🔗The Problems with Today’s Internet

The Internet was designed decades ago, long before the explosion of data, AI, and global connectivity. Today’s networks route nearly all traffic through a handful of major data centers, creating single points of failure, bottlenecks, and privacy concerns. Internet Service Providers (ISPs), cloud giants, and Content Delivery Networks (CDNs) act as gatekeepers, adding unnecessary costs, control, and surveillance.

Patching the system has only led to more complexity. VPNs, CDNs, and edge computing try to fix inefficiencies but don’t address the root problem of centralization. Legacy protocols like IPv4 force reliance on outdated solutions like Network Address Translation (NAT), a method that allows multiple devices to share a single public IP address, contributing to centralization issues. Meanwhile, the rapid growth of IoT devices and AI-driven applications pushes the limits of this aging architecture. The result? A fragile, monopolized internet that prioritizes corporate profits over user empowerment.

🔗Mycelium: A New Approach to Connectivity

Mycelium is a decentralized networking technology that enables direct, peer-to-peer communication without relying on centralized servers. Instead of routing data through major data centers, Mycelium establishes a distributed network that enhances functionality while remaining compatible with existing applications.

How Mycelium works:

• Decentralized Connectivity: Mycelium routes data efficiently using a mesh-like structure, dynamically adjusting based on user location and available peers. This ensures seamless communication without the need for intermediaries.
• End-to-End Encryption: All connections are secured, preventing man-in-the-middle attacks and ensuring complete privacy.
• Proof of Authenticity (PoA): Identity verification strengthens trust between users and prevents malicious actors from infiltrating the network.
• Optimized Routing: Smart algorithms minimize latency and optimize traffic flow, delivering faster, more efficient connectivity.

🔗A Glimpse into the Future with Mycelium

Imagine waking up in a world where your internet connection isn’t routed through corporate-owned data centers but flows securely between you and those you trust. Your home office connects seamlessly to an encrypted global network. You start your day by accessing files from your personal cloud, which is hosted on your own device, encrypted, and accessible only to you. A quick, secure video call with your team follows, running entirely over Mycelium’s peer-to-peer network, free from surveillance or interference.

Small businesses host their websites and manage their infrastructure without relying on third-party cloud providers. Developers push code to private repositories, ensuring only authorized collaborators have access. Families stream media directly from their home servers, avoiding subscription fees and content restrictions. Even online gaming has been revolutionized. Players host multiplayer sessions on encrypted private servers, eliminating lag and reliance on corporate hosts.

Meanwhile, IoT devices in smart homes and remote workplaces function on secure private networks, safeguarding sensitive data from corporate surveillance. A doctor in a rural village can connect securely with a specialist overseas, sharing critical patient data without privacy concerns. Journalists and activists can communicate without censorship, free from government or corporate monitoring.

🔗The Need for a New Internet

The current internet infrastructure is failing us. Over 70% of global internet traffic depends on expensive transglobal networks, leading to high costs and latency. A simple Zoom call between Uganda and Tanzania may be routed through U.S.-based servers, significantly degrading the experience. With AI-driven systems, agentic computing, and rising cybersecurity threats, centralized control is no longer sustainable.

ThreeFold is pioneering a new internet that is truly decentralized, infinitely scalable, and geo-aware. Built from the ground up on a bare Linux kernel, ThreeFold’s internet stack enables modular, self-healing infrastructure, putting control back in the hands of users. Unlike traditional cloud providers, ThreeFold dynamically shards data with advanced erasure codes, providing security against even quantum computing threats. Its real-time routing algorithms eliminate bottlenecks by optimizing packet travel based on congestion, node availability, and latency.

With 3.5 billion people still offline and AI agents set to scale into the billions, the need for a decentralized internet has never been more urgent. The future isn’t about patching a failing system – it’s about building a better one. Through advancements like Mycelium, ThreeFold is leading the charge, reshaping the internet into what it was meant to be: open, secure, and controlled by people – not corporations.

