[Web 3.0](https://leofinance.io/@leoglossary/leoglossary-web-3-0) is changing the nature of many things.  We are in the earliest of stages.  That said, it does not preclude us from discussing the potential of what is being developed.  Over the next couple years, we could see a radical transformation in how people few Hive.  In short, there are some things taking place which could create a fundamental shift in everything related to this [ecosystem](https://leofinance.io/@leoglossary/leoglossary-ecosystem-digital).

Recently, we discussed some of the progress relating to Virtual Smart Contract (VSC) platform along with SpkNetwork.  Both, if all goes according to plan, should be running by the end of the year.  The target dates are earlier yet it is best to give a bit of a buffer.

These are just two projects that could have a serious impact upon what is offered with Hive.  To me, it is also the basis for massive expansion.

For that reason, let us look at some of the ideas relating to this [protocol](https://leofinance.io/@leoglossary/leoglossary-protocol) along with the financial opportunities available.

![image.png](https://images.hive.blog/DQmVc9BRDufPJ2eeaDd5mkQDzbj7pPJdwdY27DFC6Gb7wu1/image.png)
<center>[Source](https://www.doughroller.net/resizer/1rYQr1dfYMNCOFh_8s3d6DGIFw0=/1200x630/filters:format(jpg):quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/xlmedia/XWA5RKRB65GMVCFYY7BBFTV6LQ.jpg)</center>

## The Everything App

Once again, we harken back to [Elon Musk](https://leofinance.io/@leoglossary/leoglossary-elon-musk).  The reason for this is because he wrote out a plan to become the largest [financial institution](https://leofinance.io/@leoglossary/leoglossary-financial-institution) in the world when PayPal was created.  This was rejected by his partners, leading to the development of the largest [digital](https://leofinance.io/@leoglossary/leoglossary-digital) [payment](https://leofinance.io/@leoglossary/leoglossary-payment) application on the [Internet](https://leofinance.io/@leoglossary/leoglossary-internet).  However, that dream did not die on Elon's part.

He has set the objective for Twitter to become the largest financial institution in the world.  Most could scoff at this notion since Twitter is a [social media](https://leofinance.io/@leoglossary/leoglossary-social-media) application.  Those, however, involved in Web 3.0, know the merging of social media and [finance](https://leofinance.io/@leoglossary/leoglossary-finance).

Twitter is purely [Web 2.0](https://leofinance.io/@leoglossary/leoglossary-web-2-0).  Therefore, the question really is will the largest financial institution to from that realm or Web 3.0?  If it is the first, it is a company; the latter means a protocol.

Web 3.0 is not about companies or [corporations](https://leofinance.io/@leoglossary/leoglossary-corporation).  These are layers that ultimately end up as a feeder system.  The true value lies with the protocols when discussing something unsiloed.

The key is in the back end systems.  Whatever [Twitter](https://leofinance.io/@leoglossary/leoglossary-twitter) creates is the property of that company.  Anything tied to it feeds into Twitter.

With Web 3.0, projects (companies) can be created.  The difference is they feed into something much larger.  When the back end is not under the control of a single entity, it becomes a commonality.  We see this with some of the Internet protocols already.  For example, look at the size of TCP/IP.

If Hive is going to become the "Everything Protocol", then being the largest financial institution in the world only makes sense.

## Web 3.0: Gaming

Many fell the path towards mass adoption for Web 3.0 is gaming.  This certainly could be the case and makes a great deal of sense.  That said, we have to consider the [infrastructure](https://leofinance.io/@leoglossary/leoglossary-infrastructure-computer) that is required for this.

[Blockchain](https://leofinance.io/@leoglossary/blockchain) gaming means in-game assets.  This includes [coins](https://leofinance.io/@leoglossary/leoglossary-coins) and [NFTs](https://leofinance.io/@leoglossary/leoglossary-non-fungible-token-nft).  To support this, we need a [smart contract](https://leofinance.io/@leoglossary/leoglossary-smart-contract) platform along with the ability to swap these [tokens](https://leofinance.io/@leoglossary/leoglossary-token).  Hence, we need an [exchange](https://leofinance.io/@leoglossary/leoglossary-exchange) of some sort.

