Workshop experts explore issues arising from implementing blockchain identity

Crazy Comment : At last week's 2016 Consensus Conference, seminar experts explored the issues that need to be considered when using blockchain to build an identity recognition system. Christopher Allen, chief architect of Bitcoin sidechain company Blockstream, believes that the combination of blockchain technology and identity recognition is a double-edged sword. The construction of an identity recognition system requires finding a strong blockchain technology, such as the Bitcoin blockchain. If you build an application on a weak blockchain, if an accident occurs, the entire system will collapse.

Translation: Nicole

Many people are excited about the potential use of blockchain for identity. For the first time, an individual can create a single, authentic identity that cannot be altered across the entire network.

At last week’s Consensus 2016 conference, thought leaders who have been researching identity for years raised issues that need to be considered when building identity systems using blockchain.

Christopher Allen, chief architect at bitcoin sidechain company Blockstream, echoed other panelists’ views on dual identities on blockchains.

Christopher Allen

He said:

“Blockchain technology combined with identity is a double-edged sword. The upside is that we can hold powerful people accountable for their actions. Everything that happened in the 2008 financial crisis could have been avoided by using blockchain-based identity or identity services. The downside is that we turn identity into a weapon against the powerless.”

Allen's Aadhaar card program, which was passed in India in March, is an example of both positive and negative effects.

On the other hand, he explained, the ID card system allows one billion citizens to prove their identity, which is conducive to fair elections and tracking the abuse of power.

But on the other hand, he noted that in 1930, the Netherlands had the best civil service in Europe. When the Nazis invaded, he said, far more Dutch Jews died than German Jews.

He said:

“The Dutch knew exactly who the Jews were, who their friends and family were, and where they worked.

From this point of view, each individual is the source of their identity information and everyone can manage identity information.

No one can revoke or charge for another person’s identity.”

I represent my identity

Paul Ferris, founder and CEO of London-based identity collaboration ObjectChain Collab, explained that identity information is not static; it evolves over time.

He said:

“The changes in my identity over time will also become part of my identity information.”

He explained that the flexibility of personal identity, the ability to choose personal information, and the ease with which information can be moved around make it easier for people to move around in foreign countries.

Allen calls this "self-sovereign identity," and it solves the problem of adults buying alcohol. Currently, if someone wants to buy alcohol, they must show his or her ID, which includes address, age, hair color, eyeglass color and other personal information.

He said:

"They just need to know that I'm allowed to drink."

With self-sovereign identity, you can say that.

Using blockchain technology for identity verification

Muneeb Ali, co-founder of Blockstack Labs, explained the technical limitations of building an identity platform on the blockchain, using the experience of creating Onename.

Muneeb Ali

He explained:

“ You can’t build other services until you solve decentralized identity. That’s the first thing that needs to be solved. But building a simulation or a proof of concept is very different from running a production system.”

Ali noted that developers are treating blockchain technology as an end-all, be-all, end-all. He said:

“You have to be careful when you use blockchain technology and not put too much information in it because you’re going to run into a lot of scalability issues.”

He noted that choosing the most robust blockchain technology for identity-based authentication is crucial. He said:

“If you build an application on a weak blockchain, if something unexpected happens, the whole system will collapse.”

“The Bitcoin security model has been proven to be very strong, with a $6 billion reward for a vulnerability.”

Gain adoption

During the Q&A session, the panelists answered a series of questions about making these ideas a reality. David Birch of Consult Hyperion found that it would take a long time for such projects to be implemented.

Justin Newton, co-founder and CEO of blockchain identity startup Netki, cautioned that getting governments to work will also take time.

Justin Newton

He said:

"You can't just walk into a government office and ask them not to use their own identification system and trust yours."

Although there are still many obstacles, Allen is optimistic about the implementation of new identification systems in developing countries. He said that in general, people in less developed areas have completely stopped using desktop computers and are now using mobile devices instead.

He said:

"In fact, the governments in these developing countries that have some autonomy don't know what kind of mobile phones they have. When they communicate with others, they use prepaid calls or text messages."