In the Web2 world, we are used to logging in to different applications with dozens of usernames and passwords, and we are used to our browsing history and friend list being controlled by a centralized company server. Personal accounts do not belong to users in essence, but belong to the platform. The platform can make its own recycling rules. Tencent even directly took back a batch of 5-digit QQ numbers that were applied for through normal channels (see the appendix for details). The logic of Web3 is completely different. The open, transparent and permissionless nature of the blockchain makes the ownership of data returned from the company to the user. The previous model of profiting from exclusive user data will not be established. Existing popular applications in Web2, such as WeChat, Twitter, Facebook, Tiktok, etc., will be rebuilt in a new model in Web3 in the future.
In the field of Web3, we already have wallet addresses as an account system shared by Dapps, but wallet addresses, like bank accounts, can only meet the needs of functional financial activities, we cannot use it to chat with friends, attract fans, Go for a job application. People need a square where they can showcase their Web3 achievements and build their own identity brands, and those achievements are also authentic and verifiable.
In fact, the concept of DID (Decentralized Identity) has existed for several years. There are also organizations such as DIF and W3C trying to establish DID standards, but the early definitions mainly revolved around establishing an authentication system through cryptography. With the rise of NFT, Gamefi and other forms, users need to add more on-chain data to DID to enrich their decentralized identity, giving birth to a new on-chain identity track.
The construction of a Web3 identity has significant implications in itself. First, the data on the chain naturally guarantees the transparency and immutability of user identities and behaviors, establishing the cornerstone of identity trust; second, Dapp data can be read and called across projects, unlike Web2, which is isolated and stored on a centralized server In this way, the universality of user identity in the world on the chain is ensured, for example, the skin in Fantasy Westward Journey can also be used in the glory of the king.
With the further enrichment of the encryption circle ecology, Web3 identity will also become an indispensable and important module of the encryption circle. Content and social applications that are popular in Web2 will be rebuilt based on Web3 identities in the future. It is conceivable that in the future, users can log in to different social/content/game applications through the same account, and the user’s on-chain behavior can be synchronized to this application to continuously accumulate identity value. Such an identity application ecology is not available in Web2, a brand new Web3 native track.
There are already many applications trying to build the user’s on-chain identity, and each project has a different way to portray the user’s portrait. Chain Teahouse selects some typical projects and sorts them out as follows.
ENS: Web3 Accounts and Domains
ENS ( Ethereum Domain Name System) is a naming system built on Ethereum that maps machine-readable identifiers such as wallet addresses to human-readable text such as ‘alice.eth’, which can be parsed in both forward and reverse directions. After a user purchases an account, in the transfer scenario, entering the account can correspond to the wallet address, which improves the user experience; at the same time, the account also becomes a customizable identity symbol for Web3, and the account that is consistent with the Twitter account is displayed on the Mirror, which is definitely better than the one. Long strings of 0x characters are more recognizable.
As a veteran project of Web3, ENS has already launched the beta version in 2017. It was the earliest through blind auction, and only domain names with a minimum of 7 characters could be purchased; the official version was launched in 2019, and the purchase of domain names with a minimum of 3 characters was opened, and the annual A fee-lease model to limit speculative possession. The project first originated from the Ethereum Foundation, which received a grant of $1 million, and later became independent. There has been no financing due to early funding and the cash flow from the annual lease fee model. In November 2021, 50% of the tokens were airdropped to users and contributors. The amount of airdrops is very rare.
In addition to ENS, there are other projects working on Web3 account systems, such as Namecoin, Handshake , Unstoppable Domain and other early projects, as well as Das, which was just launched in 2021 and will be mentioned later, but currently the largest and most ecologically rich is the ENS. According to the kanban created by project members on dune, there are currently 276,000 independent users with 640,000 domain names (https://dune.xyz/makoto/ens), supporting several mainstream projects such as Metamask/Uniswap/Opensea, FDV (full diluted valuation) approximately $2.4 billion. Briefly sorting out its history, the success of ENS (the project is still very early and can only be said to be relatively successful) may be due to the following points:
One: It has been authoritatively recognized by the Ethereum community. ENS was defined in EIP-137 (https://eips.ethereum.org/EIPS/eip-137) written by project founder Nick Johnson in 2016, which defines the .eth suffix as a naming standard. The proposal was later passed, and Vitalik also changed his Twitter name to vitalik.eth, marking the authoritative recognition of ENS. Although many people now question that the practice of using the .eth suffix as a general standard violates the spirit of decentralization, and users cannot freely set other suffixes, there is no doubt that this recognition contributed to the promotion of early domain names.
