3 Important Things to Know About Anonymous Identity Protocol UNIKA?
Starting from Web 3.0 creation in 2014, there have been talks about how innovative the network would be. It claims to bring transparency to the system and privacy to the users’ data. Unlike Web 2.0 when users’ data is owned by tech giants, Web 3.0 provides end-users with total control over their personal data. Such an opportunity is powered by blockchain technology that allows users to stay anonymous and the only fact known to the community is the user’s blockchain address. But at the same time, what is beneficial for one person, could be easily mistreated by the other. Some users abuse the principles of the free and open network which Web 3.0 is supposed to be and are bringing disruption through Sybil attacks, titled DAO elections, token Airdrop scam, etc.
The growth of the fraud scale could endanger the nature of Web 3.0 when a narrow circle of people meddle with the voting and bring to life the decisions not favored by the majority of users as in the case of DAO voting. Also, during Airdrop, some users could provide multiple blockchain addresses to get more tokens. And this is only the tip of the iceberg. When FinTech apps existing in Web 2.0 move to Web 3.0, they will still need KYC and AML protocols, otherwise, it’s impossible to deal with personal data and finances if you cannot confirm the identity of the user on the other side of the line.
Luckily, very soon the Web 3.0 space could become transparent and egalitarian again and Unika takes a hand in it.
What is Unika?
Unika is an anonymous identity protocol designed for Web 3.0. It links users’ blockchain addresses with their biometrics, keeps the data confidential, and doesn’t disclose it to any third parties. The system only validates and stores the biometric data received from the person together with the corresponding blockchain addresses. Unika allows users to enjoy privacy and confidentiality in Web 3.0 and at the same time, any identification request is processed only with the users’ full consent.
How Does Unika Work?
Unika is a decentralized, blockchain-agnostic system and it means that it works with any type of blockchains. First of all, a user who needs to be identified sends a request to Unika. The request is seen by validators receive Unika tokens (NIK) for the identity operations performed. Each request for identification is validated by 11 nodes simultaneously due to the special consensus mechanism based on a smart contract. To mitigate privacy concerns, all Unika programs are run by validators in the Trusted Execution Environment (TEE) to guarantee the integrity and confidentiality of the code and the data loaded inside.
To prove the identity of the user, Unika uses its multimodal biometric system with the facial recognition module provided by default, which is compliant with ISO 30107–3. The system architecture is specifically designed to facilitate the launch of other modules which could be added with time. The biometric data received is stored encrypted in decentralized storage.
Ways Web 3.0 Benefits from Unika?
Unika is a service that could communicate with any platform and any Web 3.0 service provider across all networks. The system receives a request to perform the analyses and replies with a definite answer concerning the authenticity of a blockchain address holder. This could be a request from the DAO platform, a startup planning to distribute tokens through AirDrop, a cryptolending company, or any other entity.
What are the examples of Unika safeguarding transparency and honesty of processes taking place in Web 3.0?
1. DAO Voting
The main idea of DAO voting is to influence the existing situation by giving all members of the blockchain community an opportunity to vote. But what if some people take over this democratic principle and meddle with the voting by providing numerous fake accounts claiming they are created by real people? That’s when Unika rolls up the sleeves and starts to work. First of all, the system needs a list of addresses participating in the voting. Secondly, Unika needs to identify the addresses with unique biometric data of the holder. Thirdly, by connecting real people and their blockchain addresses, the system could easily tell which of the addresses provided by the platform belong to the same person. By doing this, the principle of one person, one vote is observed.
2. AirDrops
Similar to the case regarding DAO voting, Unika could help to ensure that tokens given during Airdrops are received by all individuals equally. Also, the probability of a Sybil attack is eliminated as Unika would know for sure which of the accounts belong to the same person, so entities performing an Airdrop ban all other accounts from participation.
3. KYC and AML
DEX platform users could be subjected to fraud from other participants of the trade. Such cases are not unique and could affect the reputation of the platform. Unika due to its innovative technology and system architecture could help in preventing any malicious actions. It connects users’ addresses in different blockchains and has the potential of highlighting any type of fraud coming from the person behind the addresses on any trading platform across the network.
4. NFT Ownership
Unika solves the problem of NFT ownership across different blockchains. Whoever wants to know whether a particular person with some blockchain address owns an NFT in several blockchains, may send a request to Unika and receive a confirmative or negative answer.
5. Cryptolending
Decentralized Financial services are widely spreading nowadays. Unlike their Web 2.0 analogs with the central authority knowing practically everything about the lenders and borrowers, Defi credit systems are peer-to-peer transactions written in smart contracts. Right now for a person to get a loan, it’s vital to bring a deposit that is bigger than the sum intended for the loan. Unika could help Defi services identify the loaners and build their credit reputation to facilitate loan taking in the future without disclosing any of their private data.
Summing Up
As the Web 3.0 network continues to grow and embrace more and more financial and economic institutions which want to place their businesses there, it’s important to make sure that the space is fraud-free. Unika, the anonymous identity protocol, is a unique solution that is capable of solving these and many other issues. For more information, please, visit the Unika website.
