Block subsidiary TBD has introduced plans to construct a brand new decentralized internet centered round Bitcoin (BTC), underscoring founder Jack Dorsey’s perception that the most important blockchain community will play a serious function within the web’s evolution.

The brand new challenge, referred to as “Web5,” represents the newest Bitcoin-centric endeavor to be pursued by Dorsey since stepping down as CEO of Twitter in November 2021.

Whereas Web3 incorporates blockchain expertise and tokenization to decentralize the web, Web5 is being envisioned as an identity-based system that solely makes use of one blockchain: Bitcoin. Twitter person Namcios broke down the idea of Web5 in a collection of tweets that described a number of software program elements working collectively to boost the person’s expertise and allow decentralized identification administration.

Based on Namcios, Web5 makes use of ION, which they describe as an “open, public and permissionless DID community that runs atop the Bitcoin blockchain.”

1/ Jack Dorsey’s @TBD54566975 unit has simply introduced it’s constructing “Web5”.

This new decentralized internet leverages #Bitcoin to place customers again in charge of their information and identification – as soon as and for all.

Right here’s a thread with all you have to know … pic.twitter.com/TpW8OvuyKX

— Namcios (@namcios) June 10, 2022

The Web3 Basis describes DIDs as decentralized identifiers that allow “verifiable, decentralized digital identification.”

Web5 is basically a decentralized internet platform, or DWP, that enables builders to create decentralized internet apps through DIDs and decentralized nodes, according to TBD’s prototype paperwork. Web5 can even have a financial community centered round BTC, which mirrors Dorsey’s perception that the digital asset will sooner or later turn out to be the web’s native foreign money.

Jack Dorsey’s Block hits $1.3B in Q1 income, $43M in BTC buying and selling income

Dorsey’s motivation for pursuing a brand new internet growth mannequin might stem from his perception that Web3 won’t ever obtain true decentralization. The Block CEO has publicly criticized Web3 and the enterprise capital neighborhood that helps its growth. In December 2021, Dorsey tweeted that people don’t personal Web3 — VCs and their restricted companions do. “It’ll by no means escape their incentives,” he mentioned. “It’s in the end a centralized entity with a distinct label.”

You don’t personal “web3.”

The VCs and their LPs do. It’ll by no means escape their incentives. It’s in the end a centralized entity with a distinct label.

Know what you’re moving into…

— jack (@jack) December 21, 2021