain infrastructure company based on the Hacash sound currency. Its Layer 2 channel chain payment and settlement network is more secure and decentralized than the Bitcoin Lightning Network. Its Hacash L3 proposed Layer 3 technical architecture and ecosystem earlier than Vitalik.

So why choose to build on Hacash?

From the perspective of new value and new narrative in the impossible triangle, sound currency Hacash has made the following choices in the three impossible triangles:

Impossible triangular aspect of blockchain scalability, Hacash chooses decentralization and security. The scalability of payment is solved through the Layer 2 channel chain payment and settlement network, and the scalability of DApps is solved through the Layer 3 multi-chain system built by Hacash.com.

In the impossible triangular level of stable purchasing power of cryptocurrency, Hacash chooses decentralization and large-scale circulation. From the perspective of purchasing power stability, Hacash does not maintain stability by choosing to anchor any legal currency, but solves it through three different PoW coins HACD, ​​BTC and HAC. HACD and BTC can adjust the supply balance of HAC by the free market in a variety of ways to achieve the relative stability of the purchasing power of HAC.

In the impossible triangular level of the rapid growth of encryption projects, Hacash chose decentralization and long-term value. Hacash follows the Fibonacci mechanism of first increase and then decrease, which ensures that on the basis of the absolute fairness of HAC distribution, its growth rate is completely dominated by the community just like the choice of Bitcoin.

Hacash created a new narrative and value orientation in the impossible triangle where the purchasing power of cryptocurrency is stable, but chose decentralization and long-term value at the impossible triangle level where the encryption project is growing rapidly. Hacash.com, as part of the Hacash community, will promote the overall development of Hacash through layered narratives in line with the blockchain's impossible triangle level as a solution.

Hacash.com supports the global free circulation and instant payment of HAC and BTC by building an L2 payment application based on the value orientation of Hacash's sound currency, and provides the native ecology of HAC and BTC by building an L3 multi-chain expansion infrastructure Apply settlement scenarios to truly bring the real economy into Web3.