Decentralization And Compliance: Can Web 3.0 Meet Compliance Requirements World Wide?
According to Wikipedia, compliance, or regulatory compliance, refers to adhering to a rule such as a specification, policy, standard, or law. Regulatory compliance has been deemed necessary since the advent of Web 2.0 because it revolves around protecting user data and identities from being mismanaged by large tech companies. In addition, regulatory compliance revolves around ensuring data is stored geographically within a specific region and data protection laws governed by central entities.
However, with the concept of a decentralized internet, also known as web 3, gaining traction, concerns have been raised about meeting regulatory compliance requirements because compliance goes against the core of web 3.0 practices. In this article, we will look at how web 3.0 addresses the issue of compliance and ensures that decentralized applications adhere to global cybersecurity regulations.
Web 3.0 and Dealing With Regulatory Compliance
Web 3.0 is considered the future of the internet, with its core principles centered on decentralization, openness, and transparency as it seeks to improve the overall user experience. Unfortunately, one of the flaws associated with regulatory compliance and working with the concept of Web 3.0 is centralization, as Web 3.0 is all about decentralization and doing away with regulations and policies formed by central entities.
However, without reaching a compromise and attempting to see how Web 3.0 can fit into the necessary cybersecurity regulations, there is a chance that Web 3.0 will not take flight and will remain a concept, as we cannot underestimate the importance of centralized entities, regulations, and laws even in the quest for decentralization.
Building decentralized applications necessitates web 3 developers ensuring these applications are compliant with regulations such as GDPR, the EU’s data protection laws, and Verida is one of these Web 3.0 startups providing decentralized applications being shipped out are regulatory compliant.
Verida started as a research project in 2018 to decentralize user privacy and create new decentralized identities. Verida, founded by Chris Were and Ryan Kris, aims to help developers transition to web 3.0 by providing the necessary tools on its platform. Using Verida’s resources, developers can begin developing decentralization applications that are fully compliant with global cybersecurity regulations.
The Verida framework includes a collection of open-source libraries that have been carefully selected to aid in the development of robust web 3.0 decentralized applications. Verida also includes several toolkits, including the Builder’s toolkit, Personalize, and API toolkit. These toolkits have SDKs that serve specific functions in the development of a decentralized application and can be seamlessly integrated by developers.
The Verida vault is also an effective management tool, as it allows for the decentralized and transparent management of data and user privacy across a variety of user-centric applications. Verida’s ultimate goal is to accelerate web 3.0 adoption and transition web 2.0 developers to the decentralized, transparent, and open internet that web 3.0 provides.
Conclusion
Regulatory compliance is one of the many challenges that may impede the development of Web 3. Another impediment to the Web 3 movement is removed by creating an environment that allows for legally compliant decentralized applications. Startups committed to onboarding web 3 .0 developers, such as Verida, are critical components in ensuring developers build legally compliant applications and setting the standards for the next generation of Web 3 applications. Web 3 is still in its early stages and has a long way before becoming widely adopted. Although regulatory compliance contradicts Web 3 practices, it is a necessary evil required to propel Web 3.0 forward.
