On December 2, Metaverse CTO Chen Hao was invited to participate in the Technology Salon sponsored by 8BTC and delivered a speech titled “How can Blockchain Technology Solve the Dilemma of User Privacy?”. Chen Hao also set forth his views on blockchain security from the perspective of digital identity.

First, defining digital identity. Usually when we are asked “who are you”, we will present an ID card or driver’s license to prove our identity. However, these items do not truly represent an individual’s identity; they are merely one step in the identity verification process. Rather, identity should be the collective term for the objective, sequential record of all events linked to an individual or entity. This set of records possesses one or more characteristics and serves two core functions: verification and authorization. To go one step further, digital identity refers to the abovementioned definition of identity occurring on digital systems or the Internet.

Digital identity on the blockchain refers to a set of records on-chain containing identity ledgers formed from different aspects of one’s identity that can be distinguished through a unique identifier (DID).

Second, user privacy and anonymity. Chen Hao believes that user privacy should not be confused with anonymity. User privacy is a type of concept or data describing the personal boundaries arising for societal perception — for example our family relationships and mobile numbers are often considered personal information. On the other hand, anonymity is a type of functionality that indicates that our personal data remains anonymous.

Regarding the relationship between user privacy and anonymity, Chen Hao holds that anonymous items may not necessarily represent one’s digital identity, but digital identities must be anonymous. In other words, digital identities are a subset of anonymous information. Hence, in order to extend the concept of anonymous items to digital identity, boundaries must be defined. This will take the form of a dataset, similar to the concept of Personally Identifiable Information (PII) in the United States. As for sensitive information, Chen Hao does not recommend that they be placed on the blockchain, but on identity hubs. These so-called identity hubs refers to agents with identity verification capabilities (such as wallets and hardware devices) used to access the blockchain network. Once users are verified by the agent, they can use the data and functions of digital identities on the blockchain.

Finally, digital identity and anonymity. After comparing three digital currencies providing anonymity — Dash, Monero and Zcash — Metaverse selected the anonymity methods used by Monero and Zcash. The anonymity of Monero is reflected in its Stealth addresses and ring signatures, while Zcash supports zero-knowledge proofs.

Digital identity not only refers to the digital identity of individuals but also to that of devices in the Internet of Things (IoT). As organizational datasets, they require public supervision and must be openly accessible. Digital identities in relationships of mutual trust can share a portion of their data or all of it. Most importantly, digital identities can give rise to new Blockchain as a Service (BaaS) applications on the basis of these relationships of mutual trust.

Chen Hao put forward some brand-new ideas about the concept and implementation of digital identities, which aroused great interest amongst the audience. In the last segment of his speech, Chen Hao patiently answered questions from the audience.

At the final roundtable session, the guests in attendance held heated discussions about consensus algorithm selection, the impact of quantum computers on cryptography as well as the need for blockchains to be open source.

Highlight replay address: http://www.itdks.com/eventlist/detail/1735