Problems of Customer Experience in Web3: Unmasking the Paradox of the Crypto World

Imagine standing in front of a door that leads to a world full of possibilities – a world that promises unprecedented freedom, privacy, and decentralization. But as you reach out to turn the knob, you find it’s not a knob at all. It’s a complex puzzle, requiring a nuanced understanding of sophisticated algorithms, codes, and terminologies. This is the current state of the crypto world, the Web3, where the promise of a revolutionary digital frontier is held back by poor customer experience (CX).

The world of Web3 and cryptocurrency offers a disruptive platform that challenges the traditional financial system’s very fabric. Yet, paradoxically, it struggles to provide an intuitive, user-friendly experience, crucial for mainstream adoption. This article examines the reasons behind the poor customer experience in Web3 and explores strategies to transform this landscape.

Web3 has solved a lot but there’s still a lot to solve in Web3

Dilemma of Decentralization and CX

Decentralization, the cornerstone of Web3, empowers users with greater control and privacy. However, it simultaneously presents unique challenges to crafting a seamless user experience.

1. Complexity of Interaction

The inherent complexity of blockchain technology poses a significant barrier to entry for non-tech-savvy users. Even simple interactions, such as setting up a wallet or understanding a transaction’s status, can be arduous tasks.

For instance, to use a decentralized exchange (DEX) like Uniswap, users need to first understand the concept of a MetaMask wallet, gas fees, and how to connect their wallets to the DEX. This complex process often deters potential users, contributing to a sluggish adoption rate.

2. Lack of User Support

In a traditional centralized system, a customer service team is available to resolve user issues. In contrast, Web3’s decentralized nature lacks a centralized authority or support system. Users are expected to solve problems independently, often requiring extensive research and technical knowledge.

A report by The Defiant indicated that 74% of new crypto users find it challenging to navigate this landscape without adequate support.

3. Security Concerns

While Web3 enhances user privacy, it also exposes users to potential security risks. Unlike traditional banking systems, transactions on the blockchain are irreversible. If a user loses access to their wallet or falls prey to scams, there’s no centralized authority to reverse the transaction or recover the lost assets. A study revealed that about $10 billion worth of cryptocurrency was stolen in 2022.

Table: Annual Cryptocurrency Stolen (2018-2022)

Year	Cryptocurrency Stolen (in USD billion)
2018	1.7
2019	4.5
2020	3.8
2021	7.6
2022	10

The need for users to manage their own security often creates a stressful experience, further deterring mainstream adoption.

Tracing the stolen assets is one of the biggest challenges in Web3

4. Volatility and Unpredictability

The crypto market’s volatility often results in unpredictable transaction costs, mainly due to fluctuating gas fees. This unpredictability creates an unstable environment, causing confusion and frustration among users. In 2021, the Ethereum network, one of the most popular blockchains, saw its average transaction fee spike by over 300% in just a month[^3^].

Clearly, the crypto world is entangled in a paradox. While it offers a path to a decentralized, democratic future, it struggles with a complex, unpredictable, and often stressful customer experience.

But this doesn’t mean that the situation is hopeless. With the right strategies, the community can revolutionize the customer experience in Web3.

Strategies to Improve CX in Web3

Education and Simplification

The complex nature of blockchain and cryptocurrency needs to be broken down into simpler, more accessible terms. Comprehensive educational resources, like interactive guides, explainer videos, and user-friendly blogs, can help demystify the crypto world.

Coinbase, a leading cryptocurrency exchange, is a notable example. It uses Coinbase Earn, an educational program that rewards users for learning about different cryptocurrencies1. This initiative not only educates users but also incentivizes learning, making the process enjoyable and beneficial.

Community Support and Engagement

Building robust community support systems can significantly improve CX in Web3. Forums, social media groups, and chat platforms can be invaluable resources for users to learn, share experiences, and troubleshoot problems.

Discord and Reddit communities are thriving examples of such support systems in the crypto world. They provide platforms for users to interact, exchange ideas, and assist each other, fostering a sense of community and shared purpose2.

Enhanced Security Measures

Enhancing security measures is crucial to instilling confidence in users. This could involve developing more secure wallet options, implementing multi-factor authentication, and educating users on safe practices.

“Security is not just a feature, it’s a fundamental aspect of any digital platform. In the realm of cryptocurrency, it’s a critical pillar of customer experience,” says David Schwartz, CTO at Ripple3.

Predictability and Stability

While complete stability might be unrealistic in the dynamic crypto market, efforts can be made to mitigate extreme volatility. Layer 2 solutions, like Optimism and zkSync, can help provide more predictable transaction costs by reducing dependence on gas fees4.

Wrapping Up

The crypto world’s promise of a decentralized future is currently overshadowed by poor customer experience. However, through concerted efforts in education, community support, enhanced security, and market stability, the Web3 landscape can be transformed into a more user-friendly platform.

The journey towards improving CX in Web3 is one of constant evolution, and at Mantra Labs, we’re committed to being a part of that journey. With our deep expertise in creating seamless digital experiences, we’re ready to help businesses navigate and thrive in this exciting new frontier of Web3.