In addition, ENS is indeed expanding the domain name space. In August 2021, the DNS name integration function was launched. Users can input their own DNS addresses into ENS as transfer addresses. ENS no longer uses .eth as the only suffix, but Contains Web2 address suffixes such as .com/.org.
Second: the social needs brought about by the bull market boom. Observing the registration volume since the official version was launched in 2019, in fact, it began to increase significantly from around May 21, and reached its peak before and after the airdrop. The bull boom provided the necessary conditions for the popularity of identity symbols.
Kanban made by project members https://dune.xyz/queries/5676/11222
Third: Actively expand the function of website domain name. In February 2021, the team integrated IPFS, which can be imported to websites stored on IPFS through ENS. ENS no longer only represents wallet addresses and personal identification, but can become Web3 native website addresses. Of course, ENS still has various limitations as a website domain name. For example, the native storage technology of Web3 is relatively backward, and the URLs that ENS can import are usually of poor quality, but its breakthrough from personal transfer address to website address is beyond doubt.
Despite the above advantages, ENS also faces some problems.
First of all, the expansion of the domain name scene is very dependent on the compatibility of other wallets/applications/chains, which are currently achieved through centralized cooperation. For example, Fox Wallet supports parsing ENS on Ethereum, but may not support parsing ENS on other chains. Polkadot also published a tutorial to show how to add KSM address to ENS, but it explains at the bottom that there is currently no wallet that supports ENS parsing KSM or DOT, which is very helpless.
Polkadot official tutorial demo https://wiki.polkadot.network/docs/ens
Although ENS itself is actively expanding its boundaries, it has been able to support the storage of addresses on more than 100 chains, but whether the wallet/application/chain supports parsing is another matter. Currently, the main ecology is still on Ethereum. This problem is also a common problem faced by all domain name projects. No responsibility to imagine the possible development path in the future: either through the cooperation of the wallet/application/chain, the critical point of the network effect is reached from the bottom up, so that most developers of Web3 voluntarily support the analysis of the ENS of each chain; Authoritative organizations such as W3C come to formulate standards uniformly and popularize domain names from top to bottom.
Second, ENS, like DNS, has the same problem of domain name fraud. A while ago, ENS supported the design of “zero-width characters” and caused a debate. For details, please refer to the two articles in the appendix, which are briefly summarized as follows. It has been pointed out that the “zero-width characters” supported by ENS can insert invisible characters into the .eth domain name, resulting in the appearance of phishing websites. Although some application interfaces will prompt users for the existence of “zero-width characters”, this problem cannot be eradicated. Therefore, ENS has long been worthless. There are also opponents who believe that this is a low-risk/medium-risk vulnerability, and there is a lot of processing experience in Web2; and the support for “zero-width characters” is to display a richer character set, although there is indeed a risk of phishing, but this is a problem. The team synthesized the design trade-offs of risk and benefit.
The little fox wallet prompts “zero-width characters”
It may be too extreme to say that ENS is worthless due to security vulnerabilities, but domain name fraud in ENS is indeed a risk that cannot be ignored. Currently, we can only rely on prompts from the application layer.
Once again, ENS as a website domain name may conflict with the current global domain name system: the Internet’s top-level domain name registration is managed and issued by ICAAN (Internet Authority for Assigned Names and Numbers), and currently .eth is not in the list of registered top-level domain names, so the ENS domain name It will not conflict with DNS yet; but if there is a conflict with DNS in the future, ICAAN has the right to take it back. Coincidentally, eth is still the country code of Ethiopia, and the team also hopes to cooperate with Ethiopia to avoid conflicts in the use of eth. With the development and growth of ENS, it is bound to need to negotiate with ICAAN in the future to formally establish the status of its top-level domain name without harming the global domain name. In addition to the .eth domain name, popular domain names such as .crypto are also likely to face a competition in the future.
In addition to product features, ENS’s token distribution and DAO governance are also important reasons for its acclaim. During the 11/21 airdrop, a total of 100 million $ENS tokens were distributed. 25% of this is allocated to users with .eth domain names, another 25% of tokens are allocated to contributors, and the remaining 50% is kept in the DAO’s community treasury. All $ENS token holders can apply to join the DAO, and the DAO has the right to decide the future annual fee for domain name lease, treasury usage, etc.
