The World Of Web3 Product Managers: A Complete Guide
One of the most frequently debated subjects among computer professionals and online users looking for new technological advancements is Web3. The excitement for web3 has increased significantly as a result of the success and interest in the development of DeFi and NFTs. Developers, business owners, and product managers are always looking for innovative ways to take advantage of the potential in this industry. As a result, finding resources on web3 product managers has become a top priority for many aspiring professionals.
However, before pursuing a career in product management at web3, you need to thoroughly understand the company and the goods it offers. The following talk will give you a general overview of web3 fundamentals and the goods it provides, which could be helpful for product managers. Most importantly, you may form a clear understanding of what product managers in web3 need.
The basics of Web3
Gavin Wood, the co-creator of Ethereum, first used the term “Web3.” Understanding the basics of web3 product management is crucial because it can help you determine the foundations on which you will build your career as a product manager. The third generation of the internet, known as Web 3.0, is typically portrayed as placing a renewed emphasis on decentralized user experiences. As a result, you may think of web3 as a decentralized version of the internet that is built on blockchain technology. It’s also crucial to remember that users create, run, manage, and own the new web3 version.
Estimated web3 product manager salaries might spark interest in the requirement for product management in web3. You can rely on a fundamental understanding of web3’s worth and advantages to support your case for using web3 for product management. Here are a few major advantages of web3 that you might find.
- Ownership of transactions and data held on blockchain networks.
- Access to digital goods and services without authorization.
- DAOs, or decentralized autonomous organizations, are emphasized to foster user engagement and democracy in digital networks.
- Better opportunities for a democratic approach to commerce and information exchange are provided by censorship resistance.
- Decentralized digital identities, or DIDs, can support novel approaches to managing digital identities while preserving anonymity.
- Increased security and privacy thanks to peer-to-peer networks.
What Kinds of Products Can You Find on Web3?
Naturally, looking for a position as a web3 product manager would pique your interest in the goods you’d be working with. You must already be aware that decentralized blockchain networks are used to build web3 applications. What use do web3 applications serve cases in the actual world? Let’s examine some of the noteworthy goods and services that web3 has to offer.
DeFi and cryptocurrencies
The focus on cryptocurrency and DeFi would be one of the tasks of web3 product managers that is quite obvious. These two solutions substantiate web3’s influence on the finance industry. One of the most popular uses of blockchain is in decentralized finance, or DeFi, which puts web3 in the spotlight. DeFi moves conventional financial services to blockchain networks to provide decentralized access to the services.
Users can access a free and open financial market without depending on centralized institutions or intermediaries. However, cryptocurrencies have also identified a unique solution in the web3 space. Some of the well-known cryptocurrencies, including Bitcoin, Ethereum, and stablecoins, have inspired the creation of numerous initiatives with similar goals that require product managers.
Also, read – Understanding DeFi: A Discussion on Layer 2
With the development of digital assets represented on blockchain networks with distinct IDs and metadata, NFTs, or non-fungible tokens, altered the traditional concepts of asset ownership. The creation of a creator economy would be the primary concern of web3 product management for NFTs.
In addition to using the resources available within the NFT ecosystem to develop new NFTs or collections to grow the creator economy, artists might use NFTs to monetize their work. Due to the possibility of price increases due to speculative activity surrounding the projects, non-fungible tokens have emerged as one of the most preferred options for investors in the web3 area.
— Ninja 👑 (@NinjaTVFILM) December 10, 2022
Organizations that are autonomously decentralized
DAOs, or Decentralized Autonomous Organizations, are the next significant web3 product and would be crucial for web3 product management roles. With the use of web3’s features, people can create organizational entities that can function without the need for centralized control. Investments in joint venture capital, fundraising, metaverse management, and other applications that call for consensus-based decision-making are a few significant examples of DAO applications.
Product Managers Are Required in Web3
Do web3 projects truly require a product manager? The need to include product managers in the web 3.0 space is highlighted by the talks on web 3.0 for product managers. It’s interesting to note that product managers have little connection to the most crucial criteria for a web3 project. For instance, there are no specific project managers at the Ethereum Foundation. Why?
Only developers, community managers, protocol designers, and artists could support the majority of web3 projects, like NFTs or DeFi protocols. Nevertheless, web3 initiatives ultimately result in the creation of a good or service. As a result, it is obvious that a product manager could provide important value benefits. Here are some possible justifications for hiring a product manager for web3 projects.
- The engineering teams supporting many ongoing and upcoming web3 projects have inevitably become large and are fully dependent on self-coordination. Web3 product managers can boost the effectiveness of the initiatives in these circumstances.
- The sheer range of dApps, DeFi solutions, and NFT collections might be intimidating for novice users. Product managers are crucial for web3 initiatives that suffer from a difficult, consumer-facing UX or problems acquiring popularity with the target audience.
- The popularity of searches for terms like “web3 product manager pay” demonstrates that product managers can handle various tasks outside the purview of engineers. For instance, expecting developers to handle business development and marketing tasks is unreasonable. In such circumstances, an adaptable product manager could meet the urgent requirements for creating and growing web3 projects.