Snickerdoodle Labs was in Austin for Consensus 2023 and was energized to see a shift from speculation and hype to building meaningful relationships and fostering thriving communities within the industry. From conversations about wallets and transactions to ownership and community building, the event was filled with thought-provoking moments.

Here are some highlights from the event:

Throughout the week, a fascinating trend became evident: wallets are rapidly evolving from being simple transactional tools to crucial components of the marketing technology stack for forward-thinking brands. This transformation underscores the rising significance of digital assets and decentralized platforms in shaping the future of customer engagement: “We are at an inflection point where the primitives of this entire sector for the next 20 years are being written now,” said Jonathan Padilla CEO and Co-founder of Snickerdoodle Labs. “Blockchain provides an incredibly valuable tool set to make sure that people are compensated for their data and that these types of models in the future will be respectful.”

No longer confined to merely facilitating transactions, these wallets now provide an opportunity for brands to build loyalty and foster lasting relationships with customers. By integrating decentralized technologies into their marketing strategies, brands can benefit from increased trust and transparency, offering a more personalized and immersive experience to their customers.

Furthermore, by embedding these technologies into the wallet experience, brands can create innovative reward systems, exclusive access to content, and seamless integration of digital assets into everyday consumer activities. This not only adds value to the brand experience but also enhances the usability of digital assets in the real world.

Ownership is at the heart of the web3 experience, enabling users to feel a sense of belonging and connection to a community. When people own a digital asset, they can see that others share the same interest, fostering a sense of unity. Oana Ruxandra, Chief Digital Officer at Warner Music Group emphasized this point, stating that “ownership is a key part of community building.” This is particularly true for the music industry, where fandom and community are increasingly monetized in ways that were previously impossible.

In another panel about the Future of Enterprise web3 Applications, Padilla highlighted the core principles underlying the web3 revolution, emphasizing the critical role of ownership in this transformative movement. “If we think about the axioms of web3, ownership is at the center of it,” he noted. This insight reminds us that web3 goes beyond simply enhancing our digital experiences; it fundamentally redefines the way users interact with and control their online assets.

By placing ownership at its core, web3 empowers individuals with greater autonomy, allowing them to directly benefit from their creations, data, and online activities. This paradigm shift fosters a more equitable and decentralized digital landscape, enabling a new generation of internet users to thrive in a world where they hold the keys to their digital lives.

The web3 revolution is poised to reshape the way businesses handle data and privacy, offering unprecedented opportunities for brands to engage with their target audience without compromising individual privacy. During a panel discussion at a recent industry event, Shiva Rasharaman, VP of Product at OpenSea, emphasized the unique nature of the web3 ecosystem, stating that “identities are private but interests are public.” This groundbreaking concept allows companies to effectively target their audience while still respecting user privacy and promoting a more ethical approach to data management.

A key technology influencing the handling of data in the web3 era is zero-knowledge proofs (ZKPs). ZKPs are cryptographic techniques that enable one party to prove the validity of a statement without revealing any information about the statement itself, other than the fact that it’s true. By inspiring ideas and raising awareness around privacy, ZKPs empower users to lease their data to brands without revealing the raw information, providing a secure and privacy-preserving way for businesses to access valuable insights. Todd Chapman, Chief Technology Officer at Snickerdoodle Labs, acknowledges the potential of ZKPs in driving a shift in privacy standards: “Snickerdoodle supports the industry’s adoption of zero-knowledge proofs as a catalyst for change in privacy practices. As the technology matures, it has the potential to become as vital and commonplace as HTTPS is for websites today.”

As the web3 landscape continues to evolve, businesses must adapt to this new world where privacy and data protection are paramount. By embracing the principles of web3 and harnessing the power of technologies such as ZKPs, companies can not only safeguard user privacy but also unlock new, ethical ways to engage with their target audience.

Blockchain technology is set to transform the way businesses manage rewards programs and customer relationships. The inherent transparency and immutability of blockchain can be leveraged to create a “giant CRM,” streamlining the process of tracking and analyzing customer behavior while fostering trust and accountability.

By adopting web3-based rewards programs, companies can gain a competitive edge in the fast-paced, increasingly decentralized digital landscape. As a result, brands can offer customers more personalized and engaging rewards experiences, while also mitigating the risks associated with traditional centralized systems. Furthermore, the use of smart contracts within these programs can automate the distribution of rewards, increasing efficiency and ensuring seamless execution.

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Consensus 2023 showcased the transformative potential of web3, highlighting its capacity to revolutionize industries and redefine business-customer interactions. Key aspects like wallets, ownership, and privacy will shape the web3 landscape. Embracing privacy-focused web3 technologies is crucial for businesses aiming to thrive and create a transparent digital future. Moreover, blockchain-based rewards programs are set to change customer engagement and loyalty approaches. As these trends progress, a more dynamic and inclusive digital environment will emerge, benefiting both users and businesses.

Learn more about Snickerdoodle Labs and download the data wallet extension.