Comprehensive analysis of Web3 social interaction: deep-level on-chain social interaction will become possible

Original title: "Web3 Social: A booming space with an identity crisis"

Original author: lingchenjaneliu, researcher at Fundamental Labs

Original compilation: Old Yuppie

This article is from WeChat public account: Old Yuppie

Abstract:

・Existing Web2 social networking platforms issues such as data and security breaches, manipulation of public opinion, and dissemination of disinformation.

・Digital assets created according to interoperability standards on public blockchains are portable and transferable, so user history does not stay on a specific platform superior.

・One of the core philosophical principles of Web3 is that there are more ways to provide value to the ecosystem than through capital - value should be able to be Earn, not just be bought.

・Open social stack includes data infrastructure (decentralized storage and data layer), middleware (digital identity, social graph and authentication protocols) and social application.

・Social networking platforms often face the problem of cold start. With an open social stack, new platforms can leverage middleware to develop products and quickly test product-market fit.

・The most important problem to be solved in decentralized social networking is the decentralized storage of dynamic data. Protocols such as Ceramic Network and Tableland are addressing this challenge.

・Every social network relies on a social graph. Lens Protocol and CyberConnect are leading protocols for building an open social graph with a robust ecosystem.

・The challenge with Web3 accounts and identities is that wallets, accounts, and identities in Web3 are not clearly defined, and implementations of digital identity projects often mix these three concepts.

・There should be an identity architecture to help users access Web3 applications. This includes public identities, proxy identities and master identities used in different scenarios.

・Challenges we see: 1) economic incentive driven social; 2) data composability is not as easy as we thought; 3) bad users Experience leads to a smaller user base; 4) Does not solve pain points and create value for users

・Only in the existing address-based identity transformation Web3 social can only succeed if it is based on the identity of the individual, and focuses not only on contract state (showing what assets an address owns), but also on relational state (the social status a person acquires through relationships with other people).

What is Web3?

Web3 is an umbrella term with no established definition. The term encompasses the idea and vision of decentralization driven by community and user ownership. An article by Him Gajria on Web3.0 says it well:

・Web1 is read-only

    ・Web hosted content

   ・People can consume content but not share

・Web2 is readable and writable

    ・The web enables users to participate

・Web3 will be readable, writable and ownable

    ・Built on a peer-to-peer network

    ・To achieve interoperability, different applications can connect and communicate in a coordinated way.

In the Web2 world, the categories that dominate the web are social networks like Facebook and Youtube. These social networks allow users to interact with the network, not just consume its content. The Web3 social ecosystem has seen significant funding for Web3 social startups. While Web3 has yet to emerge with a platform equivalent to Twitter or Facebook, many believe that the network, NFT and Token's narrative of data ownership and economic incentives will solve the cold start problem and eventually bring sufficient creators and audiences to the platform .

Web3 Social Requirements

Web3 proposes different The value proposition, compared to the centralized platform-dominated Web2, has a completely different approach. The pattern that centralized platforms follow is that once adoption by platform users and creators is high enough to generate strong network effects, network participants sacrifice for the growth of the platform. After this, the growth momentum of the platform usually comes from extracting user data for advertising revenue, which leads to data and security breaches. In addition to this, social networking platforms can also lead to psychological and social problems such as addiction, mental illness, manipulation of public opinion, and disinformation transmission. The recent condemnation of social networking platforms has not only come from the authorities and their users, but also developers who have worked for well-known social networking platforms: In the documentary "The Social Dilemma", developers reveal how social networking platforms use user data to Develop products to control the psychology of users.

In addition to using user data to make money and create platform stickiness, the Web3 social stack aims to build an open A platform where users can own any content they create, digital objects they acquire, and even their social graph. Digital assets created according to interoperable standards on public blockchains are portable and transferable, so users are not locked into a specific platform.

What is a social graph?

