Great technology is invisible: Unveiling the seamless future of blockchain applications

cyptouser3 weeks agoCryptocurrencies News21

Have you ever manually chosen between Azure and AWS when browsing X – or picked a payment processor to reroute your online Apple Pay transactions to? Do you check the SSL certificate of AliExpress or Amazon to make your shopping more secure?

Great technology is invisible. Steve Jobs had it right years ago when he called for prioritizing the intersection of technology and the humanities. Still, when it comes to blockchain, it is quite the opposite.

Lost in the debris of wallets, exchanges, bridges, tokens, and smart contracts, Web3 seems to be wandering in circles, retracing its steps. In an endeavor to innovate, it’s missing the opportunity to address the fundamental needs of consumer experience: ease of use, reliability, intuitiveness, and seamlessness.

Technology-wise, blockchain has advanced sufficiently; it’s time to build a convenient application layer.

Poor UX Causing Retention Drop

According to a recent report by Sequoia Capital, the median one-month retention rate of incumbent tech apps is 63%. Ethereum dApps barely make it above 16%.

To those who pay attention to UX research, it is hardly surprising. Blockchain users are consistently less satisfied than their off-chain counterparts, with only a third of dApp activities completed in less than ten minutes and negative reviews constituting a majority for Web3 applications on the App Store. Nearly 90% of consumers abandon mobile apps because of a poor user experience. Yes, a small segment of your audience may prioritize decentralization and Web3 ethics, but generally, speed, ease, affordability, straightforwardness, and intuitive interfaces come first.

A slew of layer-2 solutions like optimistic rollups or zero-knowledge validity proofs attempt to tackle scalability concerns, extracting value from transaction ordering, fluctuating transaction costs, and slow execution times. This is an important advancement regarding the technical illnesses of blockchain. Still, implementing layer-2 blockchains doesn’t fully solve the problem’s other application layer-related elements. User-centric dApps are few and far between, which is a severe blow to the ecosystem.

While a blockchain fan might be persuaded that the ends justify the means, an average user with no technical background will likely discard the technology should they struggle with the interface. Otherwise, centralized exchanges wouldn’t have dominated the industry – why open a custodial wallet if you have cold ledgers, private keys, and peer-to-peer or decentralized alternatives with more sovereignty and security, especially post-FTX?

And yet, centralized exchanges currently account for 91.4% of spot trading volume and almost 98%, including derivatives, meaning that the average consumer values usability more than security.

Add to this a steep learning curve, a need for intuitive and thorough introductory guides, and various possible failure scenarios, and it becomes clear where the skepticism toward blockchain stems from. For instance, Robinhood, one of the most popular trading apps in the US, doesn’t support USDT but allows opening USDC wallets and sending Tether to exchange-held accounts, which is not available to ordinary users.

However, a less-adept customer will figure out the difference between the stablecoins only on page 3 of the FAQ – after their funds are already irrevocably burned. While developers may advance new scientific frontiers in zero-knowledge proofs, this will unlikely persuade such a user to continue dealing with crypto.

Building from the Ground Up: A User-Driven Blueprint

The industry craves a slow, evolutionary approach over revolutionary shifts. We need a vertical separation or developers’ focus on the blockchain application layer. Providing a better solution to a smaller problem is a healthier approach than providing a weaker solution to a larger problem.

For instance, a modular approach to system design can promote the independent development of blockchain components without compromising the overall ecosystem’s stability. Responsive validity proof (a combination of optimistic rollups and ZK validity proofs) reduces cost barriers. It increases time efficiency, while a decentralized sequencer network ensures fairness and scalability in transaction execution. All of these consumer-targeting technologies already exist – yet, they are implemented only by a few projects.

Web3 has long secluded itself into solving problems within a narrow audience of crypto enthusiasts; now is the right time to adopt a different vision and bolster visionaries and innovators to bring its application to real-life problems rather than self-imposed financial challenges. Blockchain is a powerful tool – we just need to make it more approachable.

Guest Contributor

Cecilia Hsueh

Co-founder and CEO at Morph

A seasoned entrepreneur with over a decade of experience, Cecilia has led multiple ventures. In 2014, she founded and helmed J.C.Moritz Investment Consulting, a market research firm, and transitioned into the Web3 space as an investor in 2018. From 2019 to 2022, Cecilia served as the CEO of Phemex trading platform. She boasts 10+ years as a serial entrepreneur, with 4 of those years dedicated to Web3 projects.

@cecilia_hsueh LinkedIn Editor

News Desk

Editor at CyptoRanking

CyptoRanking is a comprehensive and contextualized source for crypto news, insights, and data. Focusing on Bitcoin, macro, DeFi and AI.

@cryptoslate LinkedIn Email Editor Latest Report

The invisible engine: How OTC trading powers Bitcoin ETFs

Exploring the intricacies of OTC trading, providing a comprehensive understanding of this often overlooked but vital component of the market.

Andjela Radmilac · 2 days ago
The content on this website comes from the Internet. Due to the inconvenience of proofreading the authenticity and accuracy of the copyright or content of some content, it may be temporarily impossible to confirm the authenticity and accuracy of the copyright or content. For copyright issues or other issues caused by this, please Call or email this site. It will be deleted or changed immediately after verification.

related articles

Bitcoin SV surges with 50% jump amid broader Bitcoin forks uptrend

Bitcoin SV led CyptoRanking’s top gainers list for Dec. 28 after rallying over 50% during the past d...

Circle eyes IPO as USDC market dominance dips to two-year low

Circle, the issuer of the USD Coin (USDC) stablecoin, is reportedly exploring the possibility of goi...

Bitcoin market cap drops below $1 trillion as price retreats under $51k

Bitcoin market cap drops below $1 trillion as price retreats under $51k

Bitcoin’s price retreated below $51,000 to retest critical support levels on Feb. 17 despite holding...

Bitcoin mining difficulty hits all-time high after surging over 6%

The Bitcoin network witnessed a significant rise in mining difficulty, setting a new all-time high b...

Tether supply reaches unprecedented $84 billion amid ETF-driven Bitcoin rally

Tether’s (USDT) stablecoin supply has reached an unprecedented milestone, surpassing $84 billi...

SBF Trial: Grounded private jets worth combined $70M may be forfeit in Bankman-Fried trial

Federal prosecutors filed a forfeiture bill of particulars on Oct. 5 specifying assets subject to fo...