Libra – A solution to its identity problem

libra identity problem

Facebook announced the creation of a cryptocurrency named Libra. Running on a permissioned blockchain, the governance model is backed by The Libra Association, composed of Visa, Mastercard, PayPal, Uber, Spotify and several others.

Libra will be exchangeable via Whatsapp and Facebook Messenger and it will allow for payments in “offline” locations. 

According to the Associations’ website, its mission is to create “a simple global currency and financial infrastructure that empowers billions of people”. This includes, as they mention, the 1.7 billion unbanked

In theory, Libra could provide a useful solution to all those with difficult access to money and banking services. People such as the unbanked, refugees or displaced people who lost access to those services. As Tykn’s CEO, Tey Al-Rjula, has stated several times: “in aid, time is lives”. Some people cannot wait for Monday to access funds because banks do not work during the weekends.

Why Libra may only be effective with the well established and leave out the marginalised they proposed themselves to help

Many things are still to be understood and clarified prior to its 2020 release but one thing is certain: to use Libra, a verification with a government issued ID will have to be made. But this won’t solve the problem of the unbanked and the refugees. Globally, 1.2 billion people do not have an identity recognised by a sovereign state. Either because they never had one in the first place or because their identity was lost due to inefficient identity registration procedures, wars or disasters. A case such as Tykn’s CEO who, at the age of 5, had his birth certificate destroyed because the birth registries in Kuwait were burnt during the Gulf War. Many of the unbanked and the refugees The Libra Association (and Facebook) want to help are the same who don’t own the necessary identifying document that will allow them to use Libra. Identity, the missing layer that already prevents these people from accessing services such as healthcare, education or banks, will again be the problem.

Within Libra’s Whitepaper, the only mention to identity is a vague statement: “An additional goal of the association is to develop and promote an open identity standard. We believe that decentralized and portable digital identity is a prerequisite to financial inclusion and competition”. This does not offer any indication of how The Libra Association is planning on including the unidentified.

How could then Libra help the unbanked and the refugees?

By implementing Self-Sovereign Identity principles and allowing for trusted organisations within the Libra ecosystem to issue Verifiable Credentials.

If a trusted NGO within the Libra Association could issue a Verifiable Credential to, say, a refugee, the other organisations in the Libra ecosystem would be able to trust that credential without even having to check the actual data contained within it. They would only need to use the blockchain used for the identity infrastructure (one such as Sovrin) to check the validity of the attestation and attesting party (such as that NGO) from which they can determine whether to validate and accept the credential.

Each user would keep his own data, those Verifiable Credentials, on his own personal digital identity wallet. Private and secure.

The innovative technology of Self-Sovereign Identities would allow trust between all the parties within the Association, while guaranteeing the authenticity of the credentials and the privacy and security of users. No personal data would be stored on any blockchain, or centralised servers, and each user would be the single owner of their own data.


If you’re part of an organisation and wondering how you could issue private and secure verifiable credentials on blockchain, click here.

10 Digital Identity experts you should follow right now

Digital Identity and Self-Sovereign Identity are some of the most exciting fields in technology and innovation right now. We round up a list of 10 Digital Identity experts that you should follow if you want to be up to date on all the cutting edge developments in this space.

Christopher Allen

Christopher Allen is a Blockchain & Decentralized Identity Architect, Internet Cryptography Pioneer and co-author of the TLS Security Standard.

Allen wrote the influential The Path to Self-Sovereign Identity text in which he shares his “vision for how we can enhance the ability of digital identity to enable trust while preserving individual privacy”.

“Self-Sovereign Identity is the next step beyond user-centric identity and that means it begins at the same place: the user must be central to the administration of identity. That requires not just the interoperability of a user’s identity across multiple locations, with the user’s consent, but also true user control of that digital identity, creating user autonomy. To accomplish this, a self-sovereign identity must be transportable; it can’t be locked down to one site or locale.” – The Path to Self-Sovereign Identity

@ChristopherA

Kim Cameron

Kim Cameron is the former Chief Architect of Identity at Microsoft. Cameron wrote the seminal paper The Laws of Identity which aims to highlight the problem of the Internet having been built without means to know who and what we are connecting to and its possible solutions. He is described by Phil Windley, Chairman of the Sovrin Foundation as a “being from the future” as his 2005 Laws of Identity are only now being understood.

