Many want to cast stones at Hive.  There are an assortment of people who feel Hive has no future and will never go anywhere.

This simply is not the case.  In fact, as we will see, this [network](https://leofinance.io/@leoglossary/leoglossary-network) is actually more powerful than many out there.  Yes, it is true, the best [technology](https://leofinance.io/@leoglossary/leoglossary-technology) does not always win.  However, when it is radically different from all else that is taking place, we can see a major opportunity

Stripping Hive down to its bare essence reveals why it is at the core of [Web 3.0](https://leofinance.io/@leoglossary/leoglossary-web-3-0).  

So let us get started.



<center>![image.png](https://images.hive.blog/DQmYRmyHmLyrgkV3XM9cs275wGNWN58BKMDPUZz8poQbGyv/image.png)
[Source](https://s7280.pcdn.co/wp-content/uploads/2016/06/database-blue.png)</center>

# Decentralized Database

This is something we covered quite often so no need to go into all the details.

What is most important is blockchain using [distributed ledger technology (DLT)](https://leofinance.io/@leoglossary/leoglossary-distributed-ledger-technology-dlt).  This is similar to [Bitcoin](https://leofinance.io/@leoglossary/leoglossary-bitcoin) in the sense [transactions](https://leofinance.io/@leoglossary/leoglossary-transaction) are record and copied on a large number of unrelated nodes.

In Hive's case, it is more than 100.

Unlike Bitcoin, the base layer allows for more than the writing of [financial](https://leofinance.io/@leoglossary/leoglossary-finance) transactions.  Instead, people can store extended text in the different [blocks](https://leofinance.io/@leoglossary/leoglossary-block).  The best way to think about this is the Bitcoin [ledger](https://leofinance.io/@leoglossary/leoglossary-ledger) resembles a bank whereas Hive is more in line with most [Web 2.0](https://leofinance.io/@leoglossary/leoglossary-web-2-0) applications.  We can see data like social media giants Facebook, Medium, and [Wikipedia](https://leofinance.io/@taskmaster4450/building-wikipedia-on-hive).  

Another key feature is the permissionless nature.  Anyone can write to Hive as long as enough [Resource Credits](https://leofinance.io/@leoglossary/leoglossary-resource-credits-rc) are available.  Setting up [databases](https://leofinance.io/@leoglossary/leoglossary-database) on other blockchains means the incursion of [transaction fees](https://leofinance.io/@leoglossary/leoglossary-transaction-fee).  This might not be a major issue for the establishment of the database but all ongoing activity will be affected.

# "Free" To Utilize

Obviously we know nothing is free.  There is a cost somewhere.  

That said, Hive is free in the sense a library is free to utilize.  There is no cost to the users.

An example of this is [Podping](https://leofinance.io/@podping). While there are likely some expenses associated with the operations, there is no cost for the database it is using on Hive.

If, for example, this was built on AWS, there would be a monthly [expense](https://leofinance.io/@leoglossary/leoglossary-expense) for the servers.  Instead, there is no fee since writing to Hive, once again, is dependent upon the Resource Credits.

Couple that with no transaction fees and we see how a service like Podping might not be feasible any other way.  Even if it was, the cost would be greatly increased.

Ultimately, what we are dealing with are projects that provide utility yet are unowned.  The [data](https://leofinance.io/@leoglossary/leoglossary-data) is meant to be used, freely, by others.  In this sense it is a service for others.  Podping provides updates of podcasting, without charge nor control, to [applications](https://leofinance.io/@leoglossary/leoglossary-application) that offer that broadcasts to their users.

Hive is open [infrastructure](https://leofinance.io/@leoglossary/leoglossary-infrastructure-computer) that allows this to take place.

# Who Controls The Data

A lot of the negatives we see regarding the [Internet](https://leofinance.io/@leoglossary/leoglossary-internet) and digitization comes down to controlling of data.  We know how the Mega-Tech compiles users data and monetizes it for their own gain.  It is also understood how we are at the mercy of these entities when on their platform.

