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cover of episode From Web1 to Web3: Why Are We Here? | Matt Cutler

From Web1 to Web3: Why Are We Here? | Matt Cutler

2024/11/25
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Matt Cutler讲述了他从90年代初互联网早期开始的创业经历,以及他参与Web3的动机。他将Web3的早期发展与互联网早期发展进行了比较,指出两者都经历了技术挑战和用户体验问题,但同时也充满了机遇和可能性。他认为Web3的吸引力在于其新颖性和风险性,以及其改变金融服务效率的潜力。他相信Web3技术能够释放出大量的经济资源,用于解决全球性问题,例如气候变化和人工智能安全等。他还鼓励开发者关注Web3领域中一些不那么引人注目但同样重要的技术问题,并呼吁大家积极参与,改变公众对Web3的负面看法。他认为大型企业参与是Web3未来发展的关键因素,Web3也即将迎来类似于1999年互联网爆发的时刻。

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Matt Cutler discusses his journey from Web1 to Web3 and why he believes in the potential of blockchain technology to revolutionize the internet.
  • Matt Cutler's experience spans multiple internet eras, including the early days of the internet and the current Web3 revolution.
  • He questions the purpose of being in the Web3 ecosystem and shares his personal motivations for being involved.

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Welcome to the bank sign a series of talks from speakers all around the author ecosystem, which were all presented at a one day event hosted the day after death con called the bank last summer. We are releasing some of these talks on the pakia sta all the week, and the rest will be available on the bank less premium feed. Matt cutler is a combination of a fantastic storyteller and a fantastic data analyst.

Easy counter, a block native which dives deep into the theory metal and M E V layer. But this talk is a little bit more resumed out from what people might be used to when hearing from map. Block native is not math first company, or second or third is his fifth.

Math first company was an internet company that he started in the nineties well before the dot come boom. And he's founded a company in every major internet era sense, including the desktop and mobile eras, and now encrypt u. So it's the least to say that matt knows anything or two about internet businesses. And so let's go here for math wisdom.

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Good afternoon, everyone is super fun to be here and by saturday of devon week as your brain totally full. Like dev con is many things, but it's mostly right curve. And I intend to do right curve stuff that i've been in a whole bunch of right curve things.

And this is going to be a definitely timely left curve talk so everyone can take the breath and relaxed as just sort of chill out and let IT go. And i'm just going to tell some stories about something that I have more than probably all of you in the room, maybe the top two or three, which is years on this planet OK. So I am mad.

I'm foundering. C, E, O, blocked. native. We've been building largely in the authorial ecosystem for six and half years now. But I started my entrepreneurial ney when I was still underground at school, long before I was fashionable to do internet companies, long before I was fashionable to do them as an undergrad.

And one of the things that i've learned without my entrepreneurial ney is to basically have this question of why are we hear, like why you're doing IT? Now I started to build this talk and talk to David about being here. Basically, we were still kind of in a crab market, was like, sort of go in sideways.

And I get this question all the time from my norm friends, which are most of my friends, why you build a encrypt? Like isn't that kind of scheme? And now that everything seems to be turning around, which is pretty excited, and I get the same question again.

And so I can't really answer this question for you, but I can answer this question for me, and I can share that with you. And hopefully this will give you some tools so that as you inevitably get this question, why are you in this ecosystem? Why are you here? You'll have some answers to that.

So this shows how all I am. This is me on my first day of college with my mom. This is nineteen ninety one. Please don't raise your hand if you weren't born yet, kay.

I'm standing in front of what's known as lobby ten, which is the great dome MIT, where I was a freshman and when I went to MIT, this is where we did our work, is called that a thea cluster. IT looked just like this. There were unix workstations.

They were crt monitors. When I first got there, there were only black and White ones. The color, this is.

So here was sort of a newer thing, and I don't know, you went to MIT. There were computers. Your classwork was on them.

You could do all sorts of cool stuff at message your friends, you had email, we could talk to people at other schools. They were games. And like, we literally did not know any Better.