A social graph is a graph illustrating the interconnections between individuals, groups, and organizations in a social network. Existing social networking companies such as Instagram, Facebook, LinkedIn, etc. are all made up of such social relationships between individuals.

The existing mainstream Internet platforms are based on the aggregation of users and user data. As these platforms grow, so does their ability to deliver value. Platform network effects keep those dominant platforms on top. User behavior data from major social networking platforms helps them optimize their algorithms so that their content feeds and ad targeting are significantly better than those of their competitors. Amazon has obtained comprehensive data to understand customer needs through the analysis of profit margins and consumer demand, so that it can optimize its delivery logistics and develop its own product line.

In the business model of traditional Internet platforms, users and their data are the key sources of competitive advantage. As a result, platforms generally do not share data. So if users decide to leave the platform, it's very difficult for them to take their social graph or content with them.

Why are identities isolated?

The Internet companies we interact with have their own databases. Since the data between these companies is not connected, the data is siled. In contrast, databases in Web3 can communicate with each other in an open and accessible way.

In Web3, instead of accessing a closed network owned and operated by a centralized Infrastructure as a Service (IaaS) provider, users access a A public network operated by tens of thousands of independent nodes that obey strict rules defined by the network code. Users and businesses can build and contribute to Web3 applications (decentralized applications), communities (decentralized autonomous organizations), and the infrastructure that powers these (node infrastructure). This means that no single entity can control access to data on the network, and any attempt to do so will be rejected by other nodes on the network (see diagram below).

Essentially, data is stored on a network of independent nodes that each ensure only Data owners can decide what to do with their data. This is in stark contrast to the centralized servers controlled by Web2 cloud service providers.

A core philosophical tenet of Web3 is that there are more ways to provide value to an ecosystem than through capital. Also, value should be able to be earned, not just bought. This is its fundamental difference from existing structures. In the existing structure, those who own capital earn more through investments than through work, leading to a widening gap between rich and poor over time. Assigning ownership to participants is also an important shift. Existing platforms are built by employees and investors, where meaningful ownership goes to employees and investors. In the traditional Web2 model, ownership does not go to the users who contribute content that makes these platforms valuable.

Open Social Stack: The Current Market Landscape

In my careful study of Web3 After building an existing project of an open social stack, I mapped the market landscape including multiple components and layers. Middleware is a critical layer in the overall open social stack. Any application can build on top of them and use existing user networks without having to build their own from scratch.

Overview of the Open Social Stack

・Data infrastructure: including decentralized storage and a data layer built for dynamic data to meet the needs of social applications.

Middleware: A type of computer software that provides services for software applications. Middleware speeds up the development of distributed applications by simplifying the connections between applications, application components, and back-end data sources. Common middleware for an open social stack includes digital identities, social graphs, and authentication protocols.

Social Application: A social application is a software application that facilitates the creation and sharing of information, ideas, interests, and other forms of expression through virtual communities and networks. In Web2 there is Facebook. Instagram, Youtube, and Tiktok. In Web3 there are Orbis, Lenster, lvl protocol and Cent.

The open social stack creates a paradigm shift where users have very strong portable and pluggable identities contained within their encrypted wallets. When you think about it, our Web2 online activity is a form of our identity. The photos we post on Facebook and Instagram, and the profiles we create on Twitter and Linkedin, are all part of who we are. The challenge we face is that our identities only exist in the platforms where our actions/activities take place, and those identities are isolated. In the walled garden built by the Web2 giants, we cannot link our Instagram identities to YouTube to fine-tune content recommendations to our interests.

Social networking platforms often face what is known as a "cold start" problem: it is difficult for new platforms to acquire new users. This is why growth hacking occupies a very important and prominent position in the traditional Internet industry. With an open social stack in Web3, new platforms can leverage middleware to develop products and quickly test product-market fit. In the case of data transparency, competitors can view the data of the dominant platform and provide relevant incentives to high network value users to attract them to use their own platform. However, since users can easily port their digital assets to different platforms with zero switching costs, platforms will need to compete with other platforms with better user experience and build closer ties with their communities, Align mission and values.

