The post Web3’s real ‘TCP/IP moment’ hasn’t happened yet appeared on BitcoinEthereumNews.com. Disclosure: The views and opinions expressed here belong solely toThe post Web3’s real ‘TCP/IP moment’ hasn’t happened yet appeared on BitcoinEthereumNews.com. Disclosure: The views and opinions expressed here belong solely to

Web3’s real ‘TCP/IP moment’ hasn’t happened yet

Disclosure: The views and opinions expressed here belong solely to the author and do not represent the views and opinions of crypto.news’ editorial.

The internet scaled because IP created a universal fabric for data. Web3 never got that luxury. Instead, it inherited 1980s-era networking and a patchwork of ad-hoc protocols that slow down and congest the moment you try to run real transactions at scale, let alone billions of AI agents, global settlement layers, or a planetary-scale decentralized physical infrastructure network sensor mesh. We’re long past the point where faster chains or bigger blocks can help. 

Summary

  • Web3 can’t scale with its fragmented, outdated networking. It needs a universal, decentralized data protocol — its own TCP/IP — to achieve trustless, global throughput.
  • Mathematical breakthroughs like RLNC show decentralized networks can match centralized performance if data movement is redesigned from first principles.
  • A universal coded data layer would unlock real scale, fixing chain fragmentation, enabling trillion-dollar DeFi, supporting global DePIN networks, and powering decentralized AI.

Web3 needs its own TCP/IP moment: a decentralized Internet Protocol built on the principles that made the original internet unstoppable, but engineered to preserve what makes blockchain matter: trustlessness, censorship resistance, and permissionless participation that finally performs at scale.

What the industry keeps missing

Before IP, computers couldn’t talk across networks. IP created a universal standard for routing data between any two points on earth, turning isolated systems into the internet. It became one of three pillars of internet infrastructure (alongside compute and storage). Every web2 application runs on TCP/IP. It’s the protocol that made planetary-scale communication possible.

Web3 is repeating the same early mistakes. Every blockchain invented its own networking layer, including gossip protocols, Turbine, Snow, Narwhal, mempools, and DA sampling. None of them is universal, and they’re needlessly restrictive. Everyone’s chasing speed with bigger blocks, more rollups, more parallelization. But they’re all using fundamentally broken networking models.

If we’re serious about scaling web3, we need a reliably fast, trustless, fault-tolerant, and most importantly, modular internet protocol.

Two decades at MIT, solving decentralization’s hardest problem

For over two decades, my research at MIT has focused on one question: Can decentralized systems move information as fast and reliably as centralized ones — and can we make it mathematically provable?

To answer that, we combined two fields that had rarely intersected: network coding theory, which mathematically optimizes data movement, and distributed algorithms, led by Nancy Lynch’s seminal work on consensus and Byzantine fault tolerance.

What we found was clear: decentralized systems can reach centralized-level performance — but only if we redesign data movement from first principles. After years of proofs and experiments, Random Linear Network Coding (RLNC) emerged as the mathematically optimal method for doing this across decentralized networks. 

Once blockchains arrived, the application became obvious. The internet we have was built for trusted intermediaries. The decentralized web needs its own protocol: one designed to withstand failure and attack while scaling globally. The architectural shift is such that:

  • performance comes from mathematics, not hardware;
  • coordination comes from code, not servers;
  • and the network becomes stronger as it decentralizes.

Like the original Internet Protocol, it isn’t meant to replace what exists, but to enable what comes next.

The use cases that break today’s infrastructure

Decentralized systems are hitting their limits at the exact moment the world needs them to scale. Four macro trends are emerging — and each exposes the same bottleneck: Web3 still runs on networking assumptions inherited from centralized systems.

1. The fragmentation of L1s and L2s means blockchains scale locally, but fail globally

We now have more than a hundred blockchains, and while each can optimize its own local execution, the moment these networks need to coordinate globally, they all hit the same challenges: data movement is restricted, inefficient, and fundamentally sub-optimal. 

What blockchains lack is the equivalent of an electric grid, a shared layer that routes bandwidth wherever it’s needed. A decentralized Internet Protocol would give every chain access to the same coded data fabric, accelerating block propagation, DA retrieval, and state access without touching consensus. And like any good grid, when it works, congestion is minimized.

2. Tokenization & DeFi at trillion-dollar markets

DeFi cannot settle trillions on networks where propagation is slow, it collapses under load, or where RPC bottlenecks centralize access. If multiple chains were connected by a shared coded network, propagation spikes would likely not overwhelm any single chain — they would be absorbed and redistributed across the entire network.

In traditional systems, you build larger data centers to absorb peak load. These are expensive and lead to single points of failure. In decentralized systems, we cannot rely on megacenters; we must rely on coded distribution. 

3. DePIN at global scale

A global network with millions of devices and autonomous machines cannot function if each node waits on slow, single-path communication. These devices must behave like a single, coherent organism.

In energy systems, flexible grids absorb both commercial mining operations and a single hair dryer. In networking, a decentralized protocol must do the same for data: absorb every source optimally, and deliver it where it is needed most. That requires coded storage, coded retrieval, and the ability to make use of every available path rather than relying on a few predetermined ones.

4. Decentralized AI

Distributed AI, whether training on encrypted fragments or coordinating fleets of AI agents, depends on high-throughput, fault-tolerant data movement. Today, decentralized storage and compute are separated; access is slow; retrieval depends on centralized gateways. What AI needs is data logistics, not simple storage: meaning that data is encoded while in motion, stored in coded fragments, retrieved from wherever is fastest at the time, and recombined instantly without depending on any single location.