Oh, they also all at high speed, either of connections had no idea what turned out is the intern like this. And this is this new networking thing that basically allows these computers to talk to each other. And we didn't really think much about IT even though this is true.

MIT has a class a submit. What that means is in the IP address range, eighteen dot, that's entirely a mini. okay?

Stanford has a class a subnet as iraq pok park has a class a subnet. And so this is this whole thing about, hey, the futures already here. It's just not evenly distributed.

And I happen to be at mmt at the moment, where I had among the best internet access in the entire world. And of course, we all kind of look at for granted. Now this is what IT looked like, the interesting part of the internet of the interesting part, the accessible part of the internet when I first got to school.

And this is known as gofer. I would doubt that anyone here has ever used golfer. That IT was a space protocol.

I think I just saw Henry is, yeah, you're gofer user, awesome. And golfer was, like, relatively usable, but entirely text space. This is the best image I could find a gofer. This is a dos font.

I was on a unique front, but you can kind of like navigate through and your like, okay, right? But while I was at school, I went to school in one hundred and ninety one. In nineteen ninety four, this thing dropped, which i'm sure many of you are familiar with.

This is the moc browser, and I was on the move. Egg brows are really early at its lifecycle, and I kind of changed everything. now. A little side note, the mosaic browser was done by mark and reacts team at the university of lenoir.

And I was based on this brand new protocol called the worldwide web, which was timber's lee, who I was going to say to you guys, you know who timber's lee is, he's like the father of the web. And I happened to get lost coming up here. So instead of coming up the escalator of the bats, I wanted around downstairs. And there's african trying to timna sly, which I hardly recommend checking out.

And tiburon ers lee worked at cern, the european particle accelleration, or, and he was building this protocol to enable new forms of communication and collaboration among the researchers, because he realized certain was generating so much data that using traditional tools like email, like research papers, would be insufficient for them to convey the information with significant speed and fidelity. And they actually need whole new communications protocols. right? Is this starting the sound familiar too? Because that is this, this history doesn't repeat itself, but IT rives.

And when I was at mt, this website called yahoo came out, by the way, at this point, me, in a few friends, started to build. This is when I actually started. My first company was way back in one hundred and ninety four.

And we were doing all sorts of this source stuff. But this was the original yahoo. And by the way, this, I was able to dig this one out of the web design museum.

Ninety four, when IT look like. And you'll notice there is new websites popping up every single day. IT was super exciting.

But look at the website counts. There are still pretty small I member. They're even smaller than that.

I remember when I was at MIT, I could read all of use net in over lunch some days. That was like fifteen minutes, right? And I kept growing and growing and growing.

And this was this really fascinating phenomena that was like, if you were in the internet in one hundred and ninety four, this little, tiny, tiny speck IT was pretty obvious how the future was going to be, because IT was, like, way Better than aol or computer or anything else. It's program ble. IT was flexible.

IT was visual. IT was point and click. And you can do weird stuff on IT, right? But if you were outside the internet, which was everybody else, IT wasn't at all obvious, was not at all obvious that this funny little research network that connect these universities would be the future.

And you started the company in one thousand nine hundred and ninety four on the internet. That sounds really romantic. But let me tell you, it's sucked. And the reason why is because nobody really cared. For a long time.

The online world was growing, but IT grew slowly until IT kind of popped on the scene in the nineteen ninety nine, which one thousand nine hundred and ninety four and one thousand nine hundred and ninety nine doesn't seem like that big of a deal from our point of view right now. But I was five years, five years of building and five years of building when I was twenty one years old to twenty six years old. It's a long time.

And so hey, and then what happened? Two thousand. Everything exploded.

And we actually took that company public at the time we went public, which by the way, february twenty nine, two thousand, which is a funny day lip er day two thousand, we were one of the top thirty five IP s in history, which is crazy. And then IT all fell apart. Shortly they're after with the dog can boom.

