Ethereum could soon have its two new identity standards – ERC725, ERC735 – both of which are being developed by Fabian Vogelsteller, the creator of the Mist browser.
Ethereum is an ecosystem with immense potential and it has always been about doing things that bitcoin isn’t doing. Digital identity is one such aspect. Digital identity solutions are becoming need of the hour and blockchain offers one of the best possible ways to implement such solutions.
Ethereum is currently positioned to dole out innovative solutions – much more than just financial solutions – including real world applications that would make some of the aspects of everyday life easy.
Currently available digital identity solutions are not adequate to cater to the rising demand and they aren’t immune to hacking either. With a blockchain-based system, the central point of failure is removed automatically.
Both the Ethereum identity standards are under development and it remains to be seen how they pan out. One option is to introduce formal verification proofs for ERC735. Additionally, ERC725 may not see any official use cases in the near future, as it is not designed for that purpose.
Using zero-knowledge proof contains is something Vogelsteller is actively considering right now. As such, the container can validate inputs without revealing any of the data itself to the public. It’s a mix of public and private verification rolled into one.
If Ethereum can offer identity and ID management, things will get very interesting. So far, no other project comes close to realizing such an ordeal in a convenient manner. It will also help address money laundering concerns associated with cryptocurrency in general. This doesn’t mean everyone will see the merit of such a solution, though. For now, we will have to wait and see if and when Ethereum’s identity standards comes to fruition. A lot of work has yet to be conducted as we speak.