Let's take a look at each layer in the open social stack.

Data infrastructure

Decentralized social networking is most needed The problem to be solved is the decentralized storage of dynamic data. The protocol needs to be able to support dynamic data storage before it can support streaming media, social media and other related applications.

Since social networking applications tend to generate large but low-value transactions such as shares, likes or follows, these transactions are conducted on Ethereum It is not economically feasible. Therefore, it is particularly important to find a scalable solution that can facilitate transaction settlement.

Due to the immutable nature of data on the chain, it is difficult to build social applications on top of the data layer. However, some protocols such as Ceramic, Livepeer, Lit Protocol, and Tableland try to solve this problem. These protocols are designed to manage and store dynamic data such as images, videos, and text.

Ceramic Network

Web2 applications run on code, and their functionality, content, and product recommendations are driven by complex algorithms. Instead, the Web3 stacks and dApps we’ve seen so far lack these data-driven features. The root cause of this is the immutability of data on the chain. Ceramic Network is trying to solve this problem by providing a data layer on top of IPFS to manage and track state transitions, as well as associating data into data structures that make data easy to read and write. The protocol supports user-bound mutable data tables, so data-driven applications can be built on top of it.

Advantages of Ceramic Network
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・User: When data is stored in IPFS, it is difficult for users to track data for a long time. With Ceramic, however, the data is kept with the user associated with the key and the identity they carry through the blockchain wallet. Every time a user accesses the application, the data is recorded in Ceramic on IPFS. This data corresponds to a data model created by the application developer, and the user can take this data with him when he visits another application.

・Developers: For developers, Ceramic has a shared database to structure data to build data-driven features. Ceramic has a data model marketplace for developers to create data models that correspond to the specific functionality they want.

Tableland

Same as Ceramic Network, Tableland attempts to address the limitations of limited storage space in Ethereum Virtual Machine (EVM) smart contracts and the high cost of updating, writing, and storing data on-chain.

Existing Web3 applications often use a hybrid approach to storing application data. Taking NFT projects as an example, the NFT in these projects includes two parts: smart contracts and artwork metadata. Smart contracts exist on a blockchain (usually Ethereum) and contain a set of rules to facilitate transactions. The smart contract also includes a link to a server that stores the digital artwork. That is, digital artwork may not exist on the blockchain. NFT projects often utilize centralized databases like AWS or Google Cloud to store structured data. However, utilizing a decentralized storage provider to host their metadata is a relatively safer option, as digital artwork will be lost if the centralized server goes offline. Whereas in a decentralized storage provider, if one storage location (node) fails, the digital artwork may be found in another storage location. The disadvantage of current decentralized storage is that the metadata itself cannot be changed, and it is difficult to be queried or combined. In contrast, centralized storage providers can make metadata dynamic and also support query functions. However, data stored in centralized storage providers is neither open nor combinable.

Tableland provides a technical solution to deal with the limitations of on-chain data. Tableland builds a data layer that allows users to store, read and write data cheaper and with more storage space than a pure EVM environment. Tableland does this through two components: an on-chain registry with access control logic (ACL), and an off-chain table. On the evm-compatible layer, each table in Tableland is minted as an ERC721 Token on the EVM-compatible layer. That is, the access control for the right to write data exists in the EVM, and users have that right through NFTs stored in their Ethereum wallets. The protocol has two main components: the on-chain Tableland Owner and the off-chain Tableland Network. Links between on-chain and off-chain are handled at the smart contract layer with immutable qualities.

・On-chain table owner: set ACL permissions for the table

・Off-chain (decentralized) Tableland Network: manage the creation and subsequent changes of the table itself.

In short, Tableland is like adding a SQL layer on top of IPFS, which provides more flexibility and adaptability sex.