And now we live in this world where online needs to be. This place you could go when I started, I could hold IT in my hands. And today, at some place we escape, we have to go somewhere to get offline, right to the edge, to the wilderness, to the wild, where there's danger.

And you go, you know, I like being way out here because there's no cells, because my toaster can connect to the internet from out here, right? And so this trend, this phenomenon, seems somewhat inexorable, but IT takes a long time to roll out. And what seems so sort of obvious and common sense today was not at all obvious and common sense in the beginning.

Now you can probably see where this is going. Oh, i've done to hope match of startups. I've done a lot of tech tips, bunch of other startups, but I tend to be early in each one of these major revolutions.

And they have different outcomes. Two, or that one I took public. Two did not have great outcomes, the last when I sold, and i'm going for the try factor.

I don't know if anyone's ever done this before, but take a company, public, sell one to a public company and exotic community with a token. So i'm going for that. We'll see if I can get all three together.

And one of these things I want to to say, by the way, is matt still here? So math OK, I was you thirty years ago when I started a genesis, is I was the Youngest guy in the room always. And IT was really, really interesting.

And now, as I said at the beginning, and one of the all these guys in the right, which is sort of an interesting thing to think about, IT so mad, I really, really, really, really, really hope for you. And thirty years you can give this talk to a different on IT. okay.

And so here we are in the middle of this new rebirth of web three. And this is what I look like when I started. I got into web three and two thousand seventeen.

And this is, believe in or not, the metal mask interface from two thousand and seventeen. And IT looks shockingly familiar to the one today, which is saying something. But IT was really pretty lousy mental, mais come a long way.

IT was full of, at that time, all these phantom clicks, like you could click something to get no feedback from the wallet. And IT was actually doing something in the background. And there was all these sort of really arly U.

X. issues. And at the time, what dreamin was this crypto Kitty, which sort of seems old and funny right now, but IT was one of the first sun of human, relatable things happening on a web.

Three, now, what are some of the parallels that I observed now when I first got on the internet? Is hard, was slow, IT was complicated and IT was weird. But that was cool, right? And when I did this in two thousand and seven had all that same stuff.

I often tell the story, how do you imagine someone got online in one thousand nine hundred ninety five, like literally one of your friends would have written article in wired magazine, or something else doesn't really hear about anywhere else. And they said, i've heard about the internet. Can you help me get online? You say why and they go to know, sounds interesting, say, great. We'll do IT over the weekend because IT basically take a full day to do.

Now, before i'm GTA come over to your house, you're going to go to the computer store in your car and get a piece of hardware, call the model ah oh, and by the way, you ve got to figure that out because it's going to plug into the world, but it's not going to plug into your phone line and you might need to be going to radio shack and get a long cable. Do now really fun fact about getting online in one thousand nine hundred and ninety five is windows, which is the parliament Operating system of the time, did not chip with a TCP I P. stack.

So how the held you download A T C P I P stack if you don't have one in the first place? This was what we had to deal with that. So even know what a TCP p steck was, which I want to argue this people in this room for me, I know what that is.

And then you had to. So get online, get the thing, plug IT in, can figure IT, find a TCP that download, install IT. Know what a browser is nowhere you can find what, download the browser and install that.

And then, and only then, could you type in A U R L to go to some place. interesting. And you know what people wanted to do? They wanted to go to the new york type? No, they didn't want to do that at all.

And the reason is the new york times is retina accessible. You could get IT on the new stand. You could get IT for a well, they went on the internet to do weird.

Dp, okay. They went at all the stuff that you couldn't do anywhere else. And they're, i've heard some interesting, weird stuff as though that I can't see like IT might be dangerous.

And you're like that kind of the point. I go to the frontier. I go to the wilderness because it's dangerous.

I don't want to go out on some trip way in the wilds of piling and go look at squirl. I can see scrolls at home. I want to see things I can't see anywhere else.

And so the same is true here in web 3。 I have done this here when I get on china, when I get in the crypt to, i'll come over for the weekend. I'll set you up, right, do the whole thing, go back and forth and stalled wallet connecting account, set up an exchange, move some funds over.