“Digital identity requires (…) a unifying identity metasystem that can protect applications from the internal complexities of specific implementations and allow digital identity to become loosely coupled. This metasystem is in effect a system of systems that exposes a unified interface much like a device driver or network socket does. That allows one-offs to evolve towards standardized technologies that work within a metasystem framework without requiring the whole world to agree a priori.” – The Laws of Identity

Kim’s Blog

Drummond Reed

Drummond Reed is Evernym’s Chief Trust Officer. Evernym was born to solve the problem of siloed identity. Massive databases of personal data that become honey pots for hackers and liabilities for the database owners. The solution? An identity each one of us can own. A Self-Sovereign Identity.

Reed was also the co-founder and co-author of the Respect Trust Framework, which was honored with the Privacy Award at the 2011 European Identity Conference.

Evernym are the inventors and original Founding Steward of Sovrin, the global public network enabling portable and private digital identity for all. Tykn is proudly one of Sovrin’s Stewards.

What Self-Sovereign Identity “means is that every digital relationship you have will be unique, private, and secure. There is no need to log in “with” anybody. This is a new type of relationship that has never been possible before and it is set to revolutionize the way that we interact with each other online.” – Why Login at all?

@drummondreed

Heather Vescent

Heather Vescent is, in her words, “obsessed with this new technology”, Self-Sovereign Identity, that uses identity standards that will allow for interoperability. For her, digital identity is a base layer where everything else is built on top and people are now starting to realise its importance. According to Heather, banking, healthcare and Internet applications have been building their own siloed identity solutions that are not interoperable between each other and Self-Sovereign Identity can change that.

Heather Vescent owns and operates a foresight and strategic intelligence consultancy and co-authored Your Guide to Self-Sovereign Identity with our next person you should follow, Kaliya Young.

@heathervescent

Kaliya Young

Kaliya, aka Identity Woman, has “committed her life to the development of an open standards based layer of the internet that empowers people”.

Her masters report, Domains of Identity, is a framework that explains the 16 domains of identity and how Self-Sovereign Identity can essentially change the relationships within those domains. Kaliya has a Master of Science in Identity Management and Security and has been named one of the most influential women in tech by the Fast Company Magazine.

“To get to this future we need to coordinate the development of common building blocks: code, infrastructure and protocol. We must ship interoperable products. And we need to work towards alignment, not control.”The Domains of Identity Presentation

@IdentityWoman

Phil Windley

Phil Windley is the chairman of the Sovrin Foundation as well as the co-founder and organizer of the Internet Identity Workshop. He served as CIO for the State of Utah and holds a Ph.D. in Computer Science from the University of California.

“Because there’s no central authority controlling DIDs and because people can issue private DIDs themselves, they constitute a truly decentralized means of not only creating identifiers, but using them for mutual authentication, privacy preservation, and secure communication of almost any information parties need to share.” – Decentralized Identifiers

@windley

Kim Hamilton Duffy

Kim Hamilton Duffy is the CTO of Learning Machine and Principal Architect of Blockcerts (that collaborated with the MIT Media Lab to develop an open standard for issuing and verifying credentials on a blockchain). She also co-chairs the W3C Credentials Community Group and is a member of the Rebooting Web of Trust board and the Steering Committee for the Decentralized Identity Foundation.

“It is time to evolve data management paradigms from those based on a centralized web architecture to those functioning from the decentralized web. Only in this way can individual self-sovereignty be guaranteed in a world where centralized authorities exert irreversibly amplifying control over digital infrastructures, and security breaches will only become more common.”The Time for Self-Sovereign Identity Is Now

Kim is also a researcher at the “Digital Credentials Initiative” at the MIT.

@kimdhamilton

Michiel van der Veen

Michiel van der Veen is the Director of Innovation & Development at the National Office for Identity Data in the Ministry of the Interior of The Netherlands. He is also an identification, biometrics and privacy-by-design expert for the ID4D program at the World Bank Group.

“In addition to digital ID, Biometric ID methods are also promising in poor and developing countries where scores of people still go unregistered. According to the World Bank, nearly a billion people are still unable to prove their identity, and millions more have forms of identification that cannot be reliably verified or authenticated.” –Privacy-by-design leads the way in keeping your online identity safe

@MvdVan

Tim Bouma

Tim Bouma is a Senior Policy Analyst focused on Identity Management for the Treasury Board Secretariat of the Government of Canada.

