Web3 has plenty of money going for it — well, yes quite a bit less than a few months ago — but it’s still hard to argue that mainstream consumers have lined up to embrace web3 internet services. There have been some flash-in-the-pan hits so far, but investors are still searching f…
Web3 has plenty of money going for it — well, yes quite a bit less than a few months ago — but it’s still hard to argue that mainstream consumers have lined up to embrace web3 internet services. There have been some flash-in-the-pan hits so far, but investors are still searching for consumer use cases that make the most of blockchains, tokens and NFTs, beyond just trading them.
Andreessen Horowitz (a16z) GP Sriram Krishnan believes the incentive structures of web3 makes the space a natural fit for social networking, he told us on the latest episode of TechCrunch’s crypto podcast Chain Reaction. Krishnan has ample experience at web 2.0 social networking companies; he’s served as an executive at Twitter, Facebook and Snap before joining a16z, which notably just debuted its latest $4.5 billion crypto fund.
“People ask me, ‘What is the thing that you’re spending a lot of time on, that you’re really interested in?'” Krishnan says. “I think the intersection of social media and web3 is really fascinating.”
While web3 has yet to see a platform equivalent of Twitter or Facebook take off, Krishnan believes the structure of blockchain-based platforms provides some interesting incentives to bring creators into their networks, which could in turn bring along their audiences. He notes that some of the most popular existing social media services have indexed on the sell of providing content creators a platform with reach, but one that doesn’t necessarily give them the financial upside of the network itself — something he think NFTs and tokens could rectify.
“With web3… people who contribute value to the platform now have a share of the economics happening in the platform itself,” Krishnan says. “In some of web3 social media you actually could have the spiritual equivalent of a place on the cap table.”Andreessen Horowitz’s Sriram Krishnan on crypto social networking View Story