Ethereum: Not a World Computer, But a Key to Web3

Ethereum, often hailed as the World Computer, and Swarm, its decentralized storage solution, have been the subject of much debate and misunderstanding. This article aims to clarify the roles of these technologies and their implications for the future of the web.

Ethereum, introduced in 2017, promised a new web—Web3—where users would own and control their data, rather than large corporations. The model at the time suggested that this new web would run on a massive virtual computer, with Swarm acting as its hard drive. However, this model was flawed, and Ethereum is not, in fact, a World Computer.

Ethereum's virtual machine (EVM) is a Turing-complete execution environment, but its practical capabilities are limited. It can only interact with the blockchain, severely restricting its potential use cases. Additionally, every operation must be executed and verified by all validators, making the system computation-intensive. These constraints make Ethereum unsuitable as a general-purpose World Computer.

Instead, Ethereum functions more like a database, where smart contracts act as stored procedures. While these are highly useful for financial transactions, they are not suitable as a general-purpose backend.

Swarm, initially overshadowed, is a crucial component of the Web3 vision. It serves as a decentralized storage solution, addressing the fundamental question of where web content will be stored. Unlike IPFS, which focuses more on content discovery, Swarm operates on a different principle, providing actual storage.

Swarm nodes are identified using Ethereum addresses, and content stored on Swarm can be validated through smart contracts, enabling seamless integration between the two networks. Beyond storage, Swarm also serves as a crypto-incentivized content delivery network (CDN), supporting addressable mutable content storage and featuring a built-in messaging system.

However, the World Computer is not Ethereum, but rather a decentralized service network. This network consists of stateless servers performing various tasks on top of Swarm's storage layer. These servers can act as feed aggregators, run distributed AI models, or power decentralized sharing economy platforms.

In conclusion, while Ethereum plays a crucial role in building the new web, it is an overstatement to call it a true World Computer. The real World Computer consists of stateless servers performing diverse tasks, acting as a general-purpose backend. Swarm,