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The Federal Council is instructed to examine the perspectives of Web 3.0, the economic opportunities for Switzerland and the possibilities of promoting our values in it within the framework of a study.
The web is currently highly centralized. The rise of blockchain technology could challenge GAFA’s dominance and enable a shift of power in favor of Internet users and new players. The blockchain potential is so great that it could allow Europe and Switzerland to regain influence on the Internet. We are at a crucial stage: now is the time to act.
The study aims to outline the challenges of Web 3.0; define our strategy regarding Web 3.0 and blockchain (Switzerland is among the top three worldwide); identify the competencies required; examine whether public blockchains need to be created; evaluate what we are willing to do to protect privacy, ensure fairer competition, and distribute power more equitably: three promises of Web 3.0.
Justification
Blockchain technology could revolutionize the underlying structure of the Internet. Virtually infallible in terms of security, it could fundamentally change the way data is exchanged.
Today, information is the main thing circulating on the Internet. Tomorrow, it could be things of value: voting rights, financial securities, real estate holdings, deposits without a bank account.
Blockchain’s security lock role can be combined with customized and automated data management, allowing every Internet user to disclose only the data that is really necessary for an online service (travel agency, insurer, search engine, social networks). Users would no longer supply information to “Big Data” without their knowledge.
Blockchain makes it possible to raise funds, ICO (Initial Coins Offerings), to which everyone has access – similar to crowd funding, except that each and every contributor receives a “coin” that can be traded on a blockchain platform. Each buyer and contributor will be interested in supporting the startup with their own network to make it known, because if it succeeds, the value of the coin will increase. A reverse network effect and a better sharing of value creation will be the result.
These few examples show that the advent of Web 3.0 could make it possible to return to the original spirit of the Internet, an Internet where everyone can move and express themselves freely.
Statement of the Federal Council of 15.8.2018
The term “Web 3.0” is associated in the literature with the concept of the “semantic web”. This enables computers on the Internet to understand, interpret and relate content created by humans. For example, it is possible for a computer to distinguish between the term “jaguar” and a cat or a brand of car, depending on the context. A query can be researched and provided by the user in a decentralized manner and without the help of large Internet platforms such as Google, Amazon, Facebook, etc. The user can also use the information provided by the computer. Artificial intelligence applications are also frequently used in this process. The use of blockchain can support the development of Web 3.0 applications due to the decentralized approach.
As the Federal Council stated in its response to the Motion 17.3818 “Making Switzerland a world center of blockchain technology,” he detailed, he has with his Digital Switzerland Strategy has a suitable instrument for ensuring that Switzerland can consistently exploit the opportunities offered by digitization in all areas of life. The strategy is currently being further developed in dialog with business, science, research and civil society. For example, in the course of the ongoing update of the strategy, it is being examined whether a working group should be set up to clarify issues relating to artificial intelligence.
With regard to blockchain technology, the Federal Council, in its response to Motion 17.3818, has already called for the establishment of a Working group under the direction of the State Secretariat for International Financial Matters. This took up its work on January 18, 2018 and will review the legal framework and identify any need for action. A corresponding report for the attention of the Federal Council should be available by the end of 2018.
At the international level, the decentralization of the Internet is the subject of discussions on global digital governance. Switzerland is actively involved in these processes. In fulfillment of the Postulates 17.3789 “Switzerland should be able to become the epicenter of international digitization governance”, the Federal Council is preparing a report on Switzerland’s activities in this area by the end of 2018. The report is intended to show what Switzerland has already done and intends to continue doing. The focus is particularly on international Geneva.
In the area of standardization, the Confederation is also following the ongoing work, for example within the framework of the International Telecommunication Union (ITU‑T). It should be noted that developments are not yet far enough advanced to have a direct impact on Switzerland.
As few concrete results can yet be derived from the development in the area of Web 3.0 and the development is still unclear, the Federal Council is of the opinion that the preparation of a report should be dispensed with at present.