Learn more about Mycelium via the website and documentation.

🔗Part I: A Natural Evolution

The story of the Internet is one of ongoing evolution.

It began in the 1960s and 70s with a decentralized dream. Researchers and early pioneers built networks where computers communicated directly – peer-to-peer. There were no gatekeepers, no central authorities. Just nodes of people and their computers, freely exchanging data. This was the foundation for what we now call the Internet.

But as the Internet grew in the 90s, things started to change. The scrappy network of computers connected in an ad hoc manner started becoming an economic arena. Companies built platforms, services, and hubs. Massive infrastructure emerged to support this growth — hyperscale data centers, global fiber-optic networks, and powerful servers. The world logged on, and the web became commercialized.

This was Web 1.0 – static pages and basic information sharing. Then came Web 2.0 – the age of social media, cloud computing, and user-generated content, which makes up the vast majority of our shared digital lives. Connection became easier, but power was consolidated. Big platforms have taken ownership of our data and control our experiences.

In response, a new idea emerged – Web 3.0. Decentralized technologies like blockchain aimed to give control back to users. But Web3 is still finding its way, grappling with scalability, accessibility, and adoption.

And now, with the introduction of AI, we stand at the dawn of Web 4.0, the next evolution of the Internet. Web 4.0 is an agent-centric model, also sometimes referred to as the symbiotic web. In Web 4.0, we’ll interact both with humans and with virtual AI agents, our digital counterparts. These agents will be able to help with everything, from organizing our days to navigating our online presence. But here’s the catch – if we stay on the current path, these agents and the powerful intelligence systems behind them won’t belong to us. They’ll be owned – just like our data is today – by someone else. Web 4.0 will be no different than what we’ve had in the past.

This isn’t just about data anymore, it’s about intelligence itself. It’s about the future of our species and the planet. The question is: will we seize the opportunity to create something new – a decentralized network of augmented, collective intelligence.

This vision is what we call Web4.

🔗Part II: Our Web4 Vision

Web4. Where humans and AI collaborate to develop a new paradigm aimed at advancing planetary well-being. To our knowledge, we are the world’s first project approaching a fully functional Web4 infrastructure. But what does a Web4 infrastructure look like?

A Web4 infrastructure is built on three essential layers: personal, infrastructure, and physical.

At the heart of Web4 is the individual – you. The personal level involves an AI assistant, your digital counterpart, which manages your digital life and is owned fully by you. An identity layer ensures reputation and authenticity of information, an intelligence layer brings decentralized personal AI systems for smarter collaboration and decision-making. And a transaction layer integrates seamlessly with Web3 systems and beyond for secure and efficient transactions.

Next is the infrastructure layer, the backbone of Web4. This layer re-imagines how the Internet works. The network layer delivers private, scalable communication. The data layer revolutionizes how we store, share, and control data. Serverless compute resources allow applications to run closer to users and their data, improving speed and performance. And the cloud layer bridges today’s Web2 systems with a Web4 future, ensuring everything works together.

Finally, the physical layer brings Web4 into the real world. Routers act as gateways between the old web and the new, creating secure, next-generation communication channels. Nodes power the ecosystem by delivering AI, data, and compute capabilities. Phones become more than just a device, they are your portal into Web4, and capable of building meshed networks for better connectivity. And any modern desktop running Linux, Windows, or MacOS integrates seamlessly into this new ecosystem.

This vision may seem bold, but at ThreeFold, we are well on our way to making it a reality. Over the past decade, we have tackled complex challenges in areas such as data storage, secure overlay networking, and autonomous cloud security. A working proof of concept infrastructure grid is alive today thanks to the ThreeFold developers and a global community.

Today, we are pleased to announce the next step in the roadmap to Web4: Web4 Node, Web4 Phone, and Web4 Router.

🔗Part III: The Journey Begins

Today, we are pleased to announce the next step in the roadmap to Web4: V4 3Node, 3Phone equipped with 3Bot technology, and 3Router.

