SelfKey provides an innovative identity management solution to the problems of centralized systems, tedious paper-based KYC processes and financial services accessibility.
CENTRALIZED IDENTITY MANAGEMENT SYSTEMS
You do not own your Identity
As our lives become increasingly tied to the internet and the digital space, we start to have a digital identity. As identities move online – they will need to be proven, mostly with identity documents that are often stored in giant, vulnerable, centralised databases. This may lead to two huge problems:
- Data breaches, exposing people to identity theft. Centralized databases storing a huge amount of identity data and documents are attractive for hackers.
- Identity owners do not control their digital identity. Instead, third parties control it and might misuse their customers’ identity data.
- Oversharing data Identity owners are required to share their ID documents, sharing more information than required, which can be compromised.
Inefficient & Painful KYC
Recent estimates indicate that over $40B USD is spent complying with KYC regulation each year, in addition to the trillions of hours of associated time costs. This cost is necessarily high because relying parties cannot quickly and easily access up-to-date identity data, validate the data, or screen it to satisfy their regulatory requirements. Therefore, relying parties must send new requests to the identity owner, treating every identity owner as a ‘blank canvas’ and forcing them through the fully robust KYC process.
The time and effort expended by one relying party to perform KYC validation checks cannot be reused or recycled and is not leveraged in future requests. If the identity owner decides to change service providers, these same checks need to be completed by the new relying party. The identity data is not “ported” to the new service provider and so ends up being held by multiple providers, many of whom hold redundant, yet still highly sensitive identity data, for individuals who are no longer their clients or customers.
The high cost involved in this procedure creates a barrier to exit when changing service providers, leading to an uncompetitive environment, to the detriment of identity owners, fintech startups, and innovation, generally. It also increases the risk of identity theft for individuals. Furthermore, those who lack identity documents issued by a national government are excluded from commerce completely because of their inability to comply with KYC regulations.
We currently lack digital identity storage that can be managed in a self-sovereign manner.
SelfKey is developing a decentralized digital identity system using blockchain technology, which gives users complete control over their personal identity information, a concept known as ‘Self-Sovereign Identity’.
The gateway into the world of Self-Sovereign Identity is through the creation of a SelfKey digital wallet; the Identity Wallet. This identity wallet is capable of storing personal identity data such as a copy of an individual’s passport photo page, tax numbers, and other unique identifiers such as driver’s licence numbers and proof-of-address information.
When the SelfKey wallet is created, a unique public/private cryptographic key pair is generated for that individual. The premise of public key cryptography is that anyone can encrypt messages using the public key, but only the holder of the paired private key can decrypt the message. Once the SelfKey wallet is created and loaded with cryptographically signed identity documentation, the individual can begin securely sharing their digital identity information in commercial transactions.
With SelfKey, proving identity becomes seamless — and secure. When an individual is asked by their bank to provide a copy of their passport, instead of sharing a physical copy of this document with SelfKey, they’ll simply sign a digital copy of the passport photo page in their wallet using the bank’s public key and deliver it to the bank via the SelfKey network.
As it travels along the SelfKey network, the individual needs not be concerned about their passport information falling into the wrong hands. Because the passport information is cryptographically signed (encrypted) using the bank’s public key, it can only be decrypted once the bank applies its corresponding private key, which is known only to them. To everyone else on the network, only the secure hash of the passport information is visible.
This cryptographic exchange mechanism therefore prevents unauthorised sharing of secured information. For example, if the bank subsequently attempted to share the passport copy with another third party, the document would be unreadable to that third party. Using SelfKey, the individual identity owner is able to retain full control over their personal data while being able to safely and securely share that data with third parties of their choice.
Furthermore, SelfKey will enable a concept called verified claims. This concept allows for a person to prove something is verified by a trusted party without having to reveal the information itself. For instance, a person can prove they are American, without revealing the passport or ID itself. By sharing the claim only (instead of the document) the entire process becomes much safer.
Blockchain technology allows for these verified claims to be shared in a decentralized manner, without a central issuing authority, who would likely store the data in a large database that can be hacked.
These verified claims are reusable attestations that can be used to apply for financial and cryptocurrency related services without having to share your all your information repeatedly. Essentially, you share your verified claims, or attestations, not your digital identity.
The SelfKey Wallet provides the solution to the persistent problems associated with vulnerable centralized identity management systems, tedious paper-based KYC processes and financial services accessibility.
Self-Hosted Data Storage
Secure identity attributes and documents locally, avoiding risk of massive data breaches.
Secure & Private Data Sharing
Share documents through a public/private key mechanism, so the identity owner can rest assured that shared data is only visible to third parties to whom he has given his consent.
Efficient KYC Processes
Request reusable identity attestations to qualified certifiers that can be shared multiple times with multiple service providers, avoiding repetitive and tedious KYC onboarding processes.
Through a blockchain-based verifiable claims protocol, Identity owners can prove specific ID attributes without sharing their actual ID document.
Make document-intensive applications and access a broad range of immigration, corporate, financial and cryptocurrency related services listed in a Marketplace within a few clicks.
Secure Blockchain Assets
Securely manage cryptocurrency assets, such as ETH, KEY and any ERC-20 Token.
At SelfKey, we aim to provide the necessary tools for individuals to find more freedom and privacy. We are passionate that we should control our own identity data and never hand over the keys to third parties that could exploit and misuse it. It is ourselves and ourselves alone that should truly own our identities.
Start your Self-Sovereign Identity Journey with the SelfKey Wallet