Introduction
Last updated
Last updated
The emergence of Bitcoin in 2009 marked the inception of a groundbreaking technological shift — a decentralised, trustless system enabling peer-to-peer digital transactions without intermediaries. While the technology was revolutionary, its primary focus was on being a store of value and a medium of exchange, laying the groundwork for an entire ecosystem of decentralised innovation.
As blockchain technology evolved, the introduction of Ethereum in 2015 expanded its horizons. By introducing programmable smart contracts, Ethereum enabled automation of complex operations, paving the way for decentralised applications (DApps). This innovation marked a critical transformation from Bitcoin’s single-purpose model to a multi-functional platform capable of hosting decentralised finance (DeFi), non-fungible tokens (NFTs), and more. However, Ethereum was limited by its scalability and escalating transaction costs. This necessitated the development of Layer 2 solutions like Polygon and Optimism, enhancing speed and reducing costs while maintaining the security of the underlying blockchain.
Beyond Ethereum, the Internet Computer Protocol (ICP) introduced a novel approach to blockchain scalability and decentralisation in 2021. Unlike traditional blockchains, which rely on off-chain solutions or centralized cloud infrastructure for storage and computation, ICP enables smart contracts—known as canisters—to run entirely on-chain. Thus, it provides a fully decentralised and serverless environment for Web3 applications. Further, with its unique reverse gas model where developers fund computation instead of users, ICP lowered the barriers to adoption while maintaining decentralization.
These advancements have propelled blockchain technology into broader applications, ushering in the current era of Web3—a paradigm shift in how digital applications are built and operated. The status quo of Web2, where the centralised models restrict control and resources with the hands of a few, is being challenged with a greater emphasis on decentralisation, transparency and user ownership.
Today, Web3 applications are reshaping and unlocking new economic models, governance structures, and data privacy. Yet, the potential of blockchain technology remains underutilised, hindered by the barriers associated with the development of decentralised applications (DApps). These hurdles and challenges often force developers to rely on centralised Web2 tools, despite facing the risks of centralisation and service disruptions. DOLR AI, a Layer 2 scaling solution built on ICP, is working on bridging this gap by leveraging ICP’s decentralized architecture while enhancing accessibility, interoperability, and cost-efficiency for developers.
In the current Web2 cloud services market, traditional players dominate, with 67% of the market controlled by just three players: AWS, Google Cloud, and Microsoft Azure. (1)
This dominance is well-earned, built primarily on the reliability and scalability of their solutions. However, such control leads to systemic vulnerabilities which impact the very users who rely on these platforms. For example, AWS experienced a high-profile outage in December 2021 that disrupted services for thousands of businesses and millions of users, exposing the risks of relying on centralised infrastructure. Beyond these outages, such services are not cheap—54% of small and medium-sized businesses spend more than $1.2 million per year on the cloud services. (2) Moreover, these platforms will be managing 100 zettabytes of crucial user data by 2025, adding another 64 zettabytes annually. Yet, their complex, long, and opaque terms and conditions prevent the users from fully understanding how their data is being stored, processed, and monetized, or in other words, what they are consenting to and what is happening to their data.
Web3 offers a viable alternative to these centralisation and data ownership/security issues, but it comes with its own set of challenges. The foremost among these challenges is the steep technical barrier to entry. Building Web3 DApps often requires very specialised knowledge, which is far from mainstream. Only 1.1% of developers are familiar with Solidity, the primary programming language for Ethereum (the blockchain platform most used for development of DApps), which is a stark contrast from the 62.3% of developers who are comfortable with JavaScript, the most widely used language for development of Web2 applications. (3) This knowledge gap significantly hinders the adoption of Web3 as an alternative for application development.
This is further aggravated by the fragmented Web3 ecosystem. There are too many protocols and platforms with seemingly no interoperability or integrations, limiting seamless development and smooth user adoption and experience. Even if an individual or a company chooses to build on a Web3 platform, the exorbitant costs, with initial builds costing between $50,000 to $150,000, further deters developers and companies from choosing Web3 platforms. (4)
DOLR AI aims to revolutionise this landscape by providing an unstoppable social cloud platform built on ICP, blending the strengths of traditional cloud services with the decentralised principles of Web3. Leveraging the unique Web3 capabilities of ICP, DOLR AI seeks to considerably reduce the need for complexity, technical barriers and costs associated with building and maintaining DApps. Using the serverless architecture and chain-jey integrations of ICP, DOLR AI is designed to provide seamless interoperability and scalability, while ensuring user privacy and ownership.
By tackling the limitations of both traditional cloud platforms and Web3, DOLR AI harnesses ICP to pioneer a decentralised social ecosystem where developers can innovate without constraints and users interact with applications that prioritise user ownership, privacy and trust. This represents a paradigm shift, unlocking the full potential of Web3 and empowering a new generation of applications that allow users to regain control over their digital interactions.
Statista. (2024, November). Worldwide market share of leading cloud infrastructure service providers.
Flexera. (2024). Cloud computing trends: Flexera 2024 State of the Cloud Report.
Stack Overflow. (2024). Stack Overflow developer survey 2024.
RisingMax. Cost of blockchain-based app development: A complete guide.