3Nodes are a familiar concept in the ThreeFold ecosystem, now also entering their fourth generation. Nodes provide capacity to the network, and in exchange generate rewards. Today, in collaboration with ThreeFold community vendors HostServiceNL in Europe and DuckFarmData in North America, we are announcing three different models of the V4 3Node. You can find more info and how to place orders here.

3Phones are a portal into the Web4 world. We are pleased to share that we will be offering several models of 3Phones into the market based on the Volla Phone platform. 3Phones will be equipped with your own decentralized AI agent called 3Bot. You can pre-order a 3Phone here.

And then there are 3Routers. Routers ensure that Web4 devices (phones and desktops running Mycelium) can communicate with one another – peer-to-peer, private, and secure. 3Routers will be available next year, and you can express your interest here.

Now, we need more than technology – we need pioneers, thinkers, and creators to help expand the Web4 ecosystem. Whether you contribute as a developer, a node operator, or via any other role, your participation is crucial. We need to bring millions of nodes, routers, and phones into the ecosystem. This is the next step in our journey.

The future of the Internet is being written today, and Web4 is the next chapter – a chapter where control, collaboration, and innovation belong to everyone. But this isn’t just our journey – it’s yours too. Together, we can build a smarter, more equitable digital world, where AI and humans work side by side to solve our greatest challenges.

Will you join us in realizing this vision?

Today we make these announcements to our incredible community, so you can provide your feedback and be amongst the first to register. In the coming weeks, after the new year, we will begin to spread this vision further. And this is only the beginning of our Web4 journey. Every three months, on 03.03, 06.06, 09.09, and 12.12 of next year we will continue to unveil major aspects of the Web4 vision. Of course there will be plenty of discussion and updates as we go, as well. Stay tuned.

“All websites are equally accessible.” Net neutrality is a key principle that has been challenged in recent years. Without it, Internet service providers (ISPs) could potentially prioritize or block access to certain websites, affecting the open nature of the Internet.

“The Internet is already decentralized.” While the Internet was originally designed as a decentralized network, much of it is now controlled by a few large corporations, leading to centralization of power and influence. Distributed and decentralized are different things, and even then, the Internet is not all that distributed.

“Everyone Has Access to the Internet.” While the Internet is widely available in many parts of the world, millions of people still lack reliable access due to economic, geographic, and infrastructural barriers. Digital inequality remains a significant global challenge, with rural areas and developing regions (particularly in the global south) often underserved.

“The Internet is free.” While many services on the Internet appear to be free, we often pay with our data. Companies collect and monetize personal information to offer “free” services, leading to privacy concerns. As the saying goes, “if it’s free, the product is you.”

“Online privacy is not a problem anymore.” Many people believe their online activities are private, especially when using “incognito mode” or similar features. In reality, much of what we do online is tracked, logged, and often shared with third parties – despite using privacy-enabling features.

“Well, I have nothing to hide, so privacy isn’t important anyway.” Many believe that if they aren’t doing anything wrong, they don’t need to worry about privacy. In reality, privacy is about controlling who has access to your personal information and how it’s used. Even seemingly harmless data can be collected, analyzed, and exploited in ways that affect your life, your choices, and your freedom.

“Everything on the Internet is true.” There’s a misconception that if something is online, it must be accurate or trustworthy. However, this is far from the truth. Misinformation, fake news, and unreliable sources are widespread, requiring critical thinking and fact-checking, and increasingly hard to differentiate from reality.

“The Internet is anonymous.” Many believe they can remain completely anonymous online, but in reality, most activities leave a digital footprint that can be traced back to the user with enough effort.

“Deleting something online makes it gone forever.” People often believe that deleting a post, message, or file online removes it permanently. However, copies or backups may still exist, and data can often be recovered or traced.

“Cybersecurity threats are overblown.” Some people underestimate the risks of online threats like hacking, phishing, and malware, assuming they won’t be targeted. However, the numbers are startling and everyone is vulnerable.

