The Web3 space is rapidly taking over the crypto world, and it could soon become part of the traditional telecom industry as well. According to the latest DappRadar industry report, Web3 platforms and blockchain-based applications attracted more unique active wallets in 2022, which skyrocketed to 2.37 million from 1.58 million in 2021.
This rapid growth in popularity of blockchain-based platforms is also set to enter the telecom industry, with companies already working on innovative projects. So, what are the benefits of a Web3 telecom service?
Reaching new audiences
One of the main challenges for telecom service providers is managing costs and reaching audiences in countries where the main population is underprivileged. Bringing communications services to these areas of the world is important but difficult to achieve.
This is where blockchain technology and an interconnected Web3 platform can bring meaningful solutions. Companies are already working on employing the decentralized network blockchain offers to provide new services to telecom customers. From reducing costs on mobile data services to facilitating mobile money transfers with cryptocurrency tokens, blockchain tech has the potential to reshape the product suite telecom companies can offer to users.
Blockchains could also be used to create digital identity systems that allow people to access mobile data and telecom services without the need for traditional forms of identification, such as a passport or driver’s license, which can be difficult for people in underprivileged communities to obtain. Not only that, thanks to smart contracts, telecoms can create an identification and documentation system that does not require customers’ presence at an office to sign mountains of paperwork.
Established telecoms are already reaching into Web3
Considering the undeniable benefits that Web3 and blockchain can bring to the telecom industry, some companies are already developing products in that sector. One example is Emeldi Group (EMG), which is developing a suite of Web3 apps that cater to the telecom needs of underprivileged communities.
One of these apps will focus on improving and simplifying the identification process clients need to pass in order to get access to telecom services. The current legacy process requires new customers to sign contracts in person at the mobile operator’s physical store, provide their ID and sign dozens of pages of a paper contract. EMG’s application is designed to have integrated smart contracts that enable a one-click authentication process featuring SSI customer authentication and full KYC compliance — which is legally binding in many countries.
Additionally, EMG is working on creating a super app that will combine multiple services, including a taxi or car hire option, restaurant orders, traditional services like video calling and messaging, and integrated blockchain-based payment options.
Bringing all of these services into a single platform will allow EMG customers to benefit from a full suite of telecom products while reducing data costs. The blockchain space and Web3 have a lot to offer regarding ease of use, scalability and cost-reduction in the telecom business. Not only that, integrating blockchain technology into telecom services will open up new markets and provide an opportunity to bring connectivity to previously under-served communities.
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