Now, what can I do? Hey, this is weird. That's why i'm here. It's the weird stuff. Oh, you don't go on chain to get access to your bank account because you can only get access to your bank account.

It's to do weird in different things that you can do and other domains with some thrill of danger. So by the way, i'll talk about this little bit, but that's why mean coins are a big deal. It's like this is cool.

I can't do IT anywhere else and it's kind of dangerous. I'd like IT, right? So i'm not here for the mean coins, but I kind of get the appeal of main quins because you can't get IT anywhere else.

So by the way, we have this whole conversation and cyp do about what's the mainstream application, like do the weird stuff first, right? What you're of doing already, we're doing a lot of that, and we're mainstreaming as well. So in two thousand and seventeen, the unchained world was this tiny little thing, tiny, tiny, can fix my head.

And I was like, this is going to be a great time to start a company. So in two thousand and eight, we started knocking in up. And then in two thousand and twenty, and in two thousand and twenty, kind of went a whole lot slower than the internet.

And this is super frustrating. Why isn't IT bigger? Why isn't IT going further? Why isn't IT going faster? And this tells us that, know, history doesn't repeat itself at rimes.

But one of the things I didn't really appreciate in the nineties was that the clink administration, the us. Took an aggressive anti regulatory approach to the internet. All of us who are building never thought about the government.

Not at all. We thought about standards and we thought about conference. We thought a big and any sort of problems. So we didn't really talk about the government one bit. Think about how much web three we talk about the government.

And it's because particularly in the us, there's been this really aggressive regulation policy that's incredibly suppressed the evolution of the industry there. And what is the us habit has more capital than anyone else that also has more software developers than anyone else. And so right now, we're going through this interesting transition in the us, where you may be going from a very aggressively antiChrist pto regulatory regime to a much more supportive resume.

And I think that the whip lash that that's going to create might be pretty interesting. So the question is when do we do that? And it's perfectly possible, and I would say probable that this moment is right now we are at the very precipice of this, which will eventually lead to that.

It's crazy to think about. But hey, just think about how much of the world today is off chain that should be unchain. And to me, as a technologist, as someone who's seen the stuff before, the trends are inevitable just a matter of time. And the time mean that we are on has been artificially suppressed by the regulatory environment and that time lines is about to get accelerated. And that super fund, not financial advice to your own research, but we're in a really interesting spot OK.

So why am I here? And this is what I tell my family, my friends, that the global GDP, the amount of economic output in the whole world, is just under one hundred and ten trillion, and it's growing at three point two percent a year. This is the one that always noxious out of the chair.

The financial services sector is thirty three and a half trillion, or thirty one percent of the global economy, and growing twice as fast. Everyone i've ever told that statue was like, wow, that's a way bigger than I thought I go isn't fascinating. Thirty percent of the money goes to the money.

That seems like a big opportunity for, like I don't know, a new classic technology to make IT a lot more efficient and to free up existing GDP to solve new problems. Oh, this is don't take my word for IT. This is the CEO of Robin hood.

Shortly after their earnings, IT causes roughly an order of magnitude de less to Operate eco pital currency business and offered the exchange of assets that IT does on the trade file side. That advantage is undeniable. How is IT possible to do in an order magazine cheaper? Because you're using action technology, right, just like the exchange of information over tcpp and world, like web particles was massively more efficiently.

This is happening. And so like let's make financial al services efficient again, by the way, not a great accurate. And if let's just for the sick of arguments, so we can make IT fifty percent more efficient, we can free up sixteen trillion of existing GDP, a sixteen trillion of existing economic output per year.

It's an infinite large sum of money we want to grow our way into IT is right here in front of us. And using the source of things that we're talking about, all we get dead con, I think we can get there. And what could we use that for scale up carbon sequestration, which has been a whole lot of innovation around that, but it's kind of a tone capital to get IT to be big.

We can really accelerate fusion, which, by the way, free energy and emissions changes the world. We can ensure line agg. I so don't get destroyed by our artificial intelligence.

