dom williams.icp ∞@dominic_w
Caffeine demo @ Crypto Valley Conference had the audience entranced & clapping as it unfolded :) 💪
But, there was something else that I experienced, and I’ll talk about this subject for the last time, since I feel our project is moving on.
The laptop I was going to use to demo had a problem with its internet, so while it was sorted out, I engaged in a back and forth with the audience.
To level-set in preparation for the demo, and make sure the audience understood what they were about to see, I asked the audience about their understanding of the phase "onchain" and what it meant for an app or service to built "on" a blockchain.
I asked the audience to put their hands up for one of two choices (one of which would be true, the other false):
Choice 1: "if an app/service is said to be 'built on Blockchain XYZ’, and is said to be running ‘onchain,’ this means that XYZ is functioning as a decentralized cloud, and that's where the app/service is actually hosted and runs”.
Choice 2: "the phrase means the app/service is built on one of Big Tech’s cloud services or similar, where the user experience and backend data and computation lives under the full control of the developers and the cloud service, without blockchain resilience and security, and is termed 'onchain' because it has an associated token on blockchain XYZ.”
More than 90% of the audience raised their hands for Choice 1 (but, of course, Choice 2 is what the prevailing Web3 vernacular means).
I shouldn't have been surprised by this, since past research performed by DFINITY found an even higher proportion of retail crypto investors, institutional crypto investors, crypto journalists, mainstream journalists, etc, believe that when someone says that an app or service is built on Blockchain XYZ, and is onchain, that it is running from XYZ, which is playing the role of decentralized cloud.
But I thought the truth would have percolated more by now. This was something I was fighting 3-4 years ago. But the massive misunderstanding obviously remains fully intact.
Back in the day, I tried to help people understand on social media by posting the theoretical cost of storing a single phone photo on different blockchains, and comparing the cost to storing a photo on the Internet Computer. Everyone knows what a phone photo is, so this was meant to provide a way to grok the difference.
The costs on other blockchains ranged from the millions to tens of thousands of dollars owing to limitations in traditional blockchain design, to fractions of a cent on the Internet Computer (which is why NFT media typically lives offchain, and why blockchain NFTs just store a link to it)
Of course, my purpose was partly to help people understand what had been achieved with the Internet Computer, the level R&D that went into creating it, and deep innovation it embodies (and why DFINITY, a not-for-profit with a defined mission, had spent hundreds of millions on R&D, rather than directing that money into marketing).
But my purpose wasn’t just to draw attention to the Internet Computer: I also personally prefer a world grounded in reality, and for the facts to be out there. This, after all, is pretty fundamental to what Web3 is.
My phone photo reveals didn’t go down well at all.
I was widely attacked and derided as lying about the Internet Computer, and accused of spreading disinformation about other blockchains, and as being an industry downer. Eventually I gave up and took the view that people would eventually get to the truth without me making enemies – after all, the difference between perception and reality was so vast, I felt it surely couldn’t persist
But the problem has never gone away, in reality.
For example, less than a year ago, I had a difficult interview with the Managing Editor of Crypto at a huge mainstream publication, which experience I shall share with you.
I spent the first 15 minutes explaining the Internet Computer vision, how much we had invested into reinventing blockchain so that it could function as a revolutionary new form of decentralized cloud and end-to-end stack that hosts online apps and services that are tamperproof (no need for traditional cybersecurity) and unstoppable (resilience guaranteed), while continuing to support blockchain specialities such as tokenization and autonomous logic, adding additional functionalities such as trustless multi-chain etc etc
The Internet Computer addresses seminal challenges in tech, and in society generally. The project has employed world-famous computer scientists. Who could fail to be interested in that, but —
Soon, the crypto editor was looking irritated, and in fact, plain angry. I paused. He shrugged his shoulders, and said (verbatim): "so what's new!?.. isn't that what Solana and Ethereum are… decentralized clouds.”
I wasn’t going to be able to disabuse him of his strongly-held beliefs, and persuade him that these these networks are designed to store and process tokens, and DeFi, and cannot provide cloud functionality where online apps and services can be hosted. The interview was over in 20 minutes.
The editor thought what I was saying was completely preposterous, and obvious lies, and that *I* was a charlatan taking him for a fool.
This is the bizarre alternate reality that DFINITY has been living for four years since launching of the Internet Computer in 2021 – after 5/6 years of hard R&D at scale, with another 4 following since.
At launch, the credibility of the network suffered from extraordinary attacks by shady people in our industry to deflect from its capabilities and protect the status quo, in ways anyone can read about on CryptoLeaks, but what’s really bizarre, is that despite the scale and power of those 2021 attacks, in the end the unique capabilities of the Internet Computer have become masked within the industry not by those reputational attacks and historical market manipulation, but by the widespread baseless misunderstanding that other blockchains provide exactly the same (or better) decentralized cloud functionalities, an idea completely detached from reality.
While the Internet Computer can host a social network, these other blockchains can't even store one phone photo in practice. They are token-processing networks.
The situation derives not only from disinformation and misleading vernacular, but from the lack of direct experience people have with networks.
The average man can't tell where an app or service is running. If someone claims an app or service is running on their favorite blockchain, then who's to say it isn't!?!?
The industry has fostered this profitable mass delusion to such a point that the social proof appears overwhelming to people, and it is accepted fact. This, of course, is what happens in cults. And, just like in cults, when someone demurs, and dares to challenge cherished delusions, they are attacked and vilified.
Back in the day, when I helped pioneer this industry, as one of its technical leaders, I was driven by an overwhelming passion to use my technical skills to unlock utility for humanity by developing the most advanced decentralized technology possible. I’m a very technical person, and as a pioneering theoretician in the field, I was in love with the technology and what could be achieved (and absolutely still am).