In an age where, for better or worse, our online interactions shape much of our daily lives, understanding the true nature of the Internet is more and more important. By recognizing misconceptions, we can better navigate the digital world. And the best part? ThreeFold has been working on a true solution to some of the Internet’s biggest challenges.

Dive in to learn more and how to get involved:

• From the ground up: Three inventions that make ThreeFold possible
• The evolution of the Internet: From free to controlled, and back again
• ThreeFold Docs: Litepaper, Tokenomics, Node Guide, & More

🔗A new bare metal operating system

It is challenging to use current Linux-based operating systems safely and efficiently on the edges of the Internet. They require central management, involve excessive complexity, and prove difficult to update and maintain, resulting in numerous security vulnerabilities. To revolutionize the internet, we had to rethink how we host our applications, essentially reinventing the concept of a cloud-based operating system.

Zero OS is an innovative operating system, retaining the Linux kernel but fundamentally redesigned for heightened security, efficiency, and support for true peer-to-peer and decentralized workloads. This unique operating system doesn’t require installation on hard disks or SSDs; it remains stateless, consistently up to date, and autonomously managed without human intervention. Its design enables scalability to millions of nodes and self-healing application delivery, opening new possibilities in system resilience and reliability.

🔗A quantum safe storage system

Traditional backend storage systems have their roots in centralized environments, focusing on low-latency and closed security setups. However, these characteristics make them less suitable for use in decentralized cloud contexts.

Newer generation storage systems such as protocol-driven or blockchain-based solutions may face scalability and performance limitations and may not fulfill certain critical requirements that we consider essential.

Quantum Safe Storage is an ultra-scalable system capable of storing data indestructibly and efficiently. Previous versions of this system created by our team are widely used to store Zetabytes of information by large organizations.

🔗A quantum safe network system

The current centralized state of the internet poses significant security risks, with compromised routers and growing cyber threats (trillions of USD per year now), making everyone vulnerable to hacking. Industry responses involve disabling original features, hindering true peer-to-peer connectivity and personal server capabilities. Workarounds and system hacks have become the norm.

Mycelium is an overlay network layer designed to enhance the existing internet infrastructure while remaining compatible with all current applications. It empowers true peer-to-peer communication. Mycelium can look for the shortest path, has a built-in naming and CDN (Content Delivery) system, and can survive disaster and network cuts much more efficiently as is possible today.

🔗The only way

The future of the Internet lies in breaking free from the constraints of outdated, centralized systems and embracing a new paradigm. By fundamentally addressing the root causes of inefficiency, insecurity, and centralization in today’s systems, we can create a more resilient and equitable digital world.

If interested, go deeper into the inner-workings of the Internet as compared to ThreeFold.

🔗Compute & Storage

What it is:

Compute is responsible for processing data. It runs programs and applications by leveraging computational resources like CPUs (Central Processing Units) and GPUs (Graphics Processing Units). It handles the calculations, logic, and running of software that users depend on. Compute resources are provided by servers located in centralized data centers and cloud platforms.

Storage is about saving and retrieving data. It provides a persistent way to store data so that it can be accessed in the future. This encompasses various types of storage media, such as hard drives (HDDs), solid-state drives (SSDs), and distributed storage systems that span across multiple locations. Storage ensures that data is kept safe and available for when it’s needed, either for immediate use by applications or for long-term retention.

The problem with the current model:

A key problem with the current compute & storage layer lies in its centralized structure, which creates vulnerabilities, scalability challenges, and performance issues. Relying on centralized data centers and cloud platforms leads to single points of failure, which increases the risk of outages and cyberattacks, thus heightening concerns about service disruption and data security. Scaling this centralized infrastructure to meet increasing demand is costly and not straightforward, while latency issues hinder real-time data processing.

The concentration of the compute & storage within data centers primarily located in Europe, North America, or China raises significant concerns. This geographical bias in Internet infrastructure keeps data, jobs, and economic benefits centralized in certain regions, putting developing areas at a disadvantage and raising concerns around data sovereignty and autonomy.