Published on Jan 30, 2025

Updated on Feb 4, 2025

Let’s rewind the clock for a moment. Thousands of years ago, humans had a simple way of keeping tabs on things—literally. They carved marks into clay tablets to track grain harvests or seal trade agreements. These ancient scribes kickstarted what would later become one of humanity’s greatest pursuits: organizing and understanding data. The journey of data began to take shape.

Now, here’s the kicker—we’ve gone from storing the data on clay to storing the data on the cloud, but one age-old problem still nags at us: How healthy is that data? Can we trust it?

Think about it. Records from centuries ago survived and still make sense today because someone cared enough to store them and keep them in good shape. That’s essentially what data observability does for our modern world. It’s like having a health monitor for your data systems, ensuring they’re reliable, accurate, and ready for action. And here are the times when data observability actually had more than a few wins in the real world and this is how it works

How Data Observability Works

Data observability involves monitoring, analyzing, and ensuring the health of your data systems in real-time. Here’s how it functions:

Data Monitoring: Continuously tracks metrics like data volume, freshness, and schema consistency to spot anomalies early.
Automated data Alerts: Notify teams of irregularities, such as unexpected data spikes or pipeline failures, before they escalate.
Root Cause Analysis: Pinpoints the source of issues using lineage tracking, making problem-solving faster and more efficient.
Proactive Maintenance: Predicts potential failures by analyzing historical trends, helping enterprises stay ahead of disruptions.
Collaboration Tools: Bridges gaps between data engineering, analytics, and operations teams with a shared understanding of system health.

Real-World Wins with Data Observability

1. Preventing Retail Chaos

A global retailer was struggling with the complexities of scaling data operations across diverse regions, Faced with a vast and complex system, manual oversight became unsustainable. Rakuten provided data observability solutions by leveraging real-time monitoring and integrating ITSM solutions with a unified data health dashboard, the retailer was able to prevent costly downtime and ensure seamless data operations. The result? Enhanced data lineage tracking and reduced operational overhead.

2. Fixing Silent Pipeline Failures

Monte Carlo’s data observability solutions have saved organizations from silent data pipeline failures. For example, a Salesforce password expiry caused updates to stop in the salesforce_accounts_created table. Monte Carlo flagged the issue, allowing the team to resolve it before it caught the executive attention. Similarly, an authorization issue with Google Ads integrations was detected and fixed, avoiding significant data loss.

3. Forbes Optimizes Performance

To ensure its website performs optimally, Forbes turned to Datadog for data observability. Previously, siloed data and limited access slowed down troubleshooting. With Datadog, Forbes unified observability across teams, reducing homepage load times by 37% and maintaining operational efficiency during high-traffic events like Black Friday.

4. Lenovo Maintains Uptime

Lenovo leveraged observability, provided by Splunk, to monitor its infrastructure during critical periods. Despite a 300% increase in web traffic on Black Friday, Lenovo maintained 100% uptime and reduced mean time to resolution (MTTR) by 83%, ensuring a flawless user experience.

Why Every Enterprise Needs Data Observability Today

1. Prevent Costly Downtime

Data downtime can cost enterprises up to $9,000 per minute. Imagine a retail giant facing data pipeline failures during peak sales—inventory mismatches lead to missed opportunities and unhappy customers. Data observability proactively detects anomalies, like sudden drops in data volume, preventing disruptions before they escalate.

2. Boost Confidence in Data

Poor data quality costs the U.S. economy $3.1 trillion annually. For enterprises, accurate, observable data ensures reliable decision-making and better AI outcomes. For instance, an insurance company can avoid processing errors by identifying schema changes or inconsistencies in real-time.

3. Enhance Collaboration

When data pipelines fail, teams often waste hours diagnosing issues. Data observability simplifies this by providing clear insights into pipeline health, enabling seamless collaboration across data engineering, data analytics, and data operations teams. This reduces finger-pointing and accelerates problem-solving.

4. Stay Agile Amid Complexity

As enterprises scale, data sources multiply, making Data pipeline monitoring and data pipeline management more complex. Data observability acts as a compass, pinpointing where and why issues occur, allowing organizations to adapt quickly without compromising operational efficiency.

The Bigger Picture:

Are you relying on broken roads in your data metropolis, or are you ready to embrace a system that keeps your operations smooth and your outcomes predictable?

Just as humanity evolved from carving records on clay tablets to storing data in the cloud, the way we manage and interpret data must evolve too. Data observability is not just a tool for keeping your data clean; it’s a strategic necessity to future-proof your business in a world where insights are the cornerstone of success.

At Mantra Labs, we understand this deeply. With our partnership with Rakuten, we empower enterprises with advanced data observability solutions tailored to their unique challenges. Let us help you turn your data into an invaluable asset that ensures smooth operations and drives impactful outcomes.

Problems of Customer Experience in Web3: Unmasking the Paradox of the Crypto World