Why Web3 Adoption Is Inevitable: Exploring the Cultural 'Structures of Feeling'

Just yesterday, over a casual lunch with one of the most brilliant lawyers in our industry, he leaned in and admitted, "When it comes to DeFi or Web3, I'm not even sure this will happen at some point." His skepticism struck a chord with me because it's a sentiment I've grappled with for a long time. Will crypto, Web3, and DeFi ever be adopted by the masses? Will they profoundly transform our digital behaviors and reorganize our society?

I don't want to inundate you with adoption metrics or the number of active wallets—that ground has been well-covered. Just last week, Andreessen Horowitz (a16z) released an excellent report highlighting key data that clearly indicates adoption is happening. Killer apps like stablecoins are being used en masse; for instance, Stripe's acquisition of crypto startup Bridge shows that stablecoins have a huge total addressable market and a clear product-market fit.

But to answer the burning question about the adoption and irreversibility of Web3 and DeFi, I found myself revisiting some old college readings—specifically, the works of Karl Marx and British philosopher Raymond Williams. Bear with me; I promise this isn't a detour into dry academic theory. Instead, it's a lens through which we can better understand what's happening in our industry right now.

According to Marx, the economic foundation of society—the "base" or "infrastructure"—is made up of the means of production like land, factories, and technologies, as well as the relations of production. This base directly determines the "superstructure," which includes institutions, culture, legal and political systems, religious beliefs, and ideologies that emanate from the economic base. In simpler terms, the economic base shapes the superstructure: our cultural and political institutions are designed to maintain the existing economic relationships.

But here's where it gets interesting.

Marx's theory, while groundbreaking, has been critiqued for being too rigid and simplistic. Raymond Williams offered a more nuanced perspective: 

1. Dialectical Relationship: Williams argued that the relationship between the base and superstructure isn't a one-way street. Instead, it's dialectical—meaning the superstructure (our ideas, culture, institutions) can influence and react back upon the economic base. So, our beliefs and cultural practices aren't just products of economic conditions; they can also help transform or maintain them.

2. The Superstructure Isn't Monolithic: He pointed out that the superstructure is full of conflicting ideas and forces. It's not a uniform entity but contains residual ideologies from the past and emergent ideologies challenging the status quo.

3. Culture as Active Mediation: Contrary to the idea that culture merely reflects material conditions, Williams emphasized that culture plays an active, creative role in social transformation. Through literature, art, media, and even everyday practices, culture doesn't just mirror reality—it shapes it.

This brings me back to our industry. What Williams described is precisely what's happening in the world of crypto and Web3.

Everything started with Bitcoin and blockchain technology, which didn't just emerge from the existing economic base—they began to influence it. Venture capitalists and private equity firms (the techno-capital) who are part of the infrastructure, started promoting ideologies that aim to transform the superstructure. They're pushing the Web3 philosophy, creating new means of production and new relations of production through tokenomics and decentralized autonomous organizations (DAOs). This isn't just about technology; it's about fostering a new culture that's gradually moving from niche communities to broader society.

For example, DAOs like MakerDAO, Friends With Benefits represent new organizational structures that challenge traditional corporate hierarchies. They enable decentralized governance, allowing stakeholders to participate directly in decision-making processes. This not only alters economic relations but also promotes cultural norms around transparency and collective responsibility. 

Williams introduced the concept of "structures of feeling"—shared ways of experiencing social reality that aren't fully formalized into institutions or ideologies. These structures often emerge through artistic works, cultural practices, and everyday behavior. They capture the mood and sensibilities characteristic of a particular period, even before they're fully conceptualized or institutionalized.

In our industry, this is palpable. There's a collective sentiment driving crypto and Web3 forward—a desire for decentralization, transparency, and democratization of resources. This isn't always explicitly stated, but it's felt. It's evident in the memes shared on Crypto Twitter, the community-driven projects, and the global collaborations happening without regard for traditional borders.

What's fascinating is how these developments are influencing the superstructure. Institutions are beginning to take notice and even adopt elements of this new culture. For example, BlackRock and Fidelity who launched a Bitcoin and Ethereum ETF and Stripe's acquisition of crypto startup Bridge shows that established companies recognize the potential of digital assets, stablecoins and blockchain technology. 

There's a blending happening—an intersection where the old meets the new, and both are transformed in the process. The residual ideologies of traditional finance and governance are being challenged by the emergent ideologies of decentralization and democratization inherent in crypto and Web3.

Our industry is organic and rapidly evolving. There's an inherent sense of belonging to a global movement, even if it's not always fully articulated. This collective feeling is driving significant change, acting as both a form of passive resistance and an active agent of transformation. It's the "structure of feeling" that Williams talked about—a shared experience that's reshaping our social reality before it's fully institutionalized.

Consider how Crypto Twitter often feels like an alternate universe, buzzing with its own language, memes, and ethos. This culture isn't just online banter; it's a force influencing market movements, project developments, and even regulatory conversations.

So, will crypto, Web3, and DeFi be adopted by the masses? Will they transform our society? If we look through the lens of Raymond Williams's theories, the answer seems to be yes.

Techno-capital, inspired by the structures of feeling within crypto, has invested billions in our industry. This investment isn't just about financial returns; it's about reshaping the superstructure. It's leading to the adoption of technologies that are materializing in new forms of organization, new business models, and new digital behaviors.

Just as the cultural revolutions of the past redefined societal norms and institutions, the Web3 and crypto culture is poised to transform the existing infrastructure. The skepticism is understandable—change is always met with resistance—but the evidence suggests that we're already on that path. 

Next time someone questions whether crypto or Web3 will ever "happen," consider sharing this perspective. It's not just about technological adoption or market trends; it's about a cultural shift that's already underway. We're part of a new structure of feeling that's redefining how we interact with technology, with each other, and with the institutions that have long governed our societies.

Future is already here, it's just not very evenly distributed.