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Web3 offers enhanced data privacy through the use of blockchain's decentralized nature and cryptographic techniques. Unlike traditional centralized systems, where personal data is stored in a single database vulnerable to breaches, Web3 enables users to control their own data. Through zero-knowledge proofs (ZKPs) and differential privacy, users can prove ownership of certain data without revealing the underlying information. Self-sovereign identity (SSI) systems enable users to manage and share their personal information securely, while blockchain ensures that data is tamper-proof. Web3 projects like Filecoin and IPFS allow users to store data in a decentralized way, reducing the risk of unauthorized access and providing greater control over data.

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