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Humanity has always had a cautious relationship with technology. That said, we’re living in an advanced digitized era where technologies such as blockchain and artificial intelligence (AI) are taking over various aspects of our lives and jobs.
Indeed, AI has numerous benefits, including the automation of tasks, leading to increased efficiency, accessibility and accuracy.
However, AI also has a dark side. As the technology continues to evolve at lightning speed, it raises serious questions of privacy and security. Remember that AI is based on data collected across the big data spectrum.
The drawback is that this data, if accessed by malicious players, can be used for harmful activities, such as cyberattacks, leading to the theft of human identities. Further, in case of a data breach, sensitive information can leak, leading to serious loss of privacy.
So, how can you keep your identity safe in an AI-powered Proof of Individuality era? The answer lies with SelfKey Network.
Let’s explore SelfKey further, and find out how it’s leveraging blockchain technology to create a secure method of identity verification using AI.
Key Takeaways:
SelfKey is a digital identity blockchain protocol that uses the Proof of Identity (POI) concept to protect personal data and give users control over their digital identities.
The fully decentralized Proof of Identity mechanism is managed by the SelfKey DAO.
SelfKey has added an AI-driven identification engine into its POI system to improve the privacy, accuracy, security and scalability of its protocol.
SelfKey is a blockchain-based, AI-powered digital identity system seeking to help individuals and corporations regain ownership of their identity data by creating a private, secure and decentralized identity protocol.
To achieve this, SelfKey has created SelfKey DAO, based on the concept of decentralized autonomous organizations (DAOs) in blockchain, which allow collaborations between individuals to ensure democratic decision-making with no central authority.
The SelfKey DAO’s architecture consists of an AI-powered Zero Knowledge KYC system that lets users leverage web3 to provide their identity without risking their personal data. Further, through the SelfKey DAO mechanism, active participants can earn highly customizable SelfKey NFTs for participating in securing the network.
Central to any identity verification system is a credential, which is evidence that corroborates an individual’s information. Unlike traditional credentials, which are often crippled by the challenges of forgeries and authentication, SelfKey provides users with verifiable on-chain credentials that can be used across web3 platforms.
SelfKey solves the challenges of a centrally managed identity system in which large databases storing the info are easily prone to hackers, data breaches and restricted access by the owners.
Furthermore, with SelfKey, individuals and corporations get back control of their identity data through the network’s concept of Self-Sovereign Identity, which ensures privacy, security, control and transparency when handling digital identities.
There are two tokens associated with the protocol — KEY, the native utility token for the platform, and SELF (formerly known as LOCK), which helps with governance on the platform.
The digital identity space is constantly evolving, and SelfKey has continually updated its white papers to adapt to these changes. As such, the SelfKey network now has three white papers: the SelfKey white paper, the POI white paper, and the latest, the SelfKey DAO white paper, which introduces the AI-powered identification engine.
At the core of SelfKey’s operation is the Self-Sovereign Identity (SSI) mechanism. SSI leverages blockchain technology to issue corresponding private and public keys stored in a digital identity wallet (SelfKey Identity Wallet), which functions as a user’s unique “digital signature” for online transactions.
Further, SelfKey has tapped into the concept of Proof of Individuality so decentralized applications (DApps) that operate as DAOs have better governance and remain secure from Sybil attacks.
Proof of Identity (POI) is a mechanism by which individuals only log in to a DApp one time by proving their individuality. Those who attempt to log in multiple times are quickly detected and halted.
Once you join SelfKey’s POI system, you take and upload a selfie, which is checked by automated machine learning algorithms, and you’re issued a temporary credential upon acceptance.
However, the full credential is issued once you stake KEY tokens as collateral against this credential, and it now becomes a Metaproof.
Additionally, SelfKey has combined POI identity verification on its platform with NFTs, featuring the issuance of a Living NFT, which is a unique avatar used to identify a person.
This avatar is custom-minted so that a user can choose to include personal information in it, and use it to prove certain attributes about themselves.
The SelfKey Network has recently integrated AI into its POI system to provide an innovative way to perform checks against the uniqueness of Living Avatar NFTs and POI credentials.