This is where VSC and some of the other development is important.  It can offer the capability on Hive to develop NFTs.  At the same time, [developers](https://leofinance.io/@leoglossary/leoglossary-developer) could tap into this to put together [DEX](https://leofinance.io/@leoglossary/leoglossary-decentralized-exchange-dex) that handle the trading of different tokens.  

Gaming is not going to thrive in Web 3.0 without this.  At present, we are looking at some hodge-podge systems.  People are having to utilize different blockchains to achieve what is needed, often requiring multiple [wallets](https://leofinance.io/@leoglossary/leoglossary-wallet).  This goes counter to the Web 3.0 idea.

Pulling a lot of this under the Hive umbrella, one where social media is already present, is powerful.

## Everything Is Financial

One of the key points with Web 3.0 is to understand that everything is financial.  This is the core essence of the transformation we will see.  If everything is [tokenized](https://leofinance.io/@leoglossary/leoglossary-tokenization), that means it is all financial.

All projects tied to Web 3.0 platforms will have the financial component to them.  It is unavoidable.  It is also where something like Twitter falls short.

Harkening back to gaming, how is a new game going to integrate into Twitter?  What can be done to access that platform?  Certainly, it could be used for payments.  There is also the social media aspect.  Yet that is far from complete.

With Hive, as an example, with smart contracts, a game could integrate all the features of the blockchain.  It is where the Hive account management system enters.  

We discussed this concept regarding followers and social media.  Nevertheless, it will be equally as important when it comes to finance.  If everything is becoming tokenized, that means constructing the infrastructure and services that people will need.  Suddenly, in game [assets](https://leofinance.io/@leoglossary/leoglossary-asset) can be collateralized for a short-term [loan](https://leofinance.io/@leoglossary/leoglossary-loans) to rent other components associated with the game.

Try to do that on Twitter.

## Tying Hive To The Digital World

Right now we see Hive as an island.  This is the case throughout the [cryptocurrency](https://leofinance.io/@leoglossary/cryptocurrency) realm.  It is still rather fragmented.

There are some people working on things to help solve this.  What about Bitcoin being incorporated into Hive?  How would that alter things?

For example, the SpkNetwork is going to have the ability to transfer [Bitcoin](https://leofinance.io/@leoglossary/leoglossary-bitcoin) similar to the [Lightning Network](https://leofinance.io/@leoglossary/leoglossary-lightning-network).  We are told the [technology](https://leofinance.io/@leoglossary/leoglossary-technology) is built and in testing.  Imagine being able to use Hive for Bitcoin [transactions](https://leofinance.io/@leoglossary/leoglossary-transaction) (although many might not even realize that is what is happening).

At the same time, we know getting out of Hive based coins is difficult.  Cryptocurrency is still dominated by [centralized exchanges (CEX)](https://leofinance.io/@leoglossary/leoglossary-centralized-exchange-cex).  Bitcoin is listed on all of them.  How about the ability to easily swap [$HIVE](https://leofinance.io/@leoglossary/leoglossary-usdhive) or [HBD](https://leofinance.io/@leoglossary/leoglossary-hive-backed-dollar-hbd) for [BTC](https://leofinance.io/@leoglossary/leoglossary-btc)?  This would provide easier access into and out of the Hive ecosystem.

This is another project that is being worked upon.

Again, now expand this concept to the typical [financial services](https://leofinance.io/@leoglossary/leoglossary-financial-services) people are accustomed to receiving.  Instead of turning to a [bank](https://leofinance.io/@leoglossary/leoglossary-bank) or traditional [FinTech](https://leofinance.io/@leoglossary/leoglossary-fintech) company, Web 3.0 can be accessed.

The cool things about this is the protocol is what is essentially the service provider.  Everything else is nothing more than a front end that taps into it.

It is simple to see a path to Hive becoming one of the most powerful protocols in the financial world.  [Gary Gensler](https://leofinance.io/@leoglossary/leoglossary-gary-gensler) could not answer if Ethereum was a security or not.  If he was asked about Hive, the answer is a firm "no".  

Of course, Hive is not on the radar of anyone vital so we have time to keep constructing.

We are laying the foundation for the future.

___
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