Lemmy and Mastodon feel like the real web3.
I think this decentralization and federation is what web3 is all about, without all the corporations calling everything to do with monkey pixel art that costs a million dollars "web3"
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Now we just need a federated Youtube replacement.
There actually already is! PeerTube is the fediverse alternative to YouTube, hopefully it'll be able to grow more sometime in the near future.
I have a hard time imaging a free, open video hosting service will ever succeed. YouTube's infrastructure is insane, and that's reflected in their costs.
Any sustainable video hosting platform is going to need a solid monetization plan because the costs of hosting and streaming exabytes of video is just not sustainable on donations. Platforms like Floatplane or Nebula seem like good alternatives, but they've chosen for a subscription-only model - which I personally think is the fairest solution.
I agree that it's difficult, although the whole point of having a federated platform is that no single node would have to host exabytes themselves but each instance could host a certain amount of videos that are relevant to its topic. This of course comes with other downsides but I don't think there's ever going to be a perfect solution.
Storage is cheap but at scale the bandwidth requirements are too much for hobbyists to handle