Is Web3 Still Worth Investing In? What U.S. Startups Need to Know

A few years ago, Web3 was the hottest thing in tech. Everyone was talking about blockchain, decentralized apps (dApps), NFTs, and smart contracts. Investors poured billions into startups promising to revolutionize finance, gaming, and even the internet itself.

Then came the crypto crashes, regulatory scrutiny, and a cooling investor climate. Suddenly, the same question kept popping up:

👉 Is Web3 still a smart investment in 2025?

If you're a U.S. startup founder, should you still be considering Web3 for your business model? Or is it just hype that failed to deliver?

Let's dive into what Web3 really offers in 2025, which industries are still thriving, and whether investors and developers should still care.

What is Web3, and Why Did It Get So Much Hype?

At its core, Web3 is about decentralization. Unlike traditional web apps that run on centralized servers, Web3 applications are built on blockchain networks.

Key Features of Web3:

✅ Decentralized Ownership – No single company controls the data (vs. Google, Amazon, Facebook).

✅ Smart Contracts – Code that executes automatically without intermediaries.

✅ Token-Based Economy – Users own and trade digital assets (crypto, NFTs, DAOs).

✅ Improved Security & Privacy – No reliance on central servers vulnerable to hacks.

In theory, this removes the power of big tech and gives users more control. Sounds great, right?

But the real-world adoption has been… complicated.

Why Web3 Lost Momentum (And Why It’s Not Dead Yet)

1. The Crypto Crash Scared Investors

Remember the Bitcoin and Ethereum crashes in 2022-2023? Many people lost millions, and investors got cautious.

🔻 VC funding for Web3 startups dropped by nearly 80% from its peak in 2021.

🔻 Thousands of NFT projects collapsed, leaving buyers with worthless assets.

🔻 Scandals like FTX damaged trust in the entire blockchain ecosystem.

2. Regulation Is Uncertain (Especially in the U.S.)

Governments are still figuring out how to regulate Web3. The U.S. SEC has been cracking down on crypto projects, and many startups have relocated to Europe or the Middle East for a friendlier environment.

👉 Uncertainty = fewer investors willing to take risks.

3. UX and Scalability Problems

Most Web3 apps still suck in terms of user experience compared to traditional web apps.

❌ High transaction fees (gas fees) on Ethereum.

❌ Slow processing times compared to cloud-based solutions.

❌ Complicated onboarding – Users need crypto wallets just to sign up.

For mass adoption, Web3 needs to be as seamless as Web2.

Where Web3 Still Has Strong Investment Potential

Despite the setbacks, Web3 isn’t dead—it’s evolving. Some industries are still betting big on decentralized technology.

1. AI + Web3: The New Frontier

🔹 Decentralized AI marketplaces (like Ocean Protocol) are making data sharing more secure.

🔹 Blockchain-based identity verification for AI-generated content.

🔹 AI-powered smart contracts for automated decision-making.

💡 Why it matters: AI is booming, and Web3 can make AI data more private and verifiable.

2. Gaming & Metaverse: Still Thriving

Web3 gaming didn’t explode as expected, but projects like Immutable X, Gala Games, and The Sandbox are still growing.

🎮 In-game assets as NFTs let players truly own digital goods.

🎮 Play-to-earn (P2E) models are still attractive in global markets.

🎮 Big companies (Epic Games, Ubisoft, Microsoft) are investing in Web3 game studios.

💡 Why it matters: If gaming and metaverse applications improve usability, they could still be a $200B+ market by 2030.

3. DeFi (Decentralized Finance): Stronger Than Ever

Even after the crypto crashes, DeFi platforms like Uniswap, Aave, and MakerDAO are still operational and profitable.

🏦 Users can earn interest on crypto without banks.

🔄 Fast, borderless transactions with fewer fees.

📉 Hedge against inflation in unstable economies.

💡 Why it matters: Traditional banking systems still have high fees and inefficiencies. DeFi is filling a real gap in global finance.

4. Supply Chain & Real-World Applications

Industries like logistics, real estate, and healthcare are quietly adopting Web3 for transparency and efficiency.

📦 Walmart uses blockchain to track food supply chains.

🏠 Real estate startups tokenize property ownership (fractional investing).

🩺 Healthcare records are moving onto blockchain for security & interoperability.

💡 Why it matters: These aren’t speculative investments. They solve real business problems.

Should Your Startup Invest in Web3?

If you’re a U.S. startup, here’s how to think strategically about Web3 in 2025.

✅ Reasons to Invest in Web3:

🚀 Your business model relies on decentralization (DeFi, gaming, AI data security).

🌍 You’re targeting global markets (crypto adoption is stronger outside the U.S.).

💡 You see a clear problem Web3 can solve better than traditional solutions.

❌ Reasons to Avoid Web3 (For Now):

📉 You need quick VC funding (investors are still cautious).

🤯 Your target audience isn’t crypto-savvy (UX remains a challenge).

⚖️ You don’t want regulatory headaches in the U.S.

💡 Smart Move: If you’re unsure, consider a hybrid approach → Use Web2 for usability, and Web3 only where necessary.

What About Hiring Web3 Developers?

If your startup decides to invest in Web3, you’ll need top-tier blockchain developers. But hiring Web3 talent isn’t the same as hiring traditional software engineers.

Challenges of Hiring Web3 Developers

🔴 They are expensive – Blockchain developers often charge 2x higher rates than regular devs.

🔴 The talent pool is smaller – Skilled Web3 developers are hard to find.

🔴 Security risks are high – One mistake in a smart contract can cost millions.

At Remoteplatz, we help startups hire top-tier Web3 developers who specialize in:

✅ Solidity, Rust, and smart contract development

✅ Decentralized application (dApp) development

✅ Ethereum, Solana, and Layer 2 scaling solutions

💡 Need expert blockchain developers? Hire vetted Web3 engineers at Remoteplatz today!

Final Verdict: Is Web3 Still Worth It for Startups?

🚀 Web3 is still evolving, but it’s not the "wild west" anymore. The days of hype-driven, get-rich-quick schemes are over.

✅ Invest if Web3 provides a real advantage for your startup.

❌ Avoid Web3 if you’re just chasing trends without a clear problem to solve.

🔹 If you’re in AI, gaming, DeFi, or supply chain → Web3 is still a strong bet.

🔹 If you’re launching a simple SaaS or e-commerce startup → Stick to Web2 for now.

📈 The Web3 market will keep growing, but the winners will be those who build real, scalable, user-friendly solutions.

💡 Want to build your Web3 startup with expert engineers?

🚀 Hire the best blockchain developers at Remoteplatz today!