In addition, due to the high fees on Ethereum, which also creates a user threshold, the ENS team is also considering migrating to L2 in the future, but it is expected that it will take a long time.
DAS: The latecomer to Web3 account building
DAS is a decentralized naming system built on Nervos, providing a globally unique naming system suffixed with .bit. There are many similarities between DAS and ENS: DAS is also committed to providing human-readable address symbols as the identification of Web3 residents; it supports the storage of addresses of different chains, Web2 social accounts, etc.; Speculative permanent possession is restricted, and the annual fee is basically the same as ENS. The differences between DAS and ENS are:
First, the registration threshold is low. On the one hand, the handling fee of DAS is low, and no additional handling fee is required when paying with CKB. Compared with the handling fee of more than 100 dollars for ETH , the user threshold is greatly reduced, and DAS supports various payments such as ETH, TRX, BNB, etc. means. On the other hand, DAS technically supports registration with any public chain address, and currently only ETH / TRX / BSC / Polygon address registration is open. In contrast, ENS must first be registered with an ETH address.
Second, DAS emphasizes that .bit is just an account address, not a domain name, to avoid conflicts with ICAAN. DAS focuses on the association of addresses and identities, and does not expand to website domain names. However, DAS will automatically assign a .host domain name to each account to display the user’s associated account, NFT and other information.
Third, since DAS does not support zero-width characters, it is safer than ENS in address display.
DAS also faces some problems:
First, the ecology of DAS is not yet rich, and there are few application scenarios. At present, dozens of wallets/applications have been connected, but no particularly mainstream projects have been connected. Naturally, there is no way for the account system to be Permissionless. Like ENS, DAS will face the problem of cooperation with wallets/applications. However, ENS has at least been recognized by the mainstream of Ethereum and has access to head wallets such as Meatamask. There is a strong first-mover advantage, and if DAS cannot be recognized by mainstream wallets/applications like Metamask, it will be very difficult to expand.
Cooperative wallet/application of DAS official website
Second, DAS defines a domain name reservation scope, which is somewhat centralized.
There have been many debates on this issue before, please refer to the appendix for details. Here is a brief summary: After someone pointed out the problem of zero-width characters in ENS, some pointed to the DAS opportunity marketing, and then pointed to the problem of DAS itself, of which the most mentioned It is the problem that domain name reservation is not transparent enough, and three cases are proposed: 1) Selective reservation of country-specific domain names; 2) Bitcoin.bit is removed from the reservation list; 3) Individual celebrity accounts are reserved without explanation. Subsequently, the DAS team clarified that the article discussing zero-width characters has nothing to do with the team, and other clarifiers responded to the question of domain name reservation: das retained the accounts of well-known individuals/institutions based on some foreign data sources, in the above case: 1) Not an option Sexual reservation, but individual country names hit celebrities in the data source; 2) Bitcoin.bit was removed as a result of early community discussions; 3) The problem of individual celebrity account retention exists, but it is understandable as a Chinese.
In conclusion, apart from 3), the individual cases raised by the doubters cannot explain its opacity, and it is indeed done in accordance with the DAS rules. However, compared with the handling methods of ENS and DAS, the rule-making of DAS itself is relatively closed.
From the original intention, both ENS and DAS hope to inherit well-known domain names in the real world, so that new domain name holders can meet user perception, so both have taken certain domain name reservation measures. The following two figures illustrate the original intentions of ENS and DAS respectively. Please refer to the appendix for the source:
But the specific practices of the two are different. Before the official version of ENS was launched in 2019 and the registration of 3-6 letters was opened, a protection period of about 1 month was set up. During the protection period, everyone can claim the ENS domain name by virtue of the DNS domain name they own. The final verification and decision-making are determined by The ENS team is completed; after the protection period, the unclaimed domain name will be open for auction for 1 month; after that, all 3~6 digit domain names will be open for registration. In contrast, DAS refers to foreign data sources and customizes a protection list. During the protection period of about 1 year, corresponding individuals/organizations can apply for free. The main difference between the two is that ENS only sets the protection period, but does not define the protection scope, and provides weak protection for all domain names; DAS defines the protection scope and provides strong protection for the domain names within the scope.