We can even build, you are sustainable of create habitat, and we can build on points too. And so when I look at this and I think about, why am I here? My answers really simple, it's to fix the world.

So when people ask me, why are you in crypto? I say, to fix the world OK. To free up the economic resources so that the next generation can scale up these technologies, so we can solve our chAllenges.

Now I have three kids. Two of my kids are in college, and they have grown up an environment which tells them they're screw the world is ending climate changes of other incoming world. Like it's so frustrating for me as a parent how they're told that they have no hope and they deal with depression as a result.

And I go, look, look, i've be honest with you. The chAllenge is facing our society are real. But when I was growing up, you know, when I was read about global thermal nuclear war, how often do you think about that? Kids like HMM, not at all.

And you know what? I was in college, you know what? I thought about the hip AIDS epidemic.

I was terrified of dying by having sex, because if you got IT, IT was a death sentence. How much do you think about HIV kids? Not at all.

You hum. These are massive, massive global societal problems that higher generations faced and solved through technology. So guess what? These chAllenge is facing you.

Your opportunity, your chAllenge, your obligation, is to face them with optimism and to innovate your way out of these chAllenges. nothing. They are not real.

But guess what? Every generation deals with its own existence. Al crisis, this happened to be yours. My participation in this ecosystem is to help free up the economic resources so that those chAllenges can actually be tackle.

And you know what, i'm pretty optimistic about IT, and I hope you are too, and I hope you pass that around. okay. So that's why i'm here now. I'm going to shift gears a little bit and the title is talk is next and architectures next and chAllenges and there's sexy problems out there and less sexy problems.

And as you're thinking about building, I want to encourage you to not just think about the big headline, sexy ones, but there is a universe of less sexy ones, little interesting things that require attention. If we are, in fact going to build the foundation next economy. And there's been one has been mentioned a bunch of times on stage here, which I always excited about when I hear, which is one that everybody kind of gLance is over.

And in fact, usga, who is a butty amman, said it's not that big of a deal and that's guess, guess this even sounds sexy, but you know there are sort of at a shocking amount of money that spent on guess. So we looked up online how much is spent on web tary fees in the past year, and we found nothing. Which was kind of surprising to me.

We did our own on chain research, and we're pretty confident the actual number spent on web three fees in the past twelve months, five point two billion, another number that everybody is surprised by when I share. And easy way to think about IT is every one hundred thousand effect gets burned at three thousand dollar east is about one point two billion of fees. And so if is more than half of all the web, three fees, but obviously is a lot more out there and this sort of three guarantees and lifetime death taxes, and we love three fees, you can't escape them.

And so when we are thinking about what to build, what to make a utility of, as origin said, we think that there's a whole bunch of opportunity around this. And by the way, at block, natives have been building for six and half years. I am often times chAllenged to build the right way, the new way, the modern way.

And origin set IT really, really well, which is build protocols, not products. And so we see this really interesting set of opportunities around gas is growing and complexity. Matt talked about this. Gas was one dimensional, and then I became two dimensional in fifty and fifty nine, and I was three dimensional in four, four, four. And right now it's about to get four dimensional reconfirmation.

And as we look at had to picture, it's going to get multi dimensional and not just a theory alone, and all of this stuff is going to need to get navigated in an increasingly interpret world. And so we're trying to do something about is the first time it's ever being talked about publicly, we're reducing the gas network, okay. And the whole idea of the gas network is take the gas markets and put them on chain.

And so it's basically an oracle platform that you can basically get the real time market conditions from any chain to any chain. And by the way, if you want to check this out, gas, that network as the u are, are really proud that one. And I talk about this in the context of this whole big picture because why do these big opportunities going on, on there, there's so a lot of small worth that needs to get up.

And so as you're building, as you're looking for opportunities, as you're looking for investment ideas, a lot of this sort of under the covers, unsexy stuff is going to need to get addressed. And there's a tn to do. There's a tn to do.

