April 13, 2023

10 WEB3 Tokens to Watch In 2023

Web3 is characterized by integrating various emerging technologies such as blockchain, smart contracts, decentralized applications, and cryptocurrencies. You may wonder what is Web3.

In brief, the Web3 vision is to create a more secure, transparent, and user-centric internet, where individuals have greater control over their data and digital assets. In contrast to the current Web 2.0, which is largely centralized and controlled by a few large tech companies, Web3 aims to create a more open and democratic Internet where individuals have more power and ownership.

In 2021, the market capitalization for cryptocurrencies was 3 trillion dollars, but it has now decreased to just 1 trillion. Given various financial factors, now is an opportune time to invest some funds. The primary task is to carefully select coins that have the potential to yield profitable returns.

What are Web 3.0 Cryptocurrencies

To grasp the concept of Web3 assets, it may be helpful to explore the history and core principles of the Internet. Initially, Web 1.0 was introduced in the 1990s and had several performance issues. Today, we have Web 2.0, characterized by its speed, advanced technologies such as 5G, and online streaming.

Web 3.0, however, will prioritize integrating various technologies such as blockchain, smart contracts, cryptocurrency, decentralization, artificial intelligence, and machine learning. These technologies will work together cohesively in the Web3 ecosystem.

Investing in Web3 cryptocurrency assets is a viable option for individuals looking to invest in the future, as tokens and blockchain technologies form the foundation of the Web 3.0 ecosystem.

Web 3.0 and Metaverse Compatibility

To achieve efficient functionality in Web 3.0 decentralization, security, and scalability should be met. One excellent example of Web3 and metaverse compatibility is the metaverse itself. Through the use of modern technologies and virtual reality, users can interact, while Web 3.0 enables easier communication, trading, and other actions within the digital world.

Currently, Web 3.0 is comprised of a collection of blockchain applications that are compatible with metaverse ideas. Decentraland is an excellent example, as it allows users to manage the virtual world by owning and trading digital property. To begin, users need Land, which serves as proof of ownership rights. The Mana cryptocurrency makes purchasing Land and other products easier within the virtual world, and users can trade Land tokens on the market and exchange items within the metaverse.

The Web 3.0 internet is the primary component of the metaverse and has fewer limitations than Web 2.0, where interactions require permission.

Top 10 Web3 Tokens for 2023

The technology sector, particularly digital assets, has undergone significant changes since the pandemic began in 2021. In 2023, numerous investment opportunities are emerging, along with news on cryptocurrencies and updates to blockchain technologies that will form the foundation of Web 3.0.

1. Chainlink (Link)

With a market capitalization of 3.3 billion dollars, this project holds the 22nd position in the cryptocurrency market. Currently, 47% of the token offering is already being traded in the market.

Chainlink is a decentralized network of oracles that facilitates the flow of data for smart contracts utilizing various blockchains. Essentially, the project aims to enhance the capabilities of smart contracts by incorporating dynamic outputs. Oracles act as bridges between real-world data and decentralized systems.

The Link tokens are included in the portfolio of the Grayscale fund. At present, the token's price is promising, with short-term investors anticipating prices between $73-114 per token, while long-term investors can expect $525 or more.

2. Filecoin (FIL)

With a market capitalization of 1.6 billion dollars, this project currently holds the 38th position in the global coin market.

Filecoin is a blockchain and coin-based decentralized network that operates on a peer-to-peer system primarily designed for data storage. In simple terms, users can purchase, sell, or rent digital space and earn FIL coins as a reward. This project is worth considering as it has demonstrated impressive growth in the past and is actively progressing.

While it is challenging to predict the potential cost in the future, the coin's highest value was $200 according to the graph. Presently, the price is less than 7 dollars.

3. Basic Attention Token (BAT)

Ranked 74th on CoinMarketCap, this token currently holds a market capitalization of around 587 million dollars. All possible tokens are currently in circulation, indicating that there will be no new assets issued. As per the law of supply and demand, the price of the token is expected to rise significantly with the project's growth.

The project operates on the Ethereum blockchain with a PoS algorithm and is essentially a marketing project known as Basic Attention Token. Interested parties can advertise their products by visiting the developers' websites and making deals.

Numerous funds and companies possess these valuable tokens, and the Basic Attention Token was introduced in 2017 and had been steadily developing since then. Looking at it from a technical perspective, purchasing BAT at $0.3 and $0.23 would be considered reasonable prices. Shortly, the cost could potentially reach $2.2 and $3.

4. Kusama (KSM)

Kusama is an open-source code project that operates on a Substrate framework, providing a scalable blockchain network. The project aims to offer a platform for art and the swift implementation of innovations in daily life. The primary concept behind this network is to challenge the existing system and give control back to the users. Kusama was created by Gavin Wood, who also played a crucial role in the development of Polkadot and participated in Ethereum.

KSM serves as the network token and is used to define validators, verify the network, and vote on referendums. According to WalletInvestor, KSM's price is expected to reach $4000-5000 per coin by 2026. Currently, the value of KSM hovers around 50 to 70 dollars.

5. Arweave (AR)

Arweave is an innovative solution for decentralized data storage that offers limitless information storage without any time restrictions. According to the developers, the project serves as a massive memory disk that never loses or forgets data, allowing users to store and retain any information, application, or history for any duration. Once saved, users cannot modify the information.