What is access control logic?

Access control logic is an automated system that controls an individual's ability to access one or more computer system resources, such as networks, applications, or databases. Access control logic systems require Some mechanism (such as PIN, card, biometric or other token) to verify the identity of the individual.

What is SQL?

SQL, short for Structured Query Language, is a language used by databases. This language allows information to be processed using tables and shows a language to query these tables and other related objects (views, functions, procedures, etc.). Most databases such as SQL Server, Oracle, PostgreSQL, MySQL, MariaDB, etc. use this language (with some extensions and variants) to process data. Through SQL , users can insert, delete and update data. Can also create, delete or change database objects.

Middleware

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Social Graph

Every social network relies on a social graph. From posts, likes From private messaging, social graphs are essential to all communication. A shared public social graph cannot exist without a company or entity responsible for storing the data. There are protocols that attempt to achieve this.

Lens Protocol

Lens Protocol is a composable, decentralized An optimized social graph. Social applications include user profiles, followers, posts, comments, shares, and likes. These components define basic data layouts and relationships between data, such as who follows whom or who posts what content.< /p>

On Lens Protocol, key features of social media are powered by NFTs and are owned by users. User profiles are also NFTs, and each follower holds a follower Each post represents a post NFT.

NFT on Lens Protocol

・Profile NFT: A profile NFT contains user-generated posts, comments, and follows. A single address can have its own profile NFT, an address can contain multiple profile NFTs, and an individual Material NFTs can be held and operated by the DAO through a multi-signature wallet.

・Follow NFT: Whenever a user follows another user, they will receive a follow NFT with a unique Token ID.

・Post NFT: The content produced or shared can be a post NFT, which is similar to a post on traditional social media.

・Mirror NFT: Similar to Twitter's forwarding function. Users can re-share a post using the Mirror feature.

・Favorite NFT: Users can collect (buy) release NFT from users they follow, and create their own collection of release NFT.

・Comment NFT: Similar to the comment function of traditional social media.

The social graph designed by Lens Protocol cannot be forked easily, because all the data All are stored in the user's wallet in the form of NFT. Lens Protocol has a robust ecosystem on which various applications are built. This ecosystem creates a strong position for it over competitors, because as its ecosystem grows, Lens Protocol's user base grows, and more data will be fed back into the social graph protocol.

CyberConnect< /b>

CyberConnect is a social graph protocol that allows dapps to access and use user-provided social graph data. CyberConnect's ecosystem is very powerful, integrating many Web3 applications such as Project Galaxy, Mask Network, Light.so, Grape.art, NFTGo, Metaforo, zklink, etc.

CyberConnect's social graph is divided into two parts: 1) Follow button; 2) Follow and follower list. Web3 applications can plug directly into CyberConnect's social graph module to develop their own applications, which can help solve the cold start problem and also return data ownership to users. Thus, users can switch between different applications using their own social graph. CyberConnect's solution allows users to have a more comprehensive identity across all applications.

Traditionally, social networking applications not only Build their moat through good product design and user experience, but also through network effects driven by user data. As a result, it will be difficult for newcomers to challenge the dominant social networking platforms, as users cannot just bring their data to another platform to enjoy the same experience without setting up a new profile, connecting with people, and creating Enough data, let the platform provide better recommendations and better content curation work. The cold start problem is one of the biggest problems social networking platforms need to overcome. It is difficult to build a new social network without preliminary data.

What is the cold start problem?

A user or visitor cold start simply means that the recommendation engine is encountering a new visitor for the first time. Since there is no user history, the system does not know the user's personal preferences. Understanding your visitors is key to creating a good user experience for your visitors.

Identity

Identity is a person A sense of self, established by their unique characteristics, relationships and social roles. Furthermore, identity has continuity because despite the many changes in a person's environment, he feels himself to be the same person over time. So far, identities in Web3 are composed of low-dimensional data, often emphasizing their decentralized nature. As such, decentralized identities (DIDs) are the most common solution for Web3 identity.