And so we think this is necessary stuff for unchain in a Operability and right definite now or a teston soon. And we really want feedback on this. And so as we think about the big picture and why we're here, I also encourage everyone to think about the problems to solve down the line, will do things like the foundation will be labs s in a shared governance model.

I'll go through that. So that was my extended journey from web one o to web three. And I think the opportunity in front of us is to fix the world in ways large and small. By the way, when I say fix the world, I don't just mean fix the world technically. I also think we have the opportunity to fix the world emotionally, give everybody hope.

And then if you get the opportunity to fix the world philosophy ics, get rid of some of the chAllenges that I think we're seeing around the world that have a Better, more constructive way to talk to each other and have disagreements and ordinate and collaborate. So there's so much opportunity inside this ecosystem, and I think the best of this ecosystem is present here at dev con and present here in this room at bank the summer. I think the fact that all of you are here in this room with me would suggest on the leading edge of this, which congratulations, welcome, are happy to have you here.

And I would encourage you, if this sort of resonate with you, this is left curve enough for you to try to share this some of ideas. And these are survives with people outside, because we do have a massive P. R problem.

We do have a lot of people who been inductor ated by mac media that this group is just a bunch of grifters, just a bunch of scammers, just a bunch way to rob you and be greedy and not what regular and what's so frustrating for me as I couldn't be further from the truth that that's what's going on here, but we ve got to get the word out about want to thank David and ryan for being among the leading edge of that. It's really true. Bank less does not make a huge difference and that's why i'm here. So thanks so much. Really pleasure to be here.

Hi questions. Anyone got a question question for me.

a mad. Thank you for the e took in the history. And quick question, how do you know the fact that the twenty two thousand explosion of the internet after five years and we're here a bit more than a few years of that year, my intuition is that money cares people, right? you? Because when when I remember, when I connected the internal to still mp trees and movies and I could only win, and scammers and glave la, I can also lose. And so how do you imagine that making a break or making IT not accelerating? Because the news commerce can understand that they get something to lose, connecting to this new network.

If I had the answer to that, I play, wouldn't speaking you guys for a soft, but I will say something. So what change in one thousand nine hundred ninety nine? Like it's a really worthwhile question.

Like what was the thing like? Was there some new piece of tech, some new piece of innovation, some fundamental change and the honest stances? I'm not entirely sure, but from my experience as a builder, one bit flipped.

And that was the corporations in the us. Went from not knowing about, not caring or fearing about the internet to saying, if we don't have a strategy here, if we're not on this worse group. And I was literally, you could feel the groundwork that started in one thousand nine hundred and ninety eight, but IT really catalist ed, in one thousand nine hundred and ninety nine.

We're just all the businesses decided all at once. They had to go online. IT was a crazy type of just how many people got involved, how much money got involved, how much sort of crazy ideas got tested out as people trying to persue things I believe are on the cusp of that right now in the us.

Of the financial services industry because they're super competitive about taking profits, right? So there's about this massive and imaginary flood of capital, which is in the us right now. It's been on the sidelines, which they all see.

Oh, there's this new frontier opening up and they're going to race in. And when they raced in, the developers are going to follow them and that's going to catalist a bunch of positive activity. And so as much as we have, I would argue, a little bit of a complex relationship with the corporate world in web three, they have tremendous power, by the way.

The way that you'll know this is happening is all the mainstream media will suddenly flip bits. They'll start talking about at the right way. Hey, the cyp to industry has always been asking for clear regulations, and now they're finally getting IT.

And now that the government is providing clear regulations, look at the innovations that unfold. And so I believe that we're near this tipping point for our industry. I'll be back here next year if they are going to help me back.

And we can talk about that. But the corporations tend to think in somewhat group think. And the worst thing as a leading public companies to get left behind and to be told your cee o is not innovative enough and your stock is thinking when your competitors taking off.

And so to me, that's what change in one thousand hundred and ninety nine. That's where we're not yet, but we may be on the cusp. That is a question. great. Thanks, everyone.

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