Web3’s next leap

Every major leap in the internet’s evolution began with a breakthrough in how data moves. IP delivered global connectivity. Broadband enabled Netflix and cloud computing. 4G and 5G made Uber, TikTok, and real-time social possible. GPUs sparked the deep learning revolution. Smart contracts unlocked programmable finance.

A universal, coded data layer would do for blockchains what IP did for the early internet: create the conditions for applications we can’t yet imagine. It’s the foundation that transforms Web3 from experimental to inevitable.

Muriel Médard

Muriel Médard is the co-founder and CEO of Optimum and an MIT Professor of Software Science and Engineering, leading the Network Coding and Reliable Communications Group. A co-inventor of Random Linear Network Coding (RLNC), her research underpins Optimum’s work on decentralized scaling. Médard is a member of the U.S. National Academy of Engineering, the Royal Academy of Engineering, and a former president of IEEE’s Information Theory Society.

Source: https://crypto.news/web3s-real-tcp-ip-moment-hasnt-happened-yet-opinion/

Market Opportunity
RealLink Logo
RealLink Price(REAL)
$0.07392
$0.07392$0.07392
+0.14%
USD
RealLink (REAL) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Whales keep selling XRP despite ETF success — Data signals deeper weakness

Whales keep selling XRP despite ETF success — Data signals deeper weakness

The post Whales keep selling XRP despite ETF success — Data signals deeper weakness appeared on BitcoinEthereumNews.com. XRP ETFs have crossed $1 billion in assets
Share
BitcoinEthereumNews2025/12/20 02:55
Foreigner’s Lou Gramm Revisits The Band’s Classic ‘4’ Album, Now Reissued

Foreigner’s Lou Gramm Revisits The Band’s Classic ‘4’ Album, Now Reissued

The post Foreigner’s Lou Gramm Revisits The Band’s Classic ‘4’ Album, Now Reissued appeared on BitcoinEthereumNews.com. American-based rock band Foreigner performs onstage at the Rosemont Horizon, Rosemont, Illinois, November 8, 1981. Pictured are, from left, Mick Jones, on guitar, and vocalist Lou Gramm. (Photo by Paul Natkin/Getty Images) Getty Images Singer Lou Gramm has a vivid memory of recording the ballad “Waiting for a Girl Like You” at New York City’s Electric Lady Studio for his band Foreigner more than 40 years ago. Gramm was adding his vocals for the track in the control room on the other side of the glass when he noticed a beautiful woman walking through the door. “She sits on the sofa in front of the board,” he says. “She looked at me while I was singing. And every now and then, she had a little smile on her face. I’m not sure what that was, but it was driving me crazy. “And at the end of the song, when I’m singing the ad-libs and stuff like that, she gets up,” he continues. “She gives me a little smile and walks out of the room. And when the song ended, I would look up every now and then to see where Mick [Jones] and Mutt [Lange] were, and they were pushing buttons and turning knobs. They were not aware that she was even in the room. So when the song ended, I said, ‘Guys, who was that woman who walked in? She was beautiful.’ And they looked at each other, and they went, ‘What are you talking about? We didn’t see anything.’ But you know what? I think they put her up to it. Doesn’t that sound more like them?” “Waiting for a Girl Like You” became a massive hit in 1981 for Foreigner off their album 4, which peaked at number one on the Billboard chart for 10 weeks and…
Share
BitcoinEthereumNews2025/09/18 01:26
New York Regulators Push Banks to Adopt Blockchain Analytics

New York Regulators Push Banks to Adopt Blockchain Analytics

New York’s top financial regulator urged banks to adopt blockchain analytics, signaling tighter oversight of crypto-linked risks. The move reflects regulators’ concern that traditional institutions face rising exposure to digital assets. While crypto-native firms already rely on monitoring tools, the Department of Financial Services now expects banks to use them to detect illicit activity. NYDFS Outlines Compliance Expectations The notice, issued on Wednesday by Superintendent Adrienne Harris, applies to all state-chartered banks and foreign branches. In its industry letter, the New York State Department of Financial Services (NYDFS) emphasized that blockchain analytics should be integrated into compliance programs according to each bank’s size, operations, and risk appetite. The regulator cautioned that crypto markets evolve quickly, requiring institutions to update frameworks regularly. “Emerging technologies introduce evolving threats that require enhanced monitoring tools,” the notice stated. It stressed the need for banks to prevent money laundering, sanctions violations, and other illicit finance linked to virtual currency transactions. To that end, the Department listed specific areas where blockchain analytics can be applied: Screening customer wallets with crypto exposure to assess risks. Verifying the origin of funds from virtual asset service providers (VASPs). Monitoring the ecosystem holistically to detect money laundering or sanctions exposure. Identifying and assessing counterparties, such as third-party VASPs. Evaluating expected versus actual transaction activity, including dollar thresholds. Weighing risks tied to new digital asset products before rollout. These examples highlight how institutions can tailor monitoring tools to strengthen their risk management frameworks. The guidance expands on NYDFS’s Virtual Currency-Related Activities (VCRA) framework, which has governed crypto oversight in the state since 2022. Regulators Signal Broader Impact Market observers say the notice is less about new rules and more about clarifying expectations. By formalizing the role of blockchain analytics in traditional finance, New York is reinforcing the idea that banks cannot treat crypto exposure as a niche concern. Analysts also believe the approach could ripple beyond New York. Federal agencies and regulators in other states may view the guidance as a blueprint for aligning banking oversight with the realities of digital asset adoption. For institutions, failure to adopt blockchain intelligence tools may invite regulatory scrutiny and undermine their ability to safeguard customer trust. With crypto now firmly embedded in global finance, New York’s stance suggests that blockchain analytics are no longer optional for banks — they are essential to protecting the financial system’s integrity.
Share
Coinstats2025/09/18 08:49