The Web 3.0 Global Market Report 2024 by Research and Markets indicates staggering growth in the Web3 sector. The decentralized web’s global market size is estimated at $4.43 billion in 2024 and is likely to touch $16.3 billion by 2028 at a compounded annual growth rate (CAGR) of 38.5%.
Forecasts like this highlight the exponential growth potential of the decentralized Internet ecosystem. This is why many countries have developed (or are in the process of creating) regulatory frameworks for decentralized transactions, making a solid case for Web3 investments.
So, if you want to know whether to invest in Web3 domains or make money from Web3 as a passive income, this article has the answers.
Web3 Domains are the Future
Also known as decentralized domains, Web3 domains are secure, cost-effective, integrable with cryptocurrency wallets, and offer much better control over virtual assets. Besides, they can help simplify your decentralized transactions.
Here’s a detailed look:
Maximum Security
- Fool-proof authentication: Unlike traditional websites that rely on email, password, or third-party authentication, Web3 domains offer cryptographic key encryption to store your credentials on a local device rather than servers.
- Allows censorship-resistant publishing: Web3 offers developers, designers, digital artists, and entrepreneurs a censorship-immune environment where they can publish and promote their ideas freely.
- Prevents unauthorized access and data breaches: As discussed, Web3 domains are backed by a blockchain-based validation system. Their end-to-end encryption makes data breaches and thefts virtually impossible.
Ownership and Autonomy
Unlike traditional domains managed by centralized organizations that require annual fees and renewal charges, Web3 domains offer permanent ownership. Instead of paying yearly for a traditional domain, you can buy a decentralized domain for once and enjoy its long-term benefits.
You might wonder if there’s any renewal cost involved in case your website gets penalized or banned by ICANN. Well, there is no renewal cost since blockchain-based domains are solely user-owned; no centralized body can access your personal information or ban your content.
Integrating Web3 Domains
You can create a website and connect it to your decentralized domain if you want to build your personal brand in the Metaverse. Other than that, Web3 domains can be linked with cryptocurrency wallets, NFTs, DeFi platforms, and other decentralized applications.
- Integrating with cryptocurrency wallets: Decentralized domains can be linked with cryptocurrency wallets, such as MetaMask, to create a human-readable digital identity. You can buy a Web3 domain from Freename that will help you configure your domain according to your wallet’s requirements and mint it on multiple platforms, including Base.
- Integrating NFTs: Want to display your NFT collections or trade them with other users? For this purpose, you have to link your Web3 project’s front-end interface with your smart contract. For this purpose, you need a Web3 library such as Ether.js or Web3.js.
- Connecting a website with a decentralized domain: If you already have a domain, you can build a website with user-friendly page builders. Next, follow simple steps to configure the DNS settings. You can download Freename’s DNS installer for hassle-free integration.
Web3 Domains are Different from Cryptocurrency
It’s not just about buying crypto tokens in the hope of skyrocketing prices. The nature of decentralized domains makes them more valuable than crypto tokens.
- Scarcity: Domains, such as .eth, .btc, .metaverse, .crypto, .web3, .airdop, and .chain, are limited in number. This scarcity translates into higher future value.
- Economy and stability: The prices of Web3 TLDs are way more affordable than high-stake cryptocurrencies. You can either resell your domain at a higher price or make it a source of passive income.
- Flexibility: Unlike cryptocurrency, blockchain-based domains are portable. You can build your website, link your crypto wallet for payment transfers, interact with dAPPS, or launch your NFT collections with a single unique identity.
- Growth potential: The concept of Web3 and Metaverse is still new for many people around the globe, but things will change pretty soon. Therefore, investing in Web3 domains today would mean higher demand in the future.
8 Best Web3 Investments to Explore
Domain Flipping/Reselling
Domain flipping in Web3 space is a sought-after business since the blockchain ecosystem offers plenty of room for growth. You must find the right service provider, like Freename.io, and pick your domain name.
Find the perfect Web3 domain with Freename and never worry about renewal fees again. Claim your unique digital identity today with easy setup and 24/7 support. Start now and secure your Web3 domain to stand out and drive more traffic to your business! |
Learn also: How to Profit from Web3 Domain Speculation: Tactics and Insights
Top Level Blockchain Domains (TLDs)
The extension of a web URL is also known as the top level domain. Examples include, .eth, .blockchain, .btc, etc. They can garner high returns over time.
