Former Twitter CEO Jack Dorsey has taken to publicly reveal issues he has with the so-called “Web3” projects that aren’t perceived as decentralized enough to his liking and the venture capitalists that he says own the whole thing, creating “ultimately a centralized entity with a different label.” This week, Dorsey has expressed multiple views on “Web3” — a potential new decentralized version of the internet based on blockchain. Perhaps most notably, the entrepreneur said Web3 would be owned by rich VCs like Andreessen instead of “the people”.
Earlier in the week, he tweeted saying “You don’t own ‘web3.’ “The VCs and their LPs do. It will never escape their incentives. It’s ultimately a centralized entity with a different label.” Shockingly, fellow tech thought leaders, billionaires, and venture capitalists have not received his statement well, they have taken turns in firing back in a bid to minimize his criticism of their blockchain efforts or going directly at him. In a recent tweet by Dorsey, he shares that he has been banned from Web3 alongside a screenshot showing he had been blocked by Andreessen. His tweet prompted several other Twitter users who have taken to make similar comments also have been blocked by Andreessen to share similar screenshots. This ban comes after Dorsey criticized certain corners of the venture capital industry and made several specific remarks targeted at the firm Marc Andreessen, who co-founded, Andreessen Horowitz.
Marc Andreessen took to blocking Jack Dorsey and others based on their comments about Web3 an emerging platform he is greatly involved in. The former Netscape co-founder and co-founder of Andreessen Horowitz (a16z) is now a huge investor in Web3 startups, tossing money around on DeFi projects, metaverse sneakers, tokens, and anything else that catches his eye. According to its “Web3 reading list” (pdf) document from October, “a16z is the largest investor in this space.”
Andreessen is one of those individuals who has massively profited off early bets on companies like Facebook. He has backed a number of companies that are working on technologies that could one day underpin Web3. A web page called the “web3 Policy Hub,” with the subhead: “We Deserve a Better Internet,” has surfaced online in which he is responsible. According to Andreessen, “We don’t have all the answers, but we’re eager to work with policymakers, civil society, and other partners to define an affirmative vision for how to use these powerful new tools to benefit society.”
What is Web3?
Web3 remains a concept that many are struggling to comprehend, but the main idea pioneers of web3 are trying to sell is that it will be powered by the blockchain, the technology behind many major cryptocurrencies and nonfungible tokens, or NFTs. A wide range of entrepreneurs around the world is currently trying to design and develop numerous technologies that would support Web3 protocols.
Promoters of this emerging technological platform –Web3, which would follow Web1 and Web2, strongly believe one thing, which is that today’s online platforms are too centralized and controlled by a bunch of large internet companies, like Amazon, Apple, Alphabet and Facebook parent company Meta. The idea of Web3 is for a new iteration of the Internet that incorporates decentralization based on blockchains. Web 3.0 technologies are presumed by advocates of it as the next generation of internet technology that will push the internet forward using blockchain and cryptocurrency.
Earlier Tesla CEO Elon Musk asked if any of his 67.4 million Twitter followers had seen Web3, referring to the most popular crypto trend after NFTs and Metaverse. Dorsey quickly hinted that it’s already under the control of Andreessen Horowitz. “It’s somewhere between a and z,” said Dorsey. Musk also replied, “m something”
Advocates and supporters of Web3 are keen on seeing the power of the internet placed in the hands of the people, rather than VCs. They strongly believe the power of the internet is it’s too big and important for a small number of companies or investors to manage or even control. Today the internet plays a vital role in the global community. Beyond the internet, also comes a big push to decentralize finance (DeFi) that is being led by cryptocurrency entrepreneurs and fans of coins like bitcoin, ether and the likes.
Dorsey, who has in the past raised money for Twitter and Block from VCs, is himself is a big proponent of bitcoin and less keen on other cryptocurrencies has replied to Twitter users saying he’s not necessarily anti-ethereum, a technology powering the cryptocurrency ether (ETH) and thousands of decentralized applications including several that have been backed by Andreessen Horowitz. Dorsey in his response said that “I’m anti-centralized, VC-owned, single point of failure, and corporate-controlled lies,” Dorsey said. “If your goal is anti-establishment, I promise you it isn’t ethereum.”