For example, when two people in Zanzibar undertake a video call, their call data is sent to a data center in Europe via costly fiber optics, wasting resources and diminishing performance. This scenario represents a broader problem affecting various locations and use cases. This inefficient and inequitable system can be changed.

The ThreeFold model:

ThreeFold decentralizes compute & storage by distributing it across a global network of independent nodes rather than concentrating it in large data centers. Autonomous technology allows us to remove most human involvement from the equation. This approach allows anyone, regardless of technical know-how, to contribute compute & storage to the network or utilize it for their own applications. In essence, the compute & storage layer becomes co-owned, allowing anyone to become a cloud provider.

ThreeFold’s autonomous technology efficiently allocates compute resources, increasing performance and reliability while reducing energy consumption. The distributed storage system fragments data and stores it securely across multiple locations, ensuring that data is always recoverable. Data security is also enhanced as there is no central repository for attackers to target. In this decentralized model, individuals’ data remains within their country’s borders, safeguarding their information from being exploited as a commodity by external entities. Storing data closer to the end user reduces latency and improves access speeds.

Let’s revisit the scenario of a video call between two individuals in Zanzibar. With ThreeFold technology, call data will be sent directly between local ThreeFold nodes. These nodes are deployed locally by people and organizations, avoiding centralized ownership by major tech corporations. Instead of relying on data centers thousands of miles away, our decentralized infrastructure significantly shortens the connection distance. The pair in Zanzibar can now communicate peer-to-peer, reducing bandwidth needs by up to 10 times while boosting security.

🔗Network

What it is:

The purpose of the network layer of the Internet is to send data packets from their source (point A) to their destination (point B) across multiple networks. Data packets are small pieces of information which include the data being sent and details like where it’s coming from and where it’s going. They can be thought of as small parcels of data that travel through the Internet. These parcels can take different paths to reach their destination and once they arrive they are put back together to form the original data.

The network operates on protocols like IP (Internet Protocol), which assigns unique addresses to devices on the Internet to ensure data reaches the correct location. The network layer handles the path selection and directs data packets through various routers and networks to reach its destination. This layer enables communication between devices in different networks, ensuring efficient delivery across the vast expanse of the Internet.

The problem with the current model:

The current model of the network layer relies heavily on traditional routing protocols and infrastructure, which often lead to inefficiencies and vulnerabilities. Centralized routing mechanisms may result in suboptimal path selection, leading to longer latency and decreased network performance. As highlighted in the picture below, the path that these data packets take in the current system can be very complex and ineffective. The reliance on a centralized architecture makes the network susceptible to single points of failure and cyberattacks. Traditional networks lack inherent privacy and security measures, leaving data vulnerable to interception and unauthorized access during transmission. The lack of scalability, reliability, and security of the current network model highlights the need for a new approach.

Credit: Lazario Gamio, 2015, The Washington Post

The ThreeFold model:

ThreeFold is disrupting the network layer through its new Mycelium technology, a true peer-to-peer mesh network. It is the only overlay network in the world capable of taking locality into consideration, routing decisions based on proximity between individuals, and selecting the quickest route possible. This addresses the current system’s suboptimal path selection as visualized above. In this new model data packets take the quickest route from point A to point B. Mycelium also ensures end-to-end encryption for all traffic, enhancing data privacy and security. This new ‘always-on’ network offers continuous connectivity and seamless access to resources, even in the face of network disruptions or outages.

Credit: Haseeb Qureshi, 2019, Nakamoto

🔗Applications

What it is:

At the top of the Internet stack are applications — the user-facing software that provides the services and experiences we interact with daily. Applications range from web browsers and social media to more complex systems like blockchain platforms and decentralized apps (dApps). They are the interface through which users interact with the digital world.