“My belief that humans still need to be involved in that first-time or “origin” registration of creating the digital identity and linking to the real person. This is the hardest part of creating a digital identity. This origin registration may be an expensive and inconvenient process to carry out, but with the value (and potential harm) associated with it — a digital identity that is, or not, under your control — the fully digital alternatives may be too risky (today, at least). However, once that origin registration is carried out, your digital identity can be easily assured on an ongoing basis, using cryptography, verifiable claims, etc. But that digital identity, to be trusted, must be traceable back to that origin registration.” –Digital Identity – the hardest part

@trbouma

Darrell O’Donnell

Darrell O’Donnell is the CTO at CULedger and Technical Advisor to multiple top-level agencies, departments, and services (including Canada’s and the US’ public safety and homeland security department) in the fields of blockchain and digital identity.

“Here’s the funny thing – we’re realizing that companies never really needed to own our digital identity. They did it out of necessity. Businesses are beginning to figure out what this means – and those that are wrapping their heads around blockchain identity are poised to succeed. The best are realizing that Blockchain Identity, particularly Self Sovereign Identity, is shifting the business view of digital identity. Digital identity is shifting to become a revenue driver, cost cutter, and even an asset.”Blockchain Identity for Dummies

@darrello


Dig deeper on: why blockchain is of such importance to identity management.

Or learn more about Tykn’s Digital Identity Management System.


tykn digital identity management

Mozambique: How digital identities can help in case of a natural catastrophe

Last Thursday, cyclone Idai left a devastating trail in Mozambique. With more than 400 deaths accounted for, the International Red Cross estimates more than 400.000 people were left homeless. The United Nations is describing it as “the worst climate disaster ever in the southern hemisphere”.

The Red Cross teams on sight are distributing shelter supplies to affected families and chlorine tablets to purify the water. Diseases transmitted by contaminated water are one of the biggest concerns in case of a catastrophe where normal water supplies are interrupted.

“Many families have lost everything” according to the Red Cross spokesperson, Jamie LeSueur. If they also lost their documents or if the governmental identification processes have been compromised, not being able to prove who they are can cause irreparable damage to their short term survival.

Mozambique has the third highest smartphone adoption rate in the African continent (sources 1, 2 and 3) meaning that digital identities could play a pivotal role in easing people’s suffering in a natural catastrophe scenario. This is how:

1) Aid expedition

Humanitarian aid distribution – whether shelter, food or cash based assistance – requires a strong identification layer. How else could an NGO account for what aid has been distributed and to whom?

Current identity management systems are paper-based and make this process reliant on vouchers. Paper vouchers. This not only slows the aid distribution process – and in a scenario like this time is lives – but it also jeopardizes the quality of aid provided. If a citizen is to lose their voucher they would have to start the aid request process all over again. Worse: unfortunately it is quite common, in a scenario like this, that vouchers are stolen or subject to fraud. In a paper-based system, NGOs have no means to efficiently combat wrongful behaviours.

Digital identities will provide an efficient way for an affected person to request aid. A trusted organisation can quickly issue a digital credential that verifies that person’s identity and allows them faster access to their services. All vouchers are digitised and, alongside the identity credentials, are held in a digital identity wallet in that person’s mobile device. Digital vouchers can’t be lost or stolen and provide an NGO with important and reliable information about who has been aided.

Digital identities leveraging distributed ledger technology provide a private and secure channel to share and request personal data to and from an organisation.

2) Displacement to another city/country

In catastrophe scenarios like this, the people affected are often displaced to another city or country. They become refugees. Not being able to prove who they are prevents them from accessing services like healthcare, education or banking and excludes them from society.

The innovative technology of Self-Sovereign Identity allows for a trusted organisation such as the government or an NGO to issue a digital credential attesting to that person’s identity. Through the use of distributed ledger technology that credential is verified with a signature from that organisation. A signature that cannot be deleted or subject to fraud.

When verifying a persons’ affected identity, the verifier does not need to verify the accuracy of the data contained in the credential. The verifying party will validate the issuers’ signature who issued and attested to this credential to then decide whether he trusts the issuers’ assessment about the accuracy of the data.

A process like this, that eliminates the possibility of identity fraud and where everyone in the network has the same source of truth about which credentials are still valid and who attested to the validity of the data inside the credential (without revealing the actual data) will speed and facilitate identification processes between governmental departments and between governments. Accounting for less bureaucracy, less need for data management and possible frauds.

Above all, this will ease people’s suffering as it will allow them to quickly access services, such as healthcare or banking, and be included in society again. Their identities and their access to human rights are protected. Right there on their mobile devices.

More on Tykn‘s digital identity platform here.


tykn digital identity management system gif
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