At DFINITY, we aim to do big things, and our work addresses seminal challenges in tech, and to no small extent, in society more broadly. The technology was and is revolutionary.
In practice, successful engagement in serious science and engineering pursuits is easier if you are someone who is almost religiously interested in truth, logic and facts – even if you are overly optimistic about timelines, you are pursue inspiring things you have worked out can be achieved technically. You constantly try to move past imperfect understandings of things.
For that reason, it is very difficult for me to personally accept that our industry, accidentally or not, promulgates egregious untruths like these.
In my opinion, when the leaders of major projects participate in promoting these untruths, even if just by subtly encouraging the misunderstanding, at the least they are guilty of a serious lie of omission.
There’s nothing wrong with blockchains that are primarily designed to host and process tokens and DeFi. Nothing at all. They, and the communities that create, support and sustain decentralized value, are valuable things in their own right. We can celebrate and value that without deceiving people.
The challenge is that when markets and industries are routinely given completely false information, it totally distorts incentives, and ultimately, prevents them from doing their work. Technological innovation within our industry has suffered greatly.
People look at price as a kind of social proof of value, without understanding that it’s often manufactured by armies of market makers and treasury traders. They lap up narratives that they are completely unequipped to verify for themselves, but which appear to be validated by clamor on social media (which is also manufactured, or paid for) and supportive crypto media owned by people with vested interests.
Cool as some people think this machine that extracts value from the cryptosphere is, it's horrible for our industry, and it causes great harm.
This is not what the Internet Computer is about, nor is it something I want to be involved with personally. Perhaps I would feel more comfortable if people weren’t being deceived en masse.
In Web3 today, the space for the pursuit of real technology, vision and utility, and the value of real adoption and network usage figures, has been shrinking. Only major science and engineering-led projects like the Internet Computer can resist the pull of the narrative game.
Thomas Gresham was a sixteenth century English economist. Gresham’s law is “bad money drives out the good.”
Web3 has rewarded deliberately misleading fast-money narratives, and lies and misrepresentation is not punished. A large section of the industry participates. Since developing and promoting narratives is far less costly and time consuming than developing truly game-changing technology through multi-year R&D programs, more and more projects have become snakeoil spinners to stay in the game.
It's a sad fact that many alt-tech networks are now complete vaporware, and their native tokens are really memecoins in disguise.
Although retail doesn't have an inside view and understand what's happening exactly, they have a growing instinct that they can't trust any narrative any more, and increasingly turn to memecoins as investment vehicles, because at least they are not masquerading as something they aren't, even if they often lose their money on them.
It's a great shame so much of our industry is now primarily directed towards extracting value from well-meaning but unwitting people through pump and dump cycles and narrartives, rather than sustainably building real value by developing game-changing decentralized technological infrastructure. Yhe industy has come to value stuff that's not valuable.
Projects like the Internet Computer are the last bastion, holding out with a determination to succeed by powering decentralized networks with more and more advanced technology until it unlocks game-changing utility, taking crypto where we all want to go.
With the "self-writing internet," I believe we are now getting to a place where we can pull something off that will help reset our industry, and take us somewhere completely new.
My experience sharing Caffeine demos over the last couple of days has shown me why and how: Caffeine will put one of the most powerful crypto technologies ever developed into the hands of the anyone who wants to give it a try, where they can experience it *directly* such that they can easily appreciate the value themselves, because it's valuable to them, removing the need to evaluate a complex technical story or narrative they cannot easily verify the veracity of.
Caffeine and the self-writing internet technologies are shockingly good and powerful, and hugely enjoyable to use – my guess is most of the industry will eventually feel compelled to try it for themselves.
Simply by having a conversation with AI in natural language, with no separate technical steps, users can create and update sophisticated sovereign online apps, that are also tamperproof and unstoppable, and run entirely from an advanced blockchain network.
What's striking, is that the sophistication of these apps (really dapps) far exceeds what can currently be created using “mostly hands-free” Web2 vibe coding platforms, which in practice still require craft coding (human) input, and thus technical skills.
Moreover, it's crypto technology that provides guarantees that data is not lost during upgrades, if the AI makes a mistake, such that the paradigm works in production.
It won't be difficult for Web3 participants to confirm these apps run on the Internet Computer, and this begin to have people asking what "onchain" really means. Not a moment too soon :)
There's no way to fake self-writing internet technology, at least not without risking jail..
This will be a blockchain experience unlike any before. Mostly Web3 "ownership" has meant speculating with tokens, memecoins and NFTs. This is something else altogether.
This is our chance to make Web3 about the tech again.
I want the self-writing internet, and Caffeine, to nudge Web3 in a slightly different direction, and I hope you'll join me in that effort.
Lastly, there are 5 billion people with internet-connected smartphones who will be able to use Caffeine. There are also a gazillion entrepreneurs and startups, small and medium sized businesses, corporations, governments and NGOs... Caffeine has almost unlimited use cases.
The overwhelming majority of these self-writing internet users will come from outside Web3 and this is about breakthrough mass market technology with impact that reaches far further.
For that reason, the ICP community will see that we begin to stop describing ourselves as a Web3 or blockchain technology project.
That's simply because outside our industry, anything Web3 is now often viewed with distrust.
I think we will best help restore the reputation of Web3, and better light the way forwards, by succeeding outside. We want outside people to experience the power of the self-writing internet without Web3 baggage.
But, this won’t change the fact that Bitcoin DeFi is quietly taking off on the Internet Computer, or any ot the other really interesting things happening that belong to Web3.
Internet Computer 2.0 and the self-writing internet will be its own sector. Here's to a better future!