The problem with the current model:

The problem with the current model is the lack of control over our digital identities. Currently, users are scattered across numerous platforms, each hosting their data separately. This means that individuals exist in multiple instances online, with their personal information spread across different servers and databases controlled by different applications (visualized in the picture below). This fragmentation not only leads to redundancy but also raises concerns about security, privacy, and control over personal data. Users are forced to trust multiple third-party applications with their sensitive information, often without transparency or control over how their data is used or shared. The centralized nature of these applications exposes users to risks such as data breaches, unauthorized access, and exploitation of personal information for targeted advertising or other purposes. In the existing system, users are at the mercy of application providers, who dictate the terms of service and privacy policies. This asymmetry in power dynamics leaves users with limited options to protect their privacy or exercise control over their data.

The ThreeFold model:

ThreeFold delivers a decentralized and user-centric approach to the application layer, empowering users and developers. By providing access to decentralized compute, storage, and networking resources, ThreeFold facilitates the development and deployment of decentralized applications (dApps) within its ecosystem. Unlike traditional centralized applications, which rely on proprietary infrastructure and are subject to the control of centralized entities, dApps built on ThreeFold operate within a decentralized environment increasing security and privacy. Users have greater autonomy and control over their digital identities and data. Instead of being scattered across numerous platforms with data hosted separately, users have one digital identity. This reduces fragmentation and eliminates the need to trust multiple third-party applications with sensitive information. In the ThreeFold model, applications are designed to serve the users rather than the other way round.

🔗Conclusion

Understanding the Internet’s three layers is key to grasping the current digital landscape and envisioning the transformative potential of ThreeFold’s technology. Just as tectonic forces reshape our physical world, ThreeFold is disrupting the layers of the digital world. By decentralizing compute & storage, ThreeFold eliminates the vulnerabilities in centralized models, fostering efficiency and security. Through Mycelium, ThreeFold is rewriting the rules of connectivity, ensuring resilience and security. At the application layer, ThreeFold empowers users, shifting the paradigm to user empowerment. It’s a new dawn for the Internet, one where connectivity is inclusive, efficient, and equitable, and ThreeFold is leading the charge. Let’s seize the opportunity to shape an Internet that thrives locally, serves globally, and empowers universally.

🔗The Rise of Decentralized Solar Energy

Decentralized solar energy has transformed the landscape of power generation. Unlike the centralized model, where nuclear power plants are often miles away from the end-users and controlled by large corporations or government bodies, solar energy allows for energy production right where it’s needed—at home or within the community.

By installing solar panels on rooftops or creating local solar farms, individuals can capture the sun’s energy directly. This shift not only reduces our dependency on distant power plants and the complex grid systems but also mitigates the risks associated with them.

This localized energy production model enhances sustainability by tapping into an inexhaustible natural resource and encourages a more environmentally conscious and self-sufficient society. It signifies a move away from the centralized, traditional systems of energy production, returning power to the people and prioritizing the planet’s well-being.

🔗ThreeFold: Pioneering a Decentralized Digital Future

Parallel to the energy sector’s evolution, the digital world is also undergoing a transformation, led by innovative platforms like ThreeFold. Just as decentralized solar energy provides an alternative to the centralized power generation model, ThreeFold is reshaping the cloud computing landscape with its autonomous edge cloud.

ThreeFold’s model deviates from the norm, where cloud services are dominated by a few massive data centers. Instead, we depend on our global network of independent nodes set up by individuals and businesses to contribute their own computing and storage resources to the cloud. This approach democratizes access to cloud resources, bolstering data privacy, security, and resilience against potential outages or cyberattacks.

Beyond merely disrupting the existing model, ThreeFold aims to foster a more sustainable, efficient, and user-centric internet. Distributing decentralized infrastructure worldwide reduces the environmental footprint associated with large data centers and promotes fairer internet resource distribution.

Both the shift towards decentralized solar energy and ThreeFold’s revolutionary approach to cloud computing reflect a broader movement towards decentralization. This movement is not just about bringing alternatives to existing systems but about creating a more inclusive, resilient, and sustainable future for all.