Take “google” as an example to see the actual difference. The holder of google.eth on ENS owns several rare domain names, which should be a squatter rather than a google official; looking at the transaction records on Opensea, it was bought from ENS for 52.9 ETH on October 16, 2019 , it should be that Google did not apply for it during the protection period, so it was taken away during the auction period. In DAS, google.bit is naturally a reserved account, and it is estimated that there will be no squatting opportunities for at least one year.
To sum up the domain name reservation problem of DAS, its original intention is the same as that of ENS. They all hope to inherit the naming habits of the real world. However, DAS independently defines the domain name reservation scope. Unlike ENS, which only sets a protection period, all domain names are treated equally. The approach of ENS is indeed more open and decentralized, and of course it will also bring some cybersquatting, more like a free market.
DAS was launched in July 21, and there are currently 25,000 independent addresses with 57,000 DAS accounts. In order to promote it, DAS has also made a lot of attempts, such as introducing a preferential policy for referrals, and both upper and lower households can get a 5% cashback; in September, they cooperated with Binance to auction the name of the ok.bit account, which was sold for 45,000 US dollars.
Official Data Kanban https://das.la/
DAS has completed a seed round of financing, led by HashKey and SNZ. Other investors include SevenX, Nervos Foundation, etc. The amount of financing has not been disclosed. Its core team comes from Tencent.
Project Galaxy: On-chain qualification certification platform
Galaxy is an on-chain behavioral qualification data platform that provides on-chain qualification proofs by collecting user behaviors. At present, the main usage scenarios are: one is to help the project party distribute NFT through user behavior, and conduct marketing operations such as community gate control; the other is to help C-end users build their own on-chain resumes.
At the data collection level, Galaxy’s data includes on-chain and off-chain. For on-chain data, Galxy relies on project parties or other volunteers to provide on-chain query data. For off-chain data, Galaxy will retrieve public data from data sources such as Snapshot.org, Twitter, and Github.
In the direction of serving the B-side, Galaxy has realized a relatively rich infrastructure of NFT-as-a-service, which can help the project realize operation and marketing activities through various NFT games. For example, the project party can use the Galaxy plug-and-play NFT facility to distribute NFT to users who have held tokens for more than a period of time, or whitelisted users. Galaxy provides a very diverse NFT gameplay. Including: randomly distributing NFTs, forging multiple NFTs into one NFT to achieve upgrades, financing through INO (Initial NFT Issuance), adding exclusive content to NFTs, etc. The project party can also pay all users’ NFT minting fees through Galaxy (currently only implemented on Polygon) to improve user experience. As shown in the example below, users who meet the NFT holding conditions can use the Galaxy platform to forge a new NFT to upgrade their cards.
Example of NFT forging upgrade campaign https://galaxy.eco/pendle/campaign/112
In addition to relatively complex NFT activities, Galaxy also provides lightweight badge NFTs, which function very much like POAP. Users can get a badge certificate by participating in the activity, and the link is simpler. As shown in the picture below, participate in Galaxy’s AMA activities, fill out the question form, and you can get an event badge.
Example of a lightweight NFT campaign https://galaxy.eco/galaxy/campaign/GC4gZUULZD
In terms of serving C-end users, Galaxy has launched the Galaxy ID function, users can set their own user names, and the qualifications generated on the Galaxy will be collected on the Galaxy ID page. The team hopes that with more and more data collection, Galaxy ID can display the user’s resume in Web3, realize the platform function of professional social networking, and develop into the LinkedIn of Web3.
Galaxy was launched in March 21, and has cooperated with more than 70 projects as of December 21.
Some of the collaborative projects of Project Galaxy
According to Crunchbase, Project Galaxy received an investment of 8 million from Syn City and 7.5 million from Saddle Finance in November 21. Also in November, Galaxy received an investment from the BSC Fund.
CyberConnect: On-Chain Social Graph
CyberConnect has an intersection with RSS3 in social aspects, and also has a focus function, but CyberConnect focuses more on the construction of a social graph, that is, the data uploading of social relationships.
Every time the user follows/unchecks, it will be on the chain, which requires the user’s signature but does not require gas fee. CyberConnect hopes that on-chain social relations will become a common facility for other Dapps, such as reading user social relations in games, or allowing users to see the purchase list of friends on the NFT trading platform. Currently, it has cooperated with some projects to access on-chain social networking. Data, you can see the social relationship implemented in CyberConnect in the Galaxy ID of Project Galaxy.
In contrast, the follow function provided by RSS3 is not built on the chain, but only for the convenience of users to subscribe.
