In this article, we will explore :
1. What is Decentralized Identity (DID)
→ 1.1 The main benefits of DIDs for users and service providers ;
→ 1.2 The main use cases around DIDs in Web 3 ;
If you are already familiar with Decentralized Identity (DID), please proceed directly to Part 2.
2. How to use Altme to leverage the power of Decentralized Identity on Tezos ⛓️
→ 2.1 How to add a Decentralized Identity to your favorite Tezos wallet ;
→ 2.2 How to obtain a Verifiable ID for FREE to get verified in the Tezos ecosystem ;
→ 2.3 How to use DIDs to verify users on-chain on Tezos (for dApps) ;
3. The growing adoption of DIDs in Web3 and in the European Union 🇪🇺
→ 3.1 How Coinbase is leveraging DIDs to verify users on its Base layer 2 ;
→ 3.2 How the European Blockchain Infrastructure Services (EBSI), the new regulation MiCA/TFR, and the European Digital Identity (EUDI) wallet are defining the future of Decentralized Identity in Europe ;
1. What is Decentralized Identity (DID) ?
Decentralized Identity (DID), also called Self-Sovereign Identity (SSI), is a new way to manage your digital identity. Instead of companies or organizations controlling your personal information in central databases, you get to control it yourself.
Decentralized Identity works with Verifiable Credentials : These are digital versions of documents like ID cards, passports, or diplomas that you can claim by using a Decentralized Identity wallet, like Altme. They are more secure and easier to verify than traditional documents.
How to use Verifiable Credentials : These new digital credentials can be used to prove all sorts of things about you online, such as your identity (ID), age, humanity, qualifications (diplomas), and more, in just a few clicks.
Who issues these credentials : Trusted entities, like governments, universities, or companies, issue these credentials. They put a digital signature on them, which makes it easy for anyone to verify instantly.
Think of Decentralized Identity (DID) as an advanced digital passport in your pocket that you can use to prove anything about you—highly secured, reusable, easy to share, fraud-proof, instantly verifiable, and solely under your control.
Decentralized Identity (DID) is going to completely reshape how users control and own their data, improving security, privacy, and trust between people and organizations in the digital world.
1.1 The main benefits of DIDs for users and service providers
1/ For users = The holders of Verifiable Credentials that want to protect their data ;
One of the key advantages of DID in the Web3 ecosystem is its ability to enhance privacy and data ownership. With DID, individuals have control over their personal information and can selectively disclose only the necessary data for specific transactions or interactions. This level of granular control not only mitigates privacy concerns but also minimizes the risk of identity theft and fraud.
By using decentralized identity wallets, Web3 users can benefit from 👇
- Full control and ownership : Users manage their personal information themselves and decide how and with whom to share it.
- Better security : Since data are stored and encrypted in Decentralized Identity wallet, the chances of data leaks or unauthorized access that often happen with central storage systems are drastically reduced.
- Privacy-preserving features : Selective disclosure and zero-knowledge proofs (ZKP) features give users the ability to share only the necessary information when required and protect their privacy.
- Improved user experience : Verifiable Credentials are reusable, making it super convenient to share/prove identity, age, humanity, compliance, diploma, and more.
2/ For service providers = Online services, Organizations, Businesses, dApps that need to verify users identity ;
DID also offers benefits to businesses operating in the Web3 space. By utilizing DID solutions, these service providers can streamline customer onboarding processes, reduce reliance on centralized identity providers, and improve user trust. DID's tamper-proof nature provides increased security and can help combat fraud and impersonation attempts, thereby safeguarding both businesses and their customers.
By leveraging Decentralized Identity, Web3 service providers can benefit from 👇
- Faster user onboarding and reduced verification costs : verifiable credentials are reusable and instantly verifiable, streamlining the onboarding process and reducing costs.
- Reduce fraud and improve regulation compliance : Verifiable credentials are extremely secure, making it hard for anyone to fake or tamper with them. This helps service providers reduce fraud and adhere to legal requirements such as MiCA/TFR, GDPR, KYC/AML, and age verification rules.