You can invest in top level domains offered by Freename. These include .metaverse, .moon, .chain, .gaiming, etc. For some of their new TLDs, you can choose to become a registrar, which means you will receive a royalty whenever any new domain name is registered with your TLD.
Investing in Popular NFTs
If you have an interest in any form of art, you can think about creating your NFT collection to cash in after some time. Or you can buy a popular NFT today and resell it for a higher price at the right time.
NFTs have the potential to generate crazy amounts of money. For example, Bored Ape Yacht Club (BAYC) was sold for more than $2.25 million at an auction.
Similarly, CryptoPunks is another NFT collection featured in the most prestigious auctions, such as Sotheby’s and Christie’s. This collection has secured a permanent spot in art museums like LACMA and the ICA Miami.
- You can buy digital art and collectibles. Platforms like Rarible, Foundation, Nifty Gateway, SuperRare, etc., are quite popular among NFT creators and art lovers.
- Invest in the native tokens of NFT marketplaces. Popular NFT tokens include RARI (for Rarible) and OPEAN (for OpenSea).
Invest in Decentralized Finance (DeFi)
You can buy DeFi tokens and aggregators to generate handsome profits out of your investments later.
- DeFi tokens: Explore platforms that support staking, yield farming, and liquidity provisioning for better profits. For example, Uniswap allows users to earn, swap, and build a solid investment portfolio. Similarly, Compound Finance and Aave allow users to earn lucrative interests on DeFi tokens.
- DeFi aggregators: Platforms like Yearn Finance aggregate various DeFi services to optimize yield for users.
Staking
Staking refers to locking your digital assets for a particular period to earn more cryptocurrency. It supports the blockchain operation, ensuring that only legitimate data is being stored in the network.
You can invest in Staking tokens such as Ethereum (ETH), Tezos (XTZ), Polkadot (DOT), etc. Alternatively, you can search for staking tokens at Staking Rewards.
- Invest in Real Estate
While there is a big risk associated with Metaverse real estate, but there is equally big return potential. Below is an example:
A parcel of land in Decentraland was auctioned for $20 in 2017. Four years later, those parcels were sold at an average price of $6000. In 2022, their price skyrocketed to around $15,000.
Decentraland is not the only one in Metaverse; you can invest in other venues, such as Cryptovoxels and Sandbox.
You can also invest in tokens such as:
- Eth (for Ether),
- SAND (for Sandbox)
- AXS (for Axie infinity)
- GALA (for Gala)
- Mana (for Decentraland)
Gaming and Play-to-Earn (P2E) Models
There are over 2700 P2E blockchain games and 768 game tokens at the moment. This data will likely change as more games hit the blockchain ecosystem. For gaming enthusiasts, it’s worth buying a .gaming domain so that you can explore blockchain tokens to create your personal game collection.
Popular web3 gaming platforms include:
- Gala: On this platform, you can invest in various blockchain games using the GALA token.
- Axie Infinity: Here, you can invest in AXS and SLP tokens. These tokens are integral to the game’s ecosystem.
Invest In Infrastructure Projects
For investors looking ahead to seeing the decentralized web in total control, Web3 infrastructure projects hold more value than NFTs, gaming, or Metaverse real estate. If you’re one of them, you might want to invest in LINK (for Chainlink) or GRT (The Graph) tokens.
- Chainlink is a decentralized oracle network. It is responsible for connecting smart contracts with real-world data.
- The Graph offers data querying and indexing. It serves indexed data from blockchain applications.
Web3 Social Media and Content Platforms
If you’re a blogger or content creator, you can set up your profile on the following Web3 platforms to earn blockchain tokens.
- Minds: A decentralized social network that rewards users with tokens for engagement.
- Steemit: It’s a blockchain-based blogging and social media platform where users can earn STEEM tokens.
Invest in Web3 Domains to Explore
Web3 offers potential investors a multitude of opportunities. Each of the mentiones Web3 investments comes with potential benefits and risks. So, complete research and analysis are pivotal in determining what works for you. In addition, it is equally important to have a unique identity to explore these opportunities and keep your digital assets in one place. This is where a Web3 domain comes in.
Let Freename be your provider for Web3 domains and explore the endless possibilities the virtual world as on offer! Get your Web3 domain now!