Ingeun Kim | ingeun92@naver.com | CURG
This article was originally written in Korean, and you can find it here !!
The era of Web3.0, where every individual’s actions and activities matter, is rapidly approaching. The transition to Web3.0 has already begun and is progressing rapidly, but most people still do not seem ready to embrace this shift. So what should we prepare for? As the title suggests, based on my humble knowledge, I would like to introduce digital ownership, which is one of the cornerstones.
Digital Ownership and the Lack of Awareness
With the development of various infrastructures in the modern era, the abilities of individuals have gained attention, and these abilities are being recognized as assets, making the concept of ownership increasingly important. In particular, ownership in the digital world is taking on an increasingly complex and difficult form, but most people still do not seem to grasp this concept. To confront digital ownership, let’s examine its definition and the problems that arise when there is a lack of awareness.
What is Digital Ownership?
Ownership
Ownership is the state or fact of exclusive legal rights and control over property, which may be an object, or intellectual property, or land/real estate. Ownership involves multiple rights, collectively referred to as title, which may be separated and held by different parties.
Ownership is ultimately about rights. The scope of ownership includes both tangible and intangible assets. Before the modern era, rights over tangible assets (things, money, etc.) were predominant, and in the modern era, rights over intangible assets (intellectual property rights, copyrights, etc.) have begun to expand.
So what is the difference with digital ownership?
Digital Ownership
Digital ownership means having the right over one’s activities in the digital world that one is associated with.
Essentially, digital ownership brings the form of ownership rights into the digital world. Most people might think, “Well, that’s not much different,” and they would be right. Despite the lack of significant difference, many people still do not recognize digital ownership. Even if they do recognize it, systems to protect digital ownership are not properly implemented in the digital world, making it difficult to maintain digital ownership.
So even if people recognize digital ownership, why is it difficult to maintain?
The World of Web2.0
To answer this question, we first need to examine the existing digital infrastructure, Web2.0.
Web2.0
Web 2.0 (also known as participative (or participatory) web and social web) refers to websites that emphasize user-generated content, ease of use, participatory culture and interoperability (i.e., compatibility with other products, systems, and devices) for end users.
As defined, Web2.0 is a digital infrastructure where users directly produce content. From blog posts on Naver to video content on YouTube, and even personal updates on social media, all of these are forms of user-generated content.
But are the values of the content produced by users fully compensated by simply using the services provided by Web2.0 companies, along with the advertising revenue they receive? In the world of Web2.0, who is truly the digital owner who should be treated fairly?
These questions ultimately boil down to: _Where does the digital ownership lie for this content?_
AI’s Data Free-Riding
Now, let’s move on to artificial intelligence (AI), which has been continuously making remarkable progress and achievements. If we had to name the most famous AI tool right now, it would undoubtedly be OpenAI’s ChatGPT. However, ChatGPT faced a class-action lawsuit this year over allegations of data theft. The main claim is that the data from Web2.0, used for training ChatGPT, was used indiscriminately without the consent of the users who created it. Notably, ChatGPT operates with a partial paid model, but the profits earned are not distributed to the creators of the data used for training, which is a critical issue.
AI inevitably requires training on big data, but in this process, the original owners of the data are being excluded while the AI industry continues to operate. This trend is expected to worsen as the AI industry develops and becomes more sophisticated. Therefore, the concept of digital ownership is crucial across the entire AI industry to protect the rights of data creators.
What We Are Missing
What are we missing due to the lack of awareness and proper systems for digital ownership?
First, there is the “value” most easily expressed in monetary terms. The digital outputs created by individuals hold value, especially when used to generate added value.
Second, there is the “security of personal information.” In the Web2.0 world, our personal information is stored in the databases of the companies we registered with. If these databases are breached, our personal information becomes a public good.
Finally, there is the “power of information.” The phrase “the pen is mightier than the sword” underscores the power of information. In the current digital world, where digital ownership is not considered important, it is difficult to prevent information leaks, making it challenging for individuals to use information and data to protect themselves.