All of this stems, it appears, from the database.  When we look at the power of Facebook, Google, and some of the others, they control the years of information garnered through the use of the applications.  We also see how they also control the accounts.

With [Hive](https://leofinance.io/@crypto-guides/what-is-hive-crypto-hive) this does not exist.  Anyone with an account, as long as the [private keys](https://leofinance.io/@leoglossary/leoglossary-private-key) are kept safe, is fully in control.  Thus, one's digital life cannot be eliminated.

Anyone that writes to Hive is not in control of the data.  In fact, it is open for any other [developer](https://leofinance.io/@leoglossary/leoglossary-developer) to tap into.  Going back to the library, the books are free to anyone who wants to check them out.  With Hive, the data is there for anyone to use.

Try that with Facebook.  

# People Don't Care...But They Do

Many like to say that people do not care.  They will keep doing the same thing regardless of the negative consequences.

This is true to a point.  However, history is littered with examples where we did not care, but then we did.

There was a time we did not mind manually rolling down the windows.  Or standing in line at the [bank](https://leofinance.io/@leoglossary/leoglossary-bank) to deposit our paycheck.  Not too long ago, people were perfectly content to drive to the video store to rent a movie.

As we know, all of this is obsolete.

It might not be a case where people do not care.  Instead, we might be facing a situation where they lack a viable alternative.

That does not mean, of course, that things will change overnight.  It took a couple decades for electric windows to become the norm.  Automatic deposits of checks was another area where embracing was slow.  The same is true of video conferencing.

Yet, in spite of the time, we can see how the transition took place.

# Incentivized "Free" Infrastructure

One of the powerful aspects of Web 3.0 is the ability, through [cryptocurrency](https://leofinance.io/@leoglossary/cryptocurrency), to [incentivize](https://leofinance.io/@leoglossary/leoglossary-incentivize) people to provide infrastructure.  This is a radical concept.  

With Hive, each [block producer](https://leofinance.io/@leoglossary/leoglossary-block-producer) is spending [money](https://leofinance.io/@leoglossary/leoglossary-money) on [node](https://leofinance.io/@leoglossary/leoglossary-node) to run the software.  The reason one is willing to do this is the [block rewards](https://leofinance.io/@leoglossary/leoglossary-block-reward) that are paid.  As long as the incentive is in place, people will keep things running.

Naturally, there might be other motives in place.  For many, running a node for the network isn't a major [profit](https://leofinance.io/@leoglossary/leoglossary-profit) generator.  In fact, many operate at a loss or just barely break even.  Nevertheless, since those people have stake in the system, they do it.  The payout comes from elsewhere.

From this foundation, we see the ability to develop [Layer 2](https://leofinance.io/@leoglossary/leoglossary-layer-2) games and applications.  This can go in any direction.  Hive provides a fast, feeless experience at the base layer.  One only needs to acquire some [stake](https://leofinance.io/@leoglossary/leoglossary-staking) to operate.

With [smart contract](https://leofinance.io/@leoglossary/leoglossary-smart-contract) capability starting to emerge, we can see how projects will be able to generate tokens, integrate [DeFi](https://leofinance.io/@leoglossary/leoglossary-decentralized-finance-defi) features, and create ways to use the data that is being applied to Hive on a daily basis.

A lot of attention is still being paid to infrastructure.  This is taking place at both the base and secondary layers.  One of the keys is that Hive keeps [scaling](https://leofinance.io/@leoglossary/leoglossary-scability-scaling).  We know this is something a lot of chains are having issues with.

The only barometer in this equation in my mind is growth.  If Hive can continue to build out, we will see a growth rate that exceeds the [costs](https://leofinance.io/@leoglossary/leoglossary-cost) being paid for all this infrastructure.

Once that happens, there is absolutely no reason to stop running things.

___
If you found this article informative, please give an upvote and rehive.



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