Why P2P Networks Are Crucial to Web5

The following content is translated from the X tweet of Jan Xie, chief architect of Nervos CKB, the original English text: 

https://x.com/busyforking/status/1825729748892528685 

Peer-to-peer messaging and consensus are like the yin and yang of cryptoeconomic networks. However, it seems that the most attention is paid to novel consensus layer protocols, while the P2P layer is neglected. Mind you, the word "peer-to-peer" appears in the title of the Bitcoin white paper (while the word "blockchain" appears 0 times in the entire white paper).

In terms of architecture, the main difference between Web5 and Web3 is the emphasis on P2P networks. In Web5, the blockchain or consensus layer is merely a means to a greater end, a complement to the P2P network, the yin (or yang) of the yin and yang. Do we really need to cram everything we can think of into the consensus layer and move the entire world onto the chain? The endless on-chain landscape in Web3 is not only incomplete, but also monotonous. In contrast, the idea of ​​Web5 is simple and clear: build a P2P network with chains, and let the yin and yang coexist. (Okay, I admit that Web5 sounds like a lame joke, but believe me, it is more than a joke.)

Why? Because in most cases, the problem is best handled directly by ourselves locally, without involving any unnecessary middlemen (such as consensus validators or block producers). If Alice wants to pay Bob 1000 Satoshi/USDT/other currencies, the ideal way is for Alice to give the money directly to Bob instead of going through some validator, because it is not only faster, but also naturally provides privacy protection. Even if direct transactions are not possible, it is still a better choice to complete the transaction through a professional payment processor like Charlie because: 1. Alice can choose Charlie or Daniel or someone else as the payment processor; 2. Alice can minimize the middleman and protect privacy more than making the payment public to everyone; 3. Payment processors have flexibility and they can provide customized services to meet the preferences of different recipients. This is exactly the advantage of payment channel networks (such as Bitcoin Lightning Network and CKB Fiber Network) and why we like them. Payment channel networks are essentially P2P networks.

This logic also applies to other scenarios, such as when Alice wants to rent 10GB storage space from Bob for 3 months, or Bob wants to outsource a heavy calculation to Alice's computer cluster for 1 week. It’s better to let people autonomously execute transactions (of any kind). The role of the blockchain or consensus layer here is to facilitate the formation and coordination of transactions, not to take over the execution of transactions. In this new architecture, Web5, the blockchain runs in parallel with the P2P network. The P2P network is the place for information exchange, the market for consumers and producers, and the place for asks and bids (which may be presented in the form of public/partial public transactions). Whenever a demand match is found in the P2P network, the blockchain steps in to provide smart contracts and guarantees to ensure that the decentralized market can operate like a market in the real world. Decentralized economies built on diversified P2P networks and market execution blockchains are closer to free markets than those built on resource-intensive "I can do anything" blockchains.

Web5 is a revival of the original Internet spirit of distributed P2P networks, combined with a new consensus layer that can only be achieved in this era. It is the information + value network that is being realized. Web2 + Web3 is not just a pun, Web5 is real.