Introduction to Web3 Infrastructure

What are Web3 Infrastructure Providers?

Why Does Web3 Need Infrastructure Providers?

1. Decentralization: Web3 aims to break free from centralization. However, running blockchain nodes is resource-intensive. Infrastructure providers offer decentralized access to nodes, ensuring a more distributed ecosystem.

2. Security and Reliability: Centralized providers pose risks of collusion and outages. Decentralized infrastructure providers enhance security, reliability, and censorship resistance.

3. Scalability: As dApps grow, scalable infrastructure becomes essential. Providers like Ankr, AltLayer, and Caldera offer solutions to handle increasing loads.

Main Web3 Infrastructure Categories

Data Storage

In the Web3 ecosystem, data storage solutions are critical for ensuring that data is stored securely and decentralized. Unlike traditional centralized storage, Web3 data storage platforms use blockchain technology to distribute data across multiple nodes, enhancing security and resilience. These solutions ensure that data is immutable, meaning it cannot be altered or tampered with once stored. This is particularly important for preserving the integrity of digital assets and information. Examples of data storage Web3 infrastructure include

Filecoin,

Arweave, etc.

Oracles

In the context of Web3, Oracles are services that provide external data to smart contracts on the blockchain. Since blockchains cannot access data outside their network, oracles act as bridges, supplying smart contracts with necessary real-world information like stock prices, weather data, or sports scores. This capability enables smart contracts to execute based on real-world conditions, thus expanding their functionality. Examples of oracles in Web3 include

Chainlink ,

Pyth Network,

DIA,

API3,

Red Stone, etc.

Indexers

Indexers are crucial for making blockchain data accessible and searchable. They organize and catalog data from the blockchain, allowing developers to query it efficiently without running a full node. This makes it easier to build applications that need to access large amounts of blockchain data quickly. Indexers are like the search engines of the blockchain world, helping to retrieve information swiftly and accurately. Examples of indexers include:

The Graph ,

Subsquid , and

Pokt Network,

SubQuery,

Envio,

0xGraph,

Goldsky etc.

Wallet and Account Abstraction

Wallets in Web3 are digital tools that allow users to manage their cryptocurrencies and interact with decentralized applications (dApps). Account abstraction refers to the simplification of user interactions with the blockchain, making it easier for non-technical users to use blockchain services. This includes features like gas fee abstraction, which hides the complexity of transaction fees from the user. Examples of wallet and account abstraction tools include:

Safe,

Blockdaemon,

Meld,

Cometh and

Rabby,

Privy,

Zerion,

ZeroDev, ,

Biconomy,

Singularity, etc.

Node Providers

Node providers offer managed services for hosting blockchain nodes. Running a node is essential for interacting with a blockchain network, but it can be resource-intensive and technically challenging. Node providers handle the setup, maintenance, and scaling of nodes, allowing developers to focus on building their applications. These services are crucial for ensuring reliable access to blockchain networks. Examples of node providers include:

Infura,

Moralis, and

GetBlock,

Chainstack,

QuickNode,

Blast,

Blockdaemon,

Pokt Network

Lava Network,

Now Nodes,

Allnodes,

Ankr,

Infstones,

OnFinality,

Envio, etc.

Block Explorer

Block explorers are tools that allow users to view and search blockchain transactions and data. They provide a user-friendly interface to track transactions, view wallet balances, and explore smart contracts. Block explorers enhance transparency and trust in blockchain networks by making data easily accessible. Examples of block explorers include:

Etherscan,

Blockscout,

Parsec Finance,

DexGuru,

Lore, ,

Router Protocol,

Dora,

Nexandria,

Now Nodes, etc

Social & Community

Social and community platforms in Web3 enhance interaction, engagement, and collaboration among users within the decentralized ecosystem. These platforms provide tools for community building, such as forums, task management, reward systems, and social networking features. By fostering active and engaged communities, these tools help drive the adoption and growth of decentralized applications and projects. They also facilitate the creation of decentralized social networks where user data and interactions are owned and controlled by the users, promoting privacy and autonomy. Examples of social and community platforms in Web3 include

Layer3,

Guild.xyz,

QuestN,

TaskOn,

Asmatch, etc

Bridging and Interoperability

Bridging and interoperability solutions enable different blockchain networks to communicate and interact with each other. These tools allow assets and data to move seamlessly across multiple blockchains, enhancing the flexibility and utility of decentralized applications. By enabling cross-chain transactions and interactions, these solutions play a key role in the growth of the Web3 ecosystem. Examples of bridging and interoperability infrastructure include:

LayerZero,

Everclear,

Celer,

Superbridge,

OrbiterFinance,

Omni,

Hyperlane, etc.

Sequencer

In blockchain networks, sequencers are responsible for ordering transactions before they are added to the blockchain. They help improve the efficiency and speed of transaction processing by organizing transactions in a queue. This is particularly important for scaling solutions and Layer 2 networks, where transaction speed and cost are critical. Examples of sequencer infrastructure include:

Espresso, ,

Radius,

Astria,

FairBlock, etc.

DAO (Decentralized Autonomous Organization)

DAOs, or Decentralized Autonomous Organizations, are blockchain-based entities governed by smart contracts and operated by their community members. DAOs enable collective decision-making and resource management without centralized control. Members of a DAO can propose and vote on changes, budget allocations, and strategic directions, ensuring that the organization operates transparently and democratically. This structure allows for more equitable and inclusive participation, fostering innovation and collaboration. DAOs are widely used for managing decentralized projects, funding initiatives, and community governance. Examples of DAO tools include

Snapshot,

Tally, etc.

Payment

Payment infrastructure in Web3 facilitates secure and efficient cryptocurrency transactions. These solutions allow users to make payments with digital assets, integrating seamlessly with various dApps and blockchain services. They also often include features like instant settlements and low transaction fees. Examples of payment infrastructure include:

MoonPay,

Ramp,

Transak,

Meld,

Halliday,

Monerium,

Cometh and

StraitsX, etc.

zk Tooling

Zero-knowledge (zk) tooling provides cryptographic methods that enhance privacy and scalability in blockchain networks. Zero-knowledge proofs allow one party to prove to another that they know a value without revealing the value itself. This technology is used to improve the privacy of transactions and to enable more scalable blockchain solutions by reducing the amount of data that needs to be processed. Examples of zk tooling infrastructure include:

Subsquid,

OrbiterFinance, ,

Radius, etc.

Identity and KYC

Identity and KYC (Know Your Customer) services in Web3 are used to verify user identities and ensure compliance with regulatory requirements. These services help maintain the security and legitimacy of blockchain transactions by preventing fraud and ensuring that users are who they claim to be. Identity solutions also allow users to manage their digital identities across multiple platforms securely. Examples of identity and KYC infrastructure include

Fractal ID,

idOS,

Polygon ID, etc.

Data Availability

Data availability solutions ensure that the data required by blockchain applications is always accessible and can be retrieved quickly. These solutions prevent data from becoming a bottleneck in the blockchain, ensuring that all necessary information is available to process transactions and smart contracts efficiently. Data availability is critical for the performance and reliability of blockchain networks. Examples of data availability infrastructure include

Radius,

Alchemy,

EigenDA,

Celestia,

NearDA, etc.

Rollup-as-a-Service (RaaS)