What is a decentralized identifier (DID)?

According to the W3C, a Decentralized Identifier (DID) is a new type of identifier that supports verifiable , Decentralized digital identity. DID refers to any subject (such as a person, organization, thing, data model, abstract entity, etc.) identified by the controller of the DID.

Why do we need DID?

・DID allows the creation of a unique, private and secure peer-to-peer connection between two parties.

・The decentralized nature makes the credentials always available for verification.

・Each party - individual or organization - can create a different DID as they wish. Using separate DIDs for different numerical relationships and contexts prevents data dependencies.

・DID is fully controlled by the identity owner, independent of centralized registries, authorities or identity providers.

Authentication method transitioned to passwordless

< b>・Principal Identity:

    ・Purpose: Separation of account authorization and account access.

    ・Use Case: When a proxy identity is created, the master identity will be used to authorize the proxy identity. Users can manage their wallet accounts as they would in a Web2 application. Keys to wallet accounts can be retrieved and reset when a risk is detected or keys are lost.

    ・Example: Web3Auth, ERC-4337 abstract account

Social Application

The front-end application is the user-facing layer. Its use cases include social media, video streaming, and community tools. Social applications can leverage middleware projects such as open algorithms, public social graphs, and open digital identities to customize and optimize their offerings. With open social stack middleware, multiple applications can exist on top of the same user data and infrastructure components. This changes the competitive landscape, and it will be very difficult for apps to fend off competition and build a competitive advantage because users can switch between apps without friction. So, for Web3 apps, they will need to experiment with approaches to user acquisition, retention and monetization models.

Web3 Social: Heard the voice, but not the person?

The Web3 social space has become hot with the influx of developers and capital, but no agreement has yet occupied the market leading position. Why is this? We explain these challenges in the following paragraphs and discuss where we can explore to accelerate the development of this field.

The Web3 Social Challenge

When users share common interests and topics with others Real social interaction will happen when there is no background, and the social interaction on the chain is still far from the social interaction in the real world. The reasons behind this are:

・Speculative and financial incentive driven Behavior: Current on-chain social behavior is based on speculation and driven by economic incentives. On-chain social data is not based on the behavior of users trying to form natural and effective connections with others.

・Whether the other party is a real human: Social communication itself is the interaction and connection between people, and now in Web3 , while the user interacts with the address. The current technical reality is that addresses only hold data such as transaction history and holding assets. Since these data cannot help identify real and effective target users, the efficiency of establishing a connection is very low and the effect is not good.

Data composability is not as simple as we thought

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While Web3 has composability possibilities and applications should use different data models generated from various protocols, the reality is that protocols define their own Data and business metrics. It is unrealistic and impractical for an application to just fetch and use any data models and algorithms created by other protocols.

Transforming actual data into business-level analytical data involves multiple steps. The data models and business indicators used to draw user portraits, design social recommendations, content push and target marketing algorithms are truly valuable. They help optimize products and operations, and promote business and user growth.

Better User Experience Accelerates User Adoption

・Poor user experience leads to small user base:

    ・There are too many industry terms

    b>: In a field where research, content, and apps are rife with acronyms and industry jargon, getting new users into it can be very difficult.

    ・Poor user experience is a major barrier to mass adoption: User experience is not just how a product looks, but how it works, how it is installed and used How easy is it, how scalable is the solution, what are the fees and transaction speed, etc. For non-geek users, it can be difficult to figure out how to add networks to their MetaMask wallets, the differences between different chains, and how to transfer tokens to different networks. It's hard to convince users to switch to Web3 when the legacy web has been working on developing user-friendly solutions for decades, and the Web3 user experience is generally inferior to the Web2 user experience.

Web3 should solve real user pain points and bring unprecedented value to users