In addition, although CyberConnect also integrates user dynamics, it does not centrally display the dynamics of multiple concerned objects like RSS3, but can only view the dynamics of a single person. However, CyberConnect has a variety of integrated content, including POAP, Mirror, Twitter that RSS3 also has, and Galaxy Credentials that RSS3 has not yet integrated. When you use it for the first time, it will feel a bit similar to RSS3. The following picture is the CyberConnect homepage of V God:
CyberConnect has also developed an end-to-end communication application, Cyberchat, that allows communication between ENS/ETH addresses. However, the project party did not specifically promote this product, but only displayed it as an application based on the social graph.
CyberConnect raised $10 million in November 21, led by Multicoin and Sky9. Its development is very rapid, and it has ~100,000 users since its launch (400,000 displayed on the official website are recommended algorithm data, and addresses can be recommended according to public information, so the number will be larger).
CyberConnect plans to launch the DAO organization and platform governance token $CYBER in the future, with a total of 100 million tokens. CyberConnect DAO membership consists of $CYBER holders. The role of $CYBER in the early stage is mainly the governance of DAO, and pledge mining will be launched later.
RSS3: Information flow for Web3
RSS3 is a decentralized social and content protocol, defined by the project as “The Feed of Web3”. As the name suggests, RSS3 inherits the mantle of RSS information reading aggregator, just more decentralized.
The current front-end form is a bit like an on-chain microblog. Users can follow other people and see the recent developments of themselves and their followers. These developments are the core content supported by RSS3, which integrates content from multiple decentralized platforms. Such as articles published on Mirror, purchased NFTs, etc., as well as public content of Web2, such as Twitter. For example, the following picture is the homepage of the founder of RSS3:
On the homepage of the information flow, users can see the above dynamic integration of all the followers at the same time, and the sense of use is very similar to seeing the movements of the followers on Douyin/WeChat on the Weibo follow page. Users can also do simple content filtering, such as filtering Web3 content or including Twitter and other Web2 dynamics, and also distinguish between recommendation (Featured) and discovery (Explore) like mainstream apps.
RSS3 also provides an RNS service, where users can use a $PASS to receive an exclusive account and convert long strings of addresses into readable text.
RSS3 was launched in May 21, and there are currently ~40,000 users registered.
The governance token of RS33 is relatively unique, consisting of non-fungible tokens RSS3 Fruit Tokens (RFTs), each of which is unique, with a total of only 294, and there is a 1/7 chance of obtaining rare RFTs. Its distribution is as follows:
73.8% of the share is given to the community. The community segment share is shown in the figure below. Most of them will be given to developers, community contributors, etc., and only a very small number (0.5%) will be sold publicly.
RSS3 did not disclose the amount of investment, but investors can be seen on the official website. Among them, Sky9 Capital and MaskNetwork are also investors in CyberConnect.
We can see that each project is building users’ on-chain identities differently.
Both ENS and DAS are doing the most basic account applications, mapping unreadable addresses to account names that can be customized. In addition to account functions, ENS is also expanding the function of website domain names, while DAS focuses on account systems, and More focus on safety.
Project Galaxy builds an on-chain qualification data platform by collecting users’ on-chain and off-chain behaviors. The core of which is the accumulation of user behavior data. On top of this, the team tries to use data to expand various scenarios. Currently, it mainly expands the provision of NFT for the B-side. Operation tools such as distribution and community gate control, as well as the functions of providing qualification integration and displaying Web3 resumes for C-end users. As long as the accumulated data is valuable, the team may expand more scenarios in the future.
CyberConnect provides an on-chain social graph, providing users with common social relationships on the chain, and is also committed to becoming the infrastructure of Web3.
RSS3 is relatively more like a C-side application, which integrates the on-chain dynamics of the object of interest for users to form a Web3 information flow.
On-chain identity is still very early days. These projects all enter the DID field through different entry points, and may reach the same goal in the future, or may develop into different directions. We don’t know what the final model will be, but the state of contention is always exciting.
1) Tencent QQ number recycling rules and related reports
QQ number recycling rules:
A batch of reports of 5-digit QQ numbers being recovered by Tencent:
2) ENS zero-width character debate:
ENS zero-width character issue:
DAS design and transparency issues:
ENS zero-width character second round:
Clarification for DAS Transparency:
3) Domain name reservation policy for ENS and DAS:
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/decentralized-identity-did-track-builds-web3s-social-passport/
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