Key Domestic and International Web3 Services Gaining Industry Attention

What Is Web3?

Web3 represents a new paradigm for the internet, empowering users to control their own data and identities through technologies like blockchain and decentralized applications. Unlike the traditional, centralized Web2—where data and content are concentrated among a handful of large IT companies—Web3 aims to resolve these centralization issues and usher in a more user-centric internet.

With Web3, users can securely exchange information on-chain and participate in new communities and value ecosystems through cryptocurrencies and tokens. Ethereum co-founder Gavin Wood introduced the concept of Web3.

Japan has made Web3 a national strategic priority. The government is pushing digital transformation through the adoption of blockchain and Web3, encouraging initiatives across industry, academia, and entertainment. Backed by national support, Japanese Web3 companies are poised for accelerated growth. This government backing aims to boost Japan’s international competitiveness in Web3 and foster innovation in the sector.

Web3 Services: Overview and Key Features

In the Web2 era, services depended on platforms operated by tech giants like Google and Facebook, where user data and content were centrally controlled. While Web2 services are convenient and easy to use, centralization has raised issues around personal data management, privacy, and data ownership.

Web3 services, by contrast, allow users to manage and control their own data—enabling a more transparent and trustworthy internet. By breaking away from centralized models and building decentralized ecosystems, Web3 gives users true ownership and autonomy.

Key Features of Web3 Services

The main features of Web3 services fall into three categories:

Decentralization: In Web3, blockchain ensures that data and content are managed in a distributed manner—minimizing the influence of centralized authorities. This decentralization reduces the risks of tampering and unauthorized access, while enhancing transparency, trustworthiness, and system availability by removing single points of failure.

Open Source: Open source means the software’s source code is available for anyone to use or modify. Most Web3 services are built on open-source infrastructure, allowing community-led auditing and improvement, which strengthens security and drives innovation.

Crypto- and NFT-Based Economies: Web3 services are tightly linked with cryptocurrencies and NFTs, often establishing their own decentralized economies. This setup enables creators and users to exchange value directly—without relying on traditional financial systems—and supports the emergence of new economic models.

Representative Web3 Service Types

DeFi (Decentralized Finance): DeFi delivers decentralized financial services via blockchain, allowing users to lend, borrow, and invest directly—without central banks or intermediaries. Smart contracts automate transactions, significantly reducing fees and interest. DeFi operates 24/7 and is accessible from anywhere in the world.

DApps (Decentralized Applications): DApps are digital applications built on blockchain networks. Unlike traditional apps running on centralized servers, DApps operate on networks of independent nodes—delivering censorship resistance, tamper-proofing, and higher security and reliability.

DAO (Decentralized Autonomous Organization): DAOs are organizations managed by smart contracts and blockchain, with no need for centralized administrators. Token holders govern the organization through voting, ensuring operational transparency. While fully autonomous DAOs are relatively few, Bitcoin is widely recognized as a prime example.

Leading Web3 Services from Japan

This section highlights innovative Japanese Web3 services.

Astar Network

Astar Network is a Japan-born public blockchain platform, developed as a Polkadot parachain for decentralized application development. Stake Technologies, led by Sota Watanabe, is building it as a smart contract hub for the multichain era.

Astar supports both the Ethereum Virtual Machine (EVM) and WebAssembly (Wasm), offering developers flexibility to port existing Ethereum apps or create high-performance Wasm-based applications.

Backed by leading Japanese corporations—Toyota, Sony Group, Hakuhodo DY Holdings, and KDDI—Astar Network is gaining global and domestic attention. These partnerships drive practical use cases and accelerate real-world adoption of Web3 technology in Japan and beyond.

Oasys

Oasys is a blockchain project from Japan focused on gaming. With its “Blockchain for The Games” concept, Oasys is building a blockchain platform tailored for game developers and players.

Oasys’s architecture is optimized for gaming. It features high-speed transactions and minimal gas fees, reducing friction during gameplay. By leveraging layer-2 solutions, Oasys also addresses scalability challenges.

The project is led by Singapore-based Oasys Pte. Ltd. and developed in collaboration with major gaming and blockchain technology companies. Japan’s top game studios—including Sega, Bandai Namco, and Square Enix—are on board, and Oasys is expected to see rising demand as the GameFi sector grows.

FiNANCiE

FiNANCiE is a blockchain-based crowdfunding platform where creators and companies issue tokens to raise capital from investors (users), who receive returns based on project success.

Unlike traditional crowdfunding, FiNANCiE allows backers to benefit continuously as the project grows—since tokens are tradable and may appreciate in value. This aligns the interests of supporters and project owners, fostering long-term communities.

By supporting a project, users acquire its tokens, participate in its community, receive perks, and can trade their tokens. FiNANCiE’s vision is to support “one billion challengers by building a creator economy,” and it stands out as Japan’s only dedicated Web3 service platform. It’s being adopted across diverse sectors, including sports teams, artists, and regional revitalization projects.

Leading Global Web3 Services

This section details top Web3 services from around the world.

OpenSea

OpenSea is the world’s largest NFT marketplace, enabling the creation, listing, and trading of NFTs issued on blockchain.

On OpenSea, creators and artists mint unique NFTs and sell them by auction or fixed price. Users can purchase NFTs directly via web browser. The platform’s user-friendly design makes NFT creation and trading accessible—even for non-technical users.

OpenSea supports diverse NFT categories—digital art, music, game items, virtual real estate—providing new monetization opportunities for creators. Royalties are built in, so creators earn from secondary sales. As a core NFT marketplace, OpenSea connects creators, collectors, and investors, playing a vital role in the crypto ecosystem.