As the web3 space continues to evolve at a rapid pace, SelfKey has decided to revise its POI system to integrate a powerful AI engine into its identity system. The purpose of this move is to keep up with the ever-changing identity verification landscape. Accordingly, the SelfKey DAO will govern the entire SelfKey system, including the AI-powered identification system.
Some of the changes that come with the AI-driven identity verification system will impact the Living NFTs (now called Soulbound NFTs) and Metaproofs (credentials that can be staked). Furthermore, the restructured on-chain credential system will be called SelfKey ID, which will issue soulbound tokens (SBT) that house all the credentials a particular user generates.
In the old identity verification framework, trust was the critical factor binding all three parties involved in the process — i.e., the identity owner, the relying parties (businesses) and verifiers (claims issuers).
However, in the digital era, such a framework is prone to severe weaknesses, since people can use technology to alter their faces, or simply look different from their selfies.
The SelfKey DAO provides a solution to this challenge through the use of a Zero Knowledge (ZK) KYC system consisting of ZK Filters and Encrypted Data Vaults (EDVs). ZK Filters allow a relying party to carry out KYC using a risk-based approach to gauge an identity’s attributes without receiving or storing the identity owner’s data. Furthermore, EDVs allow you to self-host your personal identity data, which gives you control over it and sovereignty against who can access it. This also solves the fundamental blockchain issue of preserving user privacy despite decentralization.
With the additional AI aspect in the SelfKey DAO, humans no longer have to verify selfies, thus significantly improving privacy, accuracy, security and scalability. Instead, humans will now play an arbitration role between the three parties by challenging bad credentials.
To use SelfKey, you need to download the SelfKey Identity Wallet that houses your digital identity. The wallet will contain your public/private keys which you can use as your digital identity online.
You’ll then need to create identity attributes, such as your date of birth and nationality, which are required to purchase products and services on the SelfKey Marketplace. These attributes (claims) will be attested, and the attestations will be stored in your wallet.
Once your credentials have been verified, you’ll need to connect to the KeyFI platform, which allows staking against your credentials. Once you launch the KeyFi app, click to connect your wallet.
You’ll then see a pop-up with different wallet providers; MetaMask, WalletConnect and SelfKey. Opt for SelfKey, and then use your SelfKey password to log in.
Two tokens power the SelfKey network: KEY and SELF. KEY is the native utility token for the protocol. Its use cases include:
Paying for services within the protocol
Staking credentials
Governing and empowering SelfKey DAO participants
Giving users control over their digital identity and ensuring their privacy
On the other hand, the SELF token is used to help users track what they’ve staked and for how long. They’re basically a reputation signal, since they’re minted by users who have staked against their real identities. These have no intrinsic value, but can be used for governance.
As of Mar 27, 2023, KEY’s price is $0.0098, a 4.3% rise from its daily low. KEY’s lowest token price was $0.00054 on Apr 15, 2020, while its highest price was $0.043 on Jun 30, 2018.
Crypto price prediction experts are cautiously bullish about the future price of KEY. According to price analysts at DigitalCoinPrice, the KEY token price could hit $0.033 in 2025, and rise to a maximum price of $0.0968 in 2030.
However, price forecasts on PricePrediction are slightly more bullish, with the price potentially hitting 0.031 in 2025 and rising to $0.20 by 2030.
The issues of privacy and security of personal data is prevalent, especially in the fast-paced technology world. SelfKey has created an innovative POI system to help with identity verification while still preserving sovereignty and privacy over your data.
Further, the world is gradually shifting toward AI-driven operations. Hence, SelfKey’s incorporation of an AI engine into its identity ecosystem makes the platform relevant to the web3 movement.
Therefore, investing in KEY could be fruitful in the future as the protocol becomes a critical player in the AI-driven identity systems niche.
Despite this bullish outlook, we highly recommend that you do your own research before investing in KEY or any other altcoins in the crypto space.
The SelfKey platform is constantly evolving, and seems determined to provide identity owners with advanced solutions to help them keep sensitive KYC data secure. Its SelfKey DAO mechanism can be used by DApps that rely on the community for governance.
The incorporation of AI into its identity verification system enhances the platform’s POI mechanism. It also ensures that all the parties involved work with transparent and accurate data.
Indeed, SelfKey is relevant in an era where people need to protect their data privacy, and the protocol is heading in the right direction toward achieving this sovereignty.
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