Most people are well aware and would acknowledge that DeFi changed the world of finance and made it more inclusive. However, blockchain application extends beyond finance and more solutions are springing up daily. A good example is the Three Protocol decentralized marketplace that is reinventing ecommerce using the principles of decentralization.
This article will lay bare all people need to know about this blockchain project. Before going into the details, it is essential to enable people understand more about blockchain technology. This will help people understand that web3 goes beyond DeFi and cryptocurrencies.
Understanding the Possibilities of Blockchain Technology
Blockchain technology is a decentralized digital ledger that records transactions across multiple computers in a way that ensures security, transparency, and immutability. Each block in the chain contains a list of transactions and is linked to the previous block, forming a continuous chain.
This structure makes it resistant to tampering and fraud, as altering any information requires changing all subsequent blocks in the network. Although blockchain is widely used for cryptocurrencies and also has applications in various industries for secure data management.
The major differnece between blockchain and orthodox technology is the process of storing and retriving information. Othordox tech stores data in a central server, and secures the private details using standard authorization and authentication measures.
A good example is your mobile phone, that utilizes a password to keep unwanted third-parties out. On the other hand, decentralized technology stores data in blocks that are connected via chains. Decentralizing data storage is the first and basic form of security.
With centralized storage, successfully bypassing security measures means the server becomes a candy store where everything is up for grabs. Blockchain technology, on the other hand, stores information in blocks where the information cannot be changed from a single block. Instead, the hacker must hack every single block on the chain to access or change any prior information.
Possible Blockchain Applications
To better understand blockchain, see it as a “technological foundation” for building diverse use cases. This definition is best, as it does not limit the decentralized web to just trading and crypto. In fact, cryptocurrency is just one of the applications that engineers can build on blockchain.
Recent times prove that blockchain technology has the following applications:
- Supply chain management
- Healthcare
- Voting Systems
- Identity Verification
- Finance and Banking
- Real Estate
- Intellectual Property
- Energy Management
- Charity and Donations
- Gaming
- Internet of Things (IoT)
- Insurance
- Food Safety
How Three Protocol Decentralized Marketplace Works
As mentioned earlier, blockchain technology applies to identity verification, supply chain management, and finance and banking. Three Protocol, a projected incubated in Tectum Labs, designed an ecommerce that incorporates all these benefits of web3. So, what exactly is this marketplace.
Three Protocol decentralized marketplace is an arm of a more extensive ecosystem that uses advanced artificial intelligence for better results. This platform leverages the Neural Network AI to handle queries, this platform offers impeccable user experience. In addition to AI, Convolutional Neural Networks processes products and reviews images.
Away from the technicalities, let’s examine how this ecommerce platform works. Considering that Three Protocol decentralized marketplace uses advanced AI, the system can work entirely independently. Its complex network systems oversee various aspects of operations in near-perfect sync.
Like the best traditional ecommerce marketplaces, merchants, and customers interact in an enabling environment. The absence of multiple middlemen reduces the number of fees and charges individuals have to pair. This further encourages merchants to sell at very competitive prices.
Three Protocol also has a dedicated decentralized autonomous organization to oversee and resolve conflicts. Thanks to this very efficient system, individuals with accounts enjoy maximum user experience. There are hardly any downtimes and requests are processed instantly.
Advantages of Three Protocol Decentralized Marketplace
Individuals who sign up to this ecommerce platforms will enjoy immense benefits.
Some of these incentives include the following.
Enhanced Security and Privacy
Taking a cue from Tectum, the faster layer-1 blockchain, Three Protocol will utilize zero-knowledge proofs. In this regard, users will not share their personal information with other like the typical KYC process of most eCommerce platforms. Instead, everyone will abide by a point-based system.
Upon signing up, everyone will get a virtual pseudo-profile with a fixed number of points. Individuals must maintain a minimum amount of points or risk losing their accounts. There will be prerequisite requirements that users must abide by, with corresponding punishments and rewards.
This system protects users’ privacy, while encouraging them to act ethically. Furthermore, it ensures their security as unwanted third parties cannot access information they do not have.
Reduced Costs and Increased Efficiency
As mentioned earlier, Three Protocol is a decentralized marketplace whereby buyers and sellers connect without any middleman. The company adopts the peer-to-peer blockchain principle to ensure that this platform is cost-efficient.
Middlemen, while they offer services, increase the overall cost customers have to pay. The reason is that they typically charge merchants for whatever assistance they provide. Therefore, businesses must incorporate the “cut” these facilitators will receive before setting a price.
Furthermore, the presence of middlemen tend to drag out operational processes and make them take longer than necessary.
Three Protocol creates a model that connects customers and service providers together. Thereby removing the need for middlemen and their additional costs. In turn, this system increases transaction processes and reduces the final costs people have to pay.
Three Protocol Decentralized Marketplace: The Future of eCommerce
For as long as memory services, the world typically tilts towards efficiency. From governments to corporate organizations and individuals, the aim is to minimize input and maximize output. Looking at the Three Protocol decentralized marketplace, it is obvious how this platform is the future of eCommerce.
Merchants typically want to sell their products at competitive prices and win customers over. Three Protocol offers them an excellent avenue to offer their products or services at the best value. It is only a matter of time before they start turning to decentralized marketplaces.
Furthermore, digital dictatorship is becoming a major concern globally. Various governments are working on taxing people down to their last pennies. State-backed agencies are demanding that ecommerce platforms provide them with data of individuals using their platforms.
With the no-KYC ZKP approach, there will be no information for the government to exploit. This further increases the appeal of this decentralized marketplace.