Through the above, we have learned what digital ownership is and why this concept is necessary for the future. So how should digital ownership be concretized and applied to the digital infrastructure?
Digital Ownership of Personal Activities
Ultimately, what we need to do is to value our personal activities in the digital world and recognize the immense value and power they hold. To achieve this, let’s first examine what personal activities in the digital world are, and then explore what we can gain by fostering digital ownership.
Defining Personal Activities
Personal activities are, quite literally, the processes and outputs of actions taken by individuals. In the digital world, these processes and outputs are simply expressed in digital formats, but their inherent value remains the same. For example, a novel I have written myself, a painting I have created, or a choreography I have composed. Particularly, if we record the process of creating these outputs in video form, that too becomes a personal activity and content in itself.
The World of Web3.0
To briefly introduce the infrastructure form that our world is heading towards, Web3.0:
Web3.0
Web3.0 is the third-generation internet based on artificial intelligence and blockchain technologies, providing personalized information and decentralizing data ownership. In Web3.0, users can obtain personalized information through AI and enhance personal data ownership and security through blockchain technology — an intelligent web technology.
The most important part of the Web3.0 definition is “decentralizing data ownership.” Although briefly stated, this concept is essentially in line with the notion of digital ownership that I have been explaining throughout.
In other words, by combining digital ownership with the Web2.0 infrastructure, we can fulfill a essential condition for moving towards Web3.0.
AI’s Data Co-Ownership
Let’s apply this to the AI industry, which I previously used as an example. The data that AI uses for training ultimately comes from personal activities. Therefore, it should be natural for there to be a process where data is provided to AI and appropriate compensation is received. If an awareness of digital ownership is fostered, and an infrastructure is established where this process can smoothly take place, then everyone in the AI industry can win in the Web3.0 environment.
What We Can Secure
In an era where digital ownership is established, we can enjoy the “value,” “security of personal information,” and “power of information” that we mentioned earlier.
It will be possible to engage in fair value exchanges, where individuals’ data is used based on necessity, and corresponding value is returned. We can recognize the importance of personal information management and minimize personal information leaks through secure storage. Additionally, we can leverage the power of information we possess to claim rights and power as individuals.
Expected Social Changes from Growing Digital Ownership Awareness
The growth of awareness around digital ownership is expected to have positive effects in the following ways:
We Are All Protagonists
When personal activities are given proper value, and the concept of digital private property is combined, individuals in the digital world can enjoy a self-driven state where everyone is the protagonist. This can lead to satisfactory results for both content producers and consumers. Looking further, it can help maximize the potential of individuals, thereby contributing to the overall advancement of humanity.
A Somewhat Fairer Distribution
The current Web2.0 service platforms do pay a certain price for using content, but ultimately, since all rights to the content lie with the content creators, I believe that the service platforms should return a larger share of the value they earn to the content creators. Through this “somewhat fairer distribution,” a healthy and sustainable ecosystem can grow among content creators, content consumers, and the service platforms that connect them.
Moreover, this “somewhat fairer distribution” is an important concept that leads to the digital welfare mentioned below.
The Starting Point for Digital Welfare
The “somewhat fairer distribution” mentioned earlier ultimately implies that the value paid by content consumers is fairly delivered to content creators. If this concept is established as a systemic infrastructure in the Web3.0 digital world, content creators can truly compete based on the value of their content, which is the result of personal activities. This means that the digitally ownership-excluded class, who intentionally remain marginalized despite having quality data, can be minimized. In other words, the growth of digital ownership awareness and the subsequent establishment of systems can be seen as the starting point for digital welfare, gradually reducing the digitally ownership-excluded class.
Conclusion
Understanding digital ownership and adopting it as a mindset for facing the future is the starting point for transitioning from Web2.0 to Web3.0 and the cornerstone for building the skyscraper that is Web3.0. I believe this is necessary not only for the blockchain industry but also for the healthy development of other industries such as AI and the web. Ultimately, what matters most is that individuals not only freely participate but also receive fair compensation for their participation. Once this becomes the norm, I can confidently say that we will have truly entered the era of Web3.0.