The Arweave network, also known as Permaweb, is open to anyone to contribute to and receive AR cryptocurrency rewards in exchange for storing their data in the network. Users can also lend space on their hard drives or create software for the network to earn income.

Arweave effectively addresses issues such as 404 errors, degradation of application quality, and obscured editing. The network utilizes block weave technology, a subtype of blockchain. The project has received funding from reputable companies such as Coinbase Ventures, Andreessen Horowitz, and Union Square Ventures. Currently, the market capitalization of Arweave is $385 million, with the token costing around 10 to 12 dollars.

6. Helium Network (HNT)

HNT is a promising cryptocurrency project, and it's often referred to as the people's network. Helium Network is made up of a distributed wireless network with a vast coverage range. The consensus mechanism used is called Proof of Coverage, and it rewards HNT cryptocurrency to network participants. With over 300,000 access points, Helium Network can be considered one of the largest IoT networks.

Investors can obtain HNT cryptocurrency through several options. The easiest way is to buy it on a cryptocurrency exchange. Alternatively, one can purchase a mining tool and install it at home or in the office to earn coins. A notable highlight of the past year was the partnership between Dish and Helium, which provides net benefits to the company's clients. Since the announcement of this partnership, the price has seen significant growth. If the network partners with other companies, investors can expect further price growth.

The cryptocurrency currently costs between 8 and 12 dollars, with a market cap of approximately 1.2 billion. The maximum coin offering is 223 million HNT, with 54% of coins already in circulation.

7. Theta Fuel (Tfuel)

Theta is a video streaming platform that rewards users for their computing hardware and bandwidth. Co-founder of YouTube, Steve Chen, believes that Theta has the potential to disrupt the online video industry just as YouTube did in 2005. Theta addresses the challenge of delivering high-quality content to all users worldwide while reducing costs.

TFuel is the project's token and is used to pay users who share their computing resources and bandwidth. Theta, on the other hand, is a classic asset used to manage the platform. The platform is open source, allowing developers to add new features and innovations, and it utilizes PoS and BFT for security.

8. Ocean Protocol (Ocean)

The project offers a suite of tools necessary to build Web3 applications and is poised to become an important asset in the next 1-2 years. Ocean Protocol aims to decentralize data exchange and access, enabling complete transparency and openness in data acquisition and utilization. The ecosystem is dynamic, with constant progress and improvement.

The project's creators have devised an intelligent approach to token distribution, which encourages long-term stability and value growth for the asset. Currently, the asset is trading at $0.2 to $0.3. The maximum token supply is 1.410 billion, of which 613 million are in circulation.

9. Kadena (KDA)

Kadena platform aims to enable global financial systems by leveraging innovative efficiency, PoS security, and smart contracts. Unlike other platforms that experience reduced performance when network demand grows, Kadena maintains its performance while using the same amount of resources, thanks to its braided chains technology, which can process up to 480,000 transactions per second. As more chains are added, the protocol's processing power increases.

KDA is the token needed to process transactions on Kadena's blockchain, and its total issuance is 1 billion coins. Currently, the asset is trading in the $1.5-2 dollar range, with a market capitalization of $304 million.

10. Radicle (RAD)

This platform is another example of a decentralized system utilizing open-source code. Access control is managed through smart contracts, and multi-signature functionality enables shared ownership. The project offers its users the RAD cryptocurrency, allowing them to both support the project and participate in its governance.

Despite its significance in the development of Web 3.0, the project's market capitalization is only 57 million, and the coin's value is around $2. This undervaluation suggests that the project may have considerable room for growth and future potential.

Benefits of Investing in Web3 Cryptocurrencies

To make a well-informed decision about buying a particular asset, it's important to conduct a thorough analysis and study the project in detail. This will give you greater confidence when investing in the best Web3 assets, which offer several investment benefits.

Decentralization

One of the main advantages of investing in Web3 tokens is access to decentralization. This means that third parties are eliminated during transactions, making the process much easier. With Web 3.0, information is stored on numerous servers in different parts of the world, eliminating the risk of a ban or restriction of access to sites.

Lack of permissions and censorship

Another benefit of Web3 investments is the absence of censorship and authorization. The concept of Web 3.0 is a decentralized system for which no permissions are needed, which guarantees complete freedom for users, and the network itself will no longer be censored. This means that citizens of any country can access any web resource without restrictions.

Opportunity for growth and potential

Web3 assets also offer excellent growth potential. With a properly formed investment portfolio, there is a chance for significant returns as the Web 3.0 ecosystem evolves. For example, the Decentraland project's Mana asset has shown 23,000 % growth since launching it in 2017.

Ease of diversification

Diversification is key when it comes to mitigating risks associated with investing in cryptocurrency. By dividing your capital into several parts and buying different assets, you can reduce the likelihood of losses. For example, Ethereum is the preferred Web 3.0 blockchain, but other platforms such as Solana, Cardano, and Neo offer significant potential. Similarly, meta-villages like Decentraland are not the only platform with virtual real estate. Other popular venues include Sandbox and Axie Infinity.

Bottom Line

Currently, there is a high demand for metaverse tokens, and Web3 coins are supporting the virtual world economy through their decentralized systems.

Investing in Web3 cryptocurrencies is advantageous because it's a young industry that's only at the beginning of its development. This presents an opportunity to invest in projects at the beginning of the ecosystem's emergence, and at a relatively low and potentially profitable price per token.

Stfalcon can assist you in creating a project on a decentralized platform that ensures security and transparency. You can choose our expertise and receive a free consultation.