Opinion: Daniel Ahmed, co-founder of Facet and founding member of its own foundation.
Crypto was born from a vision for diversifying power, democratizing funds, and creating a system in which equity is prioritized over exploitation. But somewhere along the way, the movement lost its moral compass. As speculation spiked, objectives diminished.
We must return codes to its decentralized roots, a technological revolution built on long-term value, inclusivity and ethics, rather than cyclical and speculative benefits. The industry needs to get inspiration from emerging regions, and how ethical financial investments can help our industry repair the ways that are often inadequate.
Layer Rise 2
When Vitalik wrote a Layer 2 blog post as a cultural extension of Ethereum, he brought important points not only in business and technology but also in humanity. Citing the blockchain, he framed Layer 2 as a subculture of Ethereum, explaining not only the technical advantages but how their positioning and complexity drips into the culture of the community.
In a space where new Layer 2 is rapidly emerging, Vitalik’s insights are accurate and exciting. Building an echo chamber and monoculture vacuum will miss the real value of the Web3 community.
What really connects the community? Too often in cryptography, the answers enrich people. What it should do is a shared ideal that solves real problems. This can make people money if done with purpose and belief.
The rapid rise in Layer 2 and Layer 3 solutions promises scalability and efficiency, but they are often motivated by speculative profits rather than long-lasting value creation. If there is doubt, the numbers speak for themselves.
Layer 2 fatigue aside, the pure scope of this data raises questions. Is our industry innovative just because we can do that, or is it creating real-world utilities that improve the lives of our fellow humans, or is it innovating? There’s no problem with making something to make money, but if that’s the only reason we build something, then that’s the problem.
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We need to shift the narrative and explore how Web3 is actually solving fundamental problems as a North Star in the way that ethically constructs the future of space in emerging markets, particularly in regions such as the Middle East, Southeast Asia and Africa.
What does innovation mean?
If the Crypto project considers Web3 innovation to be VC-driven funding rounds only, then if you compare transactions per second, or build the next decentralized application to trade CAT coins, even the simplest locations of financial transactions will not exist in awkward places.
In emerging markets where people are tackling inflation, high remittance fees and limited access to financial services, we witnessed how meaningful effects can change the daily lives of millions of people. These are not abstract issues. They affect business owners, families, students, creators, and more.
From Stablecoins to secure and user-friendly payment applications, Web3 offers a unique opportunity to address these issues by creating a decentralized financial system that bypasses traditional banking inefficiencies and inequality. For Web3 to truly make a difference in these regions, it needs to be designed with a focus on ethics, accessibility and long-term utilities. You need to lead in the example.
In these markets, if innovation does not cause meaningful disruptions that improve people’s lives and address real-world problems, then it is nothing more than a buzzword. The most powerful solution in technology is the solution to the world’s biggest problem.
Ethical Finance – The future of Web3?
If you need inspiration, beware of people doing something different. If you want to inspire others, give us an example.
Ethical finance, particularly Islamic finance, provides valuable lessons from Web3. Back in the Middle East and North Africa, back to the 1960s and 1970s (a further around 620 AD), the sector focuses on risk sharing, ethical investments and tangible assets.
Islamic finances have endured for centuries to reject speculation in favor of actual meaningful values. For example, we saw the rise of ethical financial institutions like Al Rajhi Bank, one of the most prominent Islamic banks in the world, known for their investments in concrete assets and community-oriented financial products.
This model can guide Web3 beyond hype-driven growth, as it strives to build on morality, material, needs and mere economic opportunities.
Build by example
As we aim for the next few years in the wind and bull market beneath our wings, it’s time for Web3 to look for mirrors and redefine what success and innovation really look like. The answer to this is not the same for everyone. If so, it’s pretty boring.
We must find a common basis for technical achievements, market capitalization, total value locks, or common values ​​that expand beyond X-followers, but we strive to innovate what is more important than layer 2 and tokens.
As we prepare to launch something new, we have to ask ourselves what our industry lives in the heart of Islamic finance. How does this product improve people’s lives? Does this apply to the spirit of creating a decentralized system that is transparent, fair and built for all profits?
If we can’t answer that, we should probably take a step back and ask why. After that, I’ll go back to work.
Opinion: Daniel Ahmed, co-founder of Fasset and founding member of its own foundation.
This article is for general informational purposes and is not intended to be considered legal or investment advice, and should not be done. The views, thoughts and opinions expressed here are the authors alone and do not necessarily reflect or express Cointregraph’s views and opinions.
