What is SocialFi?
Pondering about decentralized social operations might sound crazy at first. Still, when you learn about their counter accusations and stoner benefits, you’re more likely to get agitated about their actuality.
SocialFi is web3’s answer to the following generation of social media.
Online users are transitioning from a web2 to a web3 social media platform-driven world.
The existence of SocialFi will bring a motley of networking and finance to make decentralized social networks. SocialFi, a blend of social
media and Web3 development, is here to live beside MetaFi, GameFi, and DeFi. It refers to social media on a blockchain with a subcaste of finance.
The notion integrates the principles of decentralized finance( DeFi) and Web3 Social Media Platform development techniques that allows the users to create, drive, and own content the social platforms. It has already attracted hundreds of projects with millions of active users.
SocialFi- A New Beginning
SocialFi has the attributes of decentralization, susceptibility, and user control. Web2.0 era functions on the central servers, and social media operators maintain the users’ data to make earnings with slight benefit to the users. The primary concerns with conventional social media that SocialFi aspires to unravel:
Data Authority & Sovereignty
Social media platforms gather and save users’ data as lawfully as possible all over their network and from third parties further belong to them.
SocialFi desires to leverage Web3 and blockchain technology to make user data collection transparent and non-tampered.
Benefit distribution
With Web3 Social Media Platform development the platform owner can help busineses to make huge profits by publishing advertisements based on user traffic. They benefit from more significant engagement and traffic, generating billions of ad income, whereas the users benefit from solely using the platform.
Monetization – Right to equality
Numerous SocialFi projects notice these benefits as unequal distribution and seek ways to allow users to monetize their social influence and use.
Security and Privacy
In conventional social media networking, each account signup needs the user’s data, such as mobile number, email address, etc., stored in the operator’s database and is highly vulnerable to leakage.
Blockchain-based SocialFi is a Web3 social media platform development technology where users’ identity information is anonymous and helps protect security and privacy.
Web3 Disruption in Social Media
How Web3 Development will disrupt social media networking soon, and what kind of challenges it will encounter.
Freedom of speech
SocialFi is a presentation of personal value conveyed visually through the capital. Beginners or celebs having their influence will expand their cartel on content creation. In contrast, late entrants or less effective general users’ content often needs to be discovered more.
Improved Reward System
SocialFi presently has two primary forms for users to earn remuneration.
Firstly, create content and wait for rewards from followers.
Secondly, the form of Write-to-Earn, similar to the concept of Play-to-Earn, means writers can earn rewards through writing.
Web3 & SocialFi Characteristics
Web3 and SocialFi development enhance the internet as we know it today with a few other added characteristics