Part II: Smart Contracts and the Privacy Paradox on the Blockchain

Smart contracts are programs that can automate processes and agreements on the blockchain. This field has a lot of potential because smart contracts come with the reliability, efficiency, and transparency associated with blockchains. But the lack of privacy in smart contracts is an emerging consideration, in particular as we realise the basic rights to privacy enjoyed in web2 do not fully exist in web3.

The world’s largest corporations are exploring blockchain technology as the web evolves. Forbes’ Blockchain 50 details billion-dollar companies integrating blockchain into their daily operations. Nearly half of the 2022 list is based outside the United States. 14% are Chinese. Venture capital firms invested more than US$32 billion in the sector in 2021. See: seven things that make self-sovereign identity different.

There are significant obstacles for businesses adopting blockchain. Complexity, energy consumption, legal formalities, lack of regulation, and high implementation fees will be addressed in time by technology and mainstream adoption.

The privacy challenge

Blockchain’s open nature is one of its biggest strengths. Optimists envisage a world where all database transactions are recorded immutably in decentralised ledgers. This will create new levels of transparency and reliability. But it is also a massive challenge for corporations. No one wants their entire financial history available to anybody who wants to see it. No business wants their trade secrets easily viewable.

ShareRing is moving from a public blockchain to a permissioned one. We recognise the importance of privacy for businesses and individuals. Public blockchains allow anyone to access them, which means anyone can see the transactions that are taking place. This is not ideal for businesses or individuals who want to keep their data confidential. See: the three verification levels inside the ShareRing Vault.

A permissioned blockchain is different in that only authorised participants can see the transactions that are taking place. For businesses and individuals who want complete data privacy, this is a more secure option. See: why a country needs a private digital postbox.

ShareRing is dedicated to keeping our users’ information secure and contributing to the development of data privacy across the blockchain industry. Our goal: to reduce friction in the world by building a global blockchain ecosystem that embraces trust, privacy, and diversity.

Where we sit.

ShareRing has been building this technology since 2018. The encrypted Vault and self-sovereign ID model we put in the original whitepaper are the same architecture under everything we deploy today.

If you want to discuss privacy KYC at country scale, the door is open at sharering.network/contact.

By ShareRing Team of ShareRing.

#PrivacyKYC #DigitalIdentity #SmartContracts #PrivacyByDesign #ReusableKYC #Private #Secure #Verified

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