MYID for Web 3.0

We need a cross-chain identity, a user picks identities from different chains to be linked together, then on-chain data of linked identity are collected and quantified, and eventually, a user could provide a cross-chain identity as a first-order logic for different networks and DApps. With such a cross-chain identity, blockchain projects could offer dedicated graded services/functions according to the identity’s quantified data.

The cross-chain identity as a first-order logic enables validation and accreditation of identities and also could provide a single sign-on with linked identities. It completes the missing part in the pseudo-anonymous networks and is essential for the development of DApps in Web3.0.

DID aggregation is the process of integrating a wide range of digital identities from multiple networks. Our definition of decentralized identity is conforming to the W3C standard, which specifies that “a decentralized identity is a globally unique persistent identifier that does not require a centralized registration authority because it is generated and/or registered cryptographically.” Because different decentralized systems have different DID standards, it’s critical to well integrate these standards when linking digital identities. The demand for integrated identities data is expected to largely come from decentralized applications that are fueled by personal identity data. Besides interoperability, the identifier plays a critical role in scenarios where the server requests the client for identity data, such as KYC, credit scores, or credentials, in an attempt to provide services. In the past and present, many applications require users to provide their information from third-party applications or directly track user activities to obtain the information they need. This inevitably compromises users due to privacy invasion and personal data breach.

With decentralized identifiers and privacy-preserving storage, we have successfully protected data sovereignty in a decentralized system. However, identity data is scarce and scattered, making the corresponding application scenarios too narrow. It’s a huge challenge in a decentralized system where we attempt to introduce broader scenarios, such as credit lending in DeFi, personal reputation in chain governance, and decentralized customized recommendation algorithms in social media. Currently, we don’t have an adequate amount of data to support such broad scenarios. As for collecting data from other networks, reading this data involves complex work of DID verification and code parsing, which is beyond inconvenience especially if there are multiple data sources.

Specifically, as regard reliable DID data, we’re facing problems as below:

Lack of data source

Lack of relative APIs to interact with data registries

Need to resolve every DID methods and validate credentials

Need to learn and comply with new data format

Need to bear single point of failure from centralized service endpoints

Today, we see plenty of decentralized applications have an independent DID mechanism for collecting user identity data, which often serves the same purpose and is repetitive. For example, to prove the ownership of a Twitter account, typically we make the account owner send a particular message to the platform. It’s commonly seen that this same verification mechanism is developed repeatedly for other applications. I.e. Keybase, Polkadot Registrar social network identity authentication. For many development teams, building their own functional components for identity data takes lots of time, effort, and money, as well as distracting the team from their main goals. It would bring great convenience if we have a validated and trustable source of data.

As people have already generated massive amounts of data in various decentralized systems, a way must be found to connect this data so that they can flow across different systems and platforms, while user privacy and data sovereignty are preserved. This approach can truly reflect the core value of Web3. Meantime, the advent of blockchain provides an effective underlying data registry infrastructure that enables data to be indexed and retrieved, as well as bolstering the growth and adoption of DID.