Uniswap

Uniswap is a decentralized exchange (DEX) on the Ethereum blockchain, facilitating peer-to-peer crypto trading with no central operator. Since launch, it has rapidly become one of the world’s largest DEXs.

Uniswap’s innovation is its automated market maker (AMM) model. Instead of an order book, liquidity pools enable constant trading. Users who provide liquidity earn a share of trading fees.

Uniswap issues the UNI token, a governance token that lets holders participate in operational decisions—voting on protocol upgrades and fee structures. With tokenized governance and a DAO-inspired model, Uniswap is a leading global Web3 project.

The Sandbox

The Sandbox is a metaverse platform where users build, own, and monetize game content on Ethereum. Like Decentraland, it features SAND, an ERC-20 utility token that powers transactions across the platform.

The Sandbox allows users to design virtual worlds. With the VoxEdit tool, users create and sell 3D assets as NFTs or deploy them on their LAND (virtual plots). The Game Maker tool enables anyone to build games without coding skills.

This flagship gaming metaverse connects creators, brands, and fans. The Sandbox has partnered with Snoop Dogg, Bored Ape Yacht Club, Ubisoft, and other major names, bringing branded experiences and events into the virtual world. As these collaborations blur the boundary between physical and virtual, The Sandbox is expected to see even greater global adoption as a Web3 metaverse service.

Challenges and Risks of Web3 Services

Despite their potential, Web3 services also face significant challenges and risks.

Lagging Legal Frameworks

Laws around Web3 remain underdeveloped. Web3 services promise improvements in privacy, security, and transparency, addressing issues inherent to centralized Web2 models.

However, Web3 technology also raises concerns about its use for crime (e.g., fraud, money laundering) and insufficient user protection. Unclear legal status around crypto and NFT taxation, token classification, and smart contract enforceability creates legal gray zones.

Governments are considering regulatory frameworks, but regulation lags behind rapid technological development. The absence of international standards adds uncertainty, hindering investment and innovation. Clearer legal frameworks could drive broader adoption of Web3. Balanced regulation will be crucial for protecting users and promoting healthy market growth.

Security Vulnerabilities

Web3 and blockchains are designed for security, but smart contract vulnerabilities remain a target for attackers.

Major hacks and bugs have occurred on Ethereum-based smart contracts, resulting in significant crypto losses. These incidents highlight the importance of code audits and ongoing vigilance.

Because deployed smart contracts are hard to modify, comprehensive testing and audits are essential during development. Users also face security risks—including phishing, private key theft, and frontrunning.

While Web3 brings cutting-edge technology, it also raises the bar for security. There is growing focus on formal verification, bug bounty programs, and multi-signature wallets to strengthen defense. Future Web3 services and system updates are expected to further enhance security.

Web3 Services: Future Outlook

Web3 is a revolutionary effort to build a decentralized internet using blockchain and smart contracts. Whereas Web2 relied on centralized platforms like Google and Facebook—consolidating control over user data and content—Web3 promises greater transparency and trust.

Japanese Web3 projects such as Astar Network, Oasys, and FiNANCiE are gaining global competitiveness. Web3’s alignment with Japan’s national strategy—and support from government, major corporations, and startups—has fueled steady growth of the domestic ecosystem.

Though still developing, Web3 services are set to draw increasing attention. As the technology matures, regulation advances, and user experience improves, Web3 will move closer to the mainstream. Sectors like the metaverse, NFTs, DeFi, and DAOs are especially poised for new business models and social systems.

Web3’s impact will extend beyond finance to areas like supply chain management, healthcare, education, and entertainment. The adoption of decentralized identity (DID) could reshape personal information management. The expansion of Web3 services will be a key driver in shaping the future of the internet.

FAQ

What is Web3? How is it fundamentally different from Web2?

Web3 is a decentralized, programmable internet focused on connecting value and trust. While Web2 solved information connectivity, Web3 connects value and trust. Rather than replacing Web2, Web3 adds decentralization and trust mechanisms to the internet.

What are some leading Web3 services and projects in Japan and globally?

MetaMask, The Sandbox, Axie Infinity, Lens Protocol, and The Graph are major examples. Blockchain-powered innovation is accelerating across diverse fields—including DeFi, GameFi, and X to Earn.

What are the main use cases for DeFi (Decentralized Finance)?

Key DeFi use cases include decentralized exchanges (DEXs), derivatives trading, liquidity mining, stablecoins, and crypto lending. These services give users access to financial tools without central intermediaries.

What roles do NFTs and the metaverse play within Web3?

NFTs (non-fungible tokens) establish ownership of digital assets, while the metaverse provides a virtual environment. Together, they form the core of the decentralized digital economy, powering asset trading and new economic models.

How can you participate safely in Web3 services? What are the main risks?

Safeguard your private keys and avoid phishing scams. Choose reputable projects. The main risks are account theft and project fund losses.

What are the differences and advantages of public blockchains like Ethereum and Solana?

Ethereum offers high security and decentralization. Solana is known for high-speed processing and low fees. Ethereum relies on Layer 2 scaling, while Solana achieves fast transactions through its Proof-of-History consensus. The right choice depends on your specific needs.

What is the role of a Web3 wallet? How do you choose the right one?

Web3 wallets manage crypto assets and connect with dApps. When choosing, consider security, user interface, and supported currencies. Prioritize reputable, highly secure wallets.

How do DAOs (Decentralized Autonomous Organizations) function?

DAOs are governed by token holder voting rather than traditional management layers. Smart contracts automatically execute decisions, and members use governance tokens to vote on project direction.