Comparison between Concordium blockchain and other ID associated projects
Concordium is a layer 1, all in one blockchain supporting ‘ID layer’ which means the accounts are associated in a protected manner with their owner’s real identity. This is realized via zero knowledge proofs technology used by Concordium and it is providing several pivotal advantages over other blockchains. ID layer makes easier institutional user adoption, provides accountability, prevents illegal acitivities and offers governments’ regulations readiness. There are several identity-focused cryptocurrencies on the market. In this article we will overview identity focused projects available on crypto markets and compare with Concordium.
Key properties of identity layer blockchains
Concordium (CCD)
Concordium is complete blockchain project running on its own network which is secured by $CCD.
Concordium aims to be a privacy-centric blockchain with built-in identity verification properties. Concordium emphasizes regulatory compliance through identity management, which can support the integration of traditional financial services with the blockchain ecosystem. It is also aiming to home institutional players on the blockchain.
It employs a proof-of-stake (PoS) consensus mechanism with identity-linked transactions, providing privacy features via implementation of zero-knowledge proofs (ZKPs) technology and identity revocation.
Concordium’s focus on regulatory compliance and privacy makes it suitable for enterprise adoption and integration with existing traditional financial services and systems.
Worldcoin (WLD)
Worldcoin aims to create a globally-inclusive identity and financial network, owned by the majority of humanity. Worldcoin consists of a privacy-preserving digital identity network which is so called ‘World ID’ built on proof of personhood and a digital currency (WLD). Every human is supposed to be eligible for a share of WLD for being human. World ID and WLD are currently complemented by World App, the first frontend to World ID and the Worldcoin Protocol.
Scalable and inclusive proof of personhood, for the first time, allows aligning the incentives of all network participants around adding real humans to the network. Worldcoin is issued to grow the Worldcoin network, with security inherited from Ethereum.
In a time of increasingly powerful AI, the most reliable way to issue a global proof of personhood is through custom biometric hardware.
World ID is privacy preserving proof of personhood which enables users to verify that they are humans online while maintaining their privacy by zk proofs via a custom biometric device called the Orb. The Orb has been designed based on the realization that custom biometric hardware might be the only long term viable solution to issue AI-safe proof of personhood verifications. World IDs are issued on the Worldcoin protocol, which allows individuals to prove that they are human to any verifier while maintaining their privacy through zk proofs. World ID aspires to be personbound, meaning a World ID should only be used by the individual it was issued to. It should be very difficult to use by a fraudulent actor who stole or acquired World ID credentials. Further, it should always be possible for an individual to regain possession of a lost or stolen World ID.
Worldcoin (WDC) allows fast transactions, low fees, decentralized, scalable and secure activity.
Galxe (GAL)
Galxe is another web3 credential data network built on an open and collaborative infrastructure, Galxe helps Web3 developers and projects leverage digital credential data and NFTs to build better products and communities.
Galxe enables curators to aggregate credentials through multiple data sources. It empowers developers to leverage credentials through Application Modules, Credential Oracle, and Credential API. $GAL is the native utility and governance token of Galxe platform. Developers who utilize Galxe’s credential data are charged in $GAL. Curating Credentials is another utility. Curators are incentivized to stake $GAL token to signal a credential data sets value.
Galxe platform consists of the following components working in conjunction: credential data network, on chain and off chain credentials, application modules, Galxe OAT, Galxe NFT, Galxe Vote, Galxe Credential API, Galxe Credential Oracle, and Galxe ID which can be users’ universal username that will represent their multichain/multi-wallet identities in Web3.
CyberConnect (CYBER)
Cyber is the first restaked Ethereum Layer 2 designed for social network optimized for mass adoption. It serves as the social layer for web3 applications and the gateway for the next wave of users to access web3 experiences, tools and financial liquidity across all Layer 2 ecosystems.
Cyberconnect has several features including;
Native Smart Account reached via CyberWallet makes account abstraction native to Cyber L2. Seedless wallet connecting to Cyber without intermediaries. Users can access their wallets with FaceID. Enshrined Social Graph Protocol powered by CyberGraph and CyberAccount allowing developers to tap into the smart contracts to read, write and compose on the social graph data. CyberDB, a cheap and efficient decentralized storage powered by EigenLayer AVS. Powerful and Ethereum aligned with EigenDA. Much higher TPS than other L2s, and transaction fee costs average 1 cent USD. Native yield over bridged ETH, LST, and LRT from Ethereum staking and other rewards. Decentralized sequencer network secured by CYBER using EigenLayer AVS makes Cyber L2 censorship resistance. The staking reward is distributed to CYBER stakers. The sequencer fee is distributed to node operators, stakers, and developers.
Syscoin (SYS)
Syscoin is a Bitcoin L2 that is merge-mined with Bitcoin, and a modular Proof-of-Work blockchain solution that brings rollups to Bitcoin’s Proof of work. Syscoin provides to Bitcoin a scalable data availability layer which is necessary for rollups (and other EVM or AltVM layers) to tap into Bitcoin’s network in a safe and scalable way. Syscoin’s base is comprised of a dual-chain Layer 1: the core is the Syscoin native (UTXO) blockchain providing data availability and finality. Running in tandem with the UTXO chain there is an Ethereum Virtual Machine (EVM) chain called Network Enhanced Virtual Machine (NEVM).
Syscoin provides; Proof of Data Availability (PoDA) which is an L1 DA protocol for rollups, hash-based and built on UTXO, efficient and is used for general purposes. Rollux is an OPStack rollup anchored to Bitcoin through Syscoin’s DA protocol which provides 2 second blocktime, extremely low fees, and supports application layers on top. Network-Enhanced Virtual Machine is the L1 EVM of Syscoin, made specifically for supporting rollups and other scaling layers. Syscoin supports cross-chain and even cross-architecture ordinals. Incentivized full nodes deterministically provide finality through multi quorum chainlocks as additive security on top of Bitcoin’s PoW. Z-DAG; based upon