DID and verifiable credentials are all about giving you more control, verifiability and security over your data, while ensuring you meet all necessary compliance requirements before accessing online services.
1.2 Use cases around Decentralized Identity (DIDs) on Web3
As Web3, the new version of the internet based on blockchain infrastructure, keeps growing, the adoption of Decentralized Identity (DID) and Verifiable Credentials is becoming more and more critical. Indeed, these tools are fully aligned with the decentralization ethos of the blockchain / Web3 ecosystem and can help users drastically improve their privacy and data ownership, while helping Web3 projects and dApps remain compliant.
Here's how they're being used :
- Stopping fake accounts (Sybil resistance) : Web3 projects can now make sure that real people, not fake accounts or bots, are using their services. Ensuring the liveness and uniqueness of users is key for token launch initiatives, airdrops, or improved GameFi experiences.
- Age verification: In industries such as decentralized finance (DeFi) or Web3 gaming (GameFi), age verification is crucial to ensure compliance with legal requirements and protect vulnerable users. DIDs provides a reliable solution by allowing users to easily prove their age using verifiable credentials. This streamlined process ensures a seamless user experience while maintaining privacy and security.
- KYC/AML compliance: Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations are essential in the cryptocurrency space. Decentralized Identity wallet simplifies the KYC process by enabling users to securely verify their identities once to obtain reusable verifiable credentials. These credentials can be easily shared with different platforms and services, eliminating the need for repetitive identity verification processes
- Manage access control : DIDs can be used to manage access to digital resources, ensuring that only authorized individuals can access certain services or data. This is particularly relevant for DAOs (Decentralized Autonomous Organizations) and other decentralized governance models.
Through Zero Knowledge Proof (ZKP), Verifiable Credentials can be used to prove things about ourselves without revealing unnecessary personal information. For example, they can be used to prove that a user meets a certain age or residency requirement without disclosing their exact age or address.
2. How to use Altme to leverage the power of Decentralized Identity on Tezos ⛓️
At Altme, we believe in empowering our users with control over their digital assets and identities and contribute to a trustworthy Tezos ecosystem.
What is the Altme Wallet?
Altme is a free app that anyone can download from the Google Play Store or the Apple App Store.
- Open-Source : It's built using open-source technology, which means its code is available for anyone to see and improve.
- Non-custodial : Your keys, your coins, your data. With Altme, you have full control over your digital assets and personal data.
- Built on Decentralized Identity (DID) : Altme is built on open Decentralized Identity standards to give you control over your identity and personal data.
Benefits of using Altme :
- Manage your ID easily : Once you verify who you are with Altme, you don't have to do it again and again. You can use your verified identity to access different services and apps in 1 click.
- Own your data : Your personal information is yours alone. It's protected by cryptography and can't be tampered with.
- Protect your privacy : Decide who can see your information and for how long.
In short, the Altme wallet is not just a tool for handling your coins and digital assets; it's also about giving you more control and security over your personal information. It makes using Tezos apps easier and keeps your identity safe and private.
2.1 How to add a Decentralized Identity (DID) to your favorite Tezos wallet
Altme has introduced a feature that makes managing your Decentralized Identity (DID) easy and seamless, no matter which Tezos wallet you use : Temple, Kukai, Trust wallet, Naan, or any others.
Why is this new feature a game-changer for the Tezos ecosystem ?
- Prove anything about you on Tezos : ID, age, humanity, compliance with regulations (KYC / AML), all in just a few clicks.
- Easy to use with any Tezos Wallet : Whether you're using Temple, Kukai, Trust wallet, Naan, Umami, Airgap, Autonomy any other Tezos wallet, Altme makes it super easy to add a Decentralized Identity (DID) to it.
- Simple and user-friendly : The process to add a DID to your favorite Tezos wallet is straightforward. There’s no need for complex setups or technical know-how. Altme has made it accessible for everyone.
How to add Decentralized Identity (DID) to your Tezos Wallet 👇
- Connect your Wallet to Altme : First, go to this landing page and pair your favorite Tezos wallet to prove your Tezos address ownership.
- Claim your Proof of Tezos Address Ownership : On this same page, pair your Altme wallet and claim your “Proof of Tezos Address Ownership” in your Altme wallet. This confirms that you are the real owner of a specific Tezos address.
- Well done ! You can now leverage the power of DIDs : Once set up, you can claim various digital proofs in Altme, like a Verifiable ID, a proof of age, a proof of humanity, a proof of DeFi compliance and more !
This process doesn't require to import your private keys or passphrase in Altme.
Watch this video example from the Tezos Chainborn game to see how you can add a DID and start associating Verifiable Credentials to your favorite Tezos Wallet 👇
The Chainborn Membership card is issued as a Verifiable Credential.
What can you do next?
This new feature is handy for accessing age-restricted platforms on Tezos, participating in regulated CeFi/DeFi protocols, or proving your humanity in bot-free environments.
Want to access a service with an age limit? Just share your Proof of Age from Altme in one click. Need to show you're a real human and not a bot? Altme can help you prove your humanity easily.
This feature is all about making your experience in the Tezos ecosystem more secure, private, and convenient. It simplifies how you manage and share your digital identity, making the whole process user-friendly and accessible to all Tezos users.
2.2 How to obtain a Verifiable ID for FREE to get verified in the Tezos ecosystem
In 2023, Altme has teamed up with Docaposte, a leading identity verification platform in the EU, to bring strong and reliable identity checks to its users on the Tezos blockchain.
Why this matters : This collaboration helps Tezos users confirm their identity safely, following strict KYC (Know Your Customer) guidelines. It makes the Tezos ecosystem more secure, helps reduce fraud, and ensures it follows European laws like GDPR and KYC regulations.
To get your first credential, like proof of your ID or age, you just need to go through a one-time KYC check in Altme. And the best part? This KYC verification is completely FREE for all Tezos users ! Here is how to do it 👇
- Download the Altme Wallet : It's free on apple store and google play store, and gives you full control over your personal data : https://altme.io
- Go through KYC verification : Inside the Altme wallet, complete the Docaposte ID360 KYC process to get your first Verifiable Credentials like your ID, age, proof of liveness (personhood) and more!
- Claim your Verifiable ID : After verification, you will be able to claim your Verifiable ID, which you can use / share anytime you need to prove your ID in the Tezos ecosystem. It’s secure, easy to share, and can be verified instantly by Tezos dApps and Apps.
Once you have your Verifiable ID, you can easily prove your identity, age, and other personal details with just a few clicks using Altme !
2.3 How to use DIDs to verify users on-chain on Tezos
Verifiable Credentials are stored and managed off-chain. So, to accelerate the adoptions of Decentralized Identity even more, Altme has developed a way for you to prove things about yourself directly on the Tezos blockchain.
This is a new way for you to show certain things about yourself directly on-chain.
After getting your verifiable credentials in Altme to prove your age, liveness (personhood) or DeFi compliance for example, you can mint a non-transferable NFT / SBT on your favorite Tezos address to prove a binary information about you on-chain.
Privacy-focused : This NFT/SBT doesn’t disclose any of your personal details. It just shows one specific binary information about you. For instance, it can show that you're a human or an adult, or that you meet certain rules (like KYC/AML), all without sharing / disclosing any private information about you.
Example of use cases : You can use this feature when you want to access certain apps on Tezos that need to verify something about you. The app/dApp can quickly check this token on the blockchain to see if you meet their requirements, like being a real person or of legal age, or DeFi compliant.
Here is how you can mint a DeFi regulation compliant NFT 👇
1. Download the Altme Wallet
2. Claim your Verifiable ID credential and follow the KYC verification
3. Claim your DeFi compliant verifiable credential
3. Go to the Altme's NFT minting page, pair your Altme wallet and mint your DeFi compliant NFT / SBT.
Post NFT minting, Tezos dApps can instantly check users' DeFi compliance on-chain, ensuring compliance with diverse regulations, such as KYC or Anti-Money Laundering laws (AML). Meanwhile, users' personal data remains off-chain at all times.
In short, Altme is making it easy and free for Tezos users to get verified and prove things about themselves across the Tezos ecosystem, on-chain or off-chain, all while keeping their data secure in their Altme wallet.
Making Web3 compliance easy for Tezos dApps
As you can see, Altme has developed a comprehensive set of features that offers a unique, privacy-focused compliance solution accessible to everyone in the Tezos ecosystem. This includes regular users, dApps, DeFi protocols, and other decentralized platforms.
As a dApp, wether you need to verify users identity off-chain or on-chain, Altme has a solution for you. By combining self-sovereign identity (SSI / DIDs) with NFTs in an easy-to-use wallet, Altme lets users handle Web3 regulations while keeping their data private and secure : Anyone can create a special kind of digital token (a non-transferable NFT) that shows if certain criteria are met or not. And with the Add an identity to your favorite Tezos wallet feature, you can do this without even needing to import your secret key / passphrase into Altme.
Here are the main benefits for Tezos dApps, projects and service providers :
- Attract more users : By using Altme, Tezos projects can embrace a decentralized standard for identity management, showing they're serious about protecting user data, helping to attract more people.
- Improve / simplify user onboarding : Altme's wallet makes verifying users' identities instantaneous and easy, off-chain or on-chain, which can help onboard and retain more users.
- Fight fraud and follow regulation rules : With Altme, Tezos apps and dApps can check users' identities in a way that meets regulations requirements, reducing fraud and ensuring compliance.
👉 Altme invites all dApps, platforms, and protocols in the Tezos world to make decentralized identity verifications (off-chain or on-chain) a reality. Contact us to integrate Altme in your workflow.
As a Tezos project or a dApp, why should you choose Altme for Web3 compliance ?
- Free to use : Everyone can use and download Altme for free.
- Non-custodial and secure : Altme is an audited non-custodial wallet, meaning users control their data and assets.
- Privacy-Focused : Altme keeps users personal data off-chain, making sure it's not accessible to dApps or hackers.
- Built on open standards : Altme uses W3C decentralized identity standards, ensuring secure and compatible / interoperable digital identity across platforms.
- Open-source code : Altme's code is open for anyone to review, building trust through transparency : Github
- Multi-chain : Users can use Altme to manage their verifiable credentials off-chain and create compliance binary NFTs / SBTs on any blockchain (if they want to).
In summary, Altme is offering a straightforward, secure way for Tezos users and developers to manage compliance in the Web3 world.
3. The growing adoption of DIDs in Web3 and in the European Union (EU) 🇪🇺
The recognition of decentralized identity's value by industry titans such as Coinbase confirms that the mega train towards identity decentralization of identity has started in the Web3 world.
3.1 Coinbase just launched a DID service for users verifications
Coinbase, the leading cryptocurrency exchange in the U.S., has recently introduced a groundbreaking service named Coinbase Verifications on its Layer 2 Base. This service marks a significant milestone in the adoption of DID by enabling over 100 million users globally to perform on-chain KYC verification.
Users can now authenticate their account and country details directly on the Layer 2 blockchain Base, employing DID and Verifiable Credentials. This initiative by Coinbase is notable for its scale, making it one of the most extensive integrations of Decentralized Identity to date.
Why DID Matters to Coinbase ?
The launch of this service underscores Coinbase's recognition of DID's transformative potential in Web3.
DID empowers users to have sovereign control over their personal data, enhancing their privacy and security. This technology is crucial for tackling challenges in the decentralized space, such as bolstering defenses against Sybil attacks, ensuring users' data ownership, augmenting data privacy, and facilitating regulatory compliance.
Like Coinbase, by leveraging Altme, Tezos dApps can also use Decentralized Identity (DID) to verify users seamleassly (off-chain or on-chain)
In the Tezos ecosystem, Altme has developed a set of comprehensive features to accelerate the adoption of DIDs and Verifiable Credentials.
All Tezos users can obtain their first Verifiable ID for free and prove things about themselves off-chain or on-chain via binary proof compliant NFTs / SBTs.
Altme gives Tezos users the ability to prove various aspects of their identity like ID, age, humanity and regulatory compliance, all within a framework that safeguards their data security and privacy, while helping Tezos dApps maintain regulatory compliance.
3.2 The future of Decentralized Identity (DIDs) in the EU 🇪🇺
Altme is progressively becoming the bridge between Web3 and the future of Digital Identity in the European Union.
MiCA/TFR : A golden opportunity for Decentralized Identity (DID)
The MiCA/TFR regulation, set to take effect in 2024, marks a significant milestone in the European Union's efforts to regulate cryptocurrency transactions. Under this groundbreaking law, identification will be required for a growing number of crypto transactions, compelling businesses and users within the Web3 ecosystem to seek innovative methods of ensuring compliance.
Decentralized Identity aligns perfectly with the core principles of Web3, which emphasize decentralization, ownership, and privacy. Indeed, in an era where centralized databases are increasingly vulnerable to data breaches and privacy concerns, DID empowers individuals to manage their data through “verifiable credentials”, a decentralized, highly secure, tamper-proof, and privacy-preserving format.
This is why Decentralized identity wallets are poised to be game-changers in this evolving regulatory landscape. This new generation of digital wallets enable users to store and manage their verifiable credentials securely and act as a single source of truth for individuals' digital identities, allowing seamless verification across different services and applications.
What is the European Blockchain Services Infrastructure (EBSI), and why is it important ?
The rise of digital identity theft, data manipulation, and the overwhelming control exerted by tech giants over our personal data have created a strong need for a new trust paradigm on the web in the European Union.
Enter EBSI, a blockchain-based infrastructure supported by the European Commission that aims to leverage decentralized identity standards and verifiable credentials defined by the World Wide Web Consortium (W3C) for various use cases, including passports, educational credentials to improve trust in online interactions.
EBSI's goal is to provide European businesses and citizens with a secure and reliable way to prove their identity online while protecting their data and privacy.
To delve deeper into EBSI, visit the official EBSI page.
Altme is the 1st Crypto Wallet EBSI-conformant ✅
Altme is the first crypto wallet conformant with EBSI requirements.
By being EBSI-conformant, Altme provides its users with the ability to store, manage, and share verifiable credentials supported by the European Blockchain Services Infrastructure, such as diplomas and other digital IDs.
In the coming years, a growing number of European Universities are going to adopt the EBSI standard to release diploma to their students in the new "Verifiable Credential" format.
And Altme is already ready to awards the European students who will claim their diploma ! To incentivize the adoption of DIDs and verifiable credentials in Europe, Altme launched a Tezos NFT collection for the new EU graduated students!
Take a look at this landing page to know more : https://altme.io/nft-collection-ebsi
By progressively adopting DID, the European Union is actively promoting a more reliable and user-centric approach to digital identity management. Conformant wallets like Altme will play a crucial role in this regard, ensuring compatibility and compliance with the standards defined by the European Union.
The future of Decentralized Identity in Europe with the EUDI Wallet 🇪🇺
In the European Union (EU), the forthcoming European Digital Identity Wallet, called the EUDI Wallet, based on the eIDAS 2.0 regulation and the ARF technical framework, is set to offer European citizens enhanced control over their data and bolster trust in online identity verification.
By 2025, all EU member states will need to provide a EUDI wallet to their citizens to give them access to the benefits of Decentralized Identity (DIDs) for data ownership, privacy and data verifiability purposes in the European Union.
The European Union understands perfectly that by giving users ownership and control over their own data, decentralized identity verification can make the internet a more secure, trustworthy and privacy-preserving place. And ALTME’s vision is fully aligned with this vision. In fact, Altme ambitions to become the first crypto wallet EUDI conformant in the coming years 🚀
The stage is set for the widespread adoption of decentralized identity solutions, empowering individuals and businesses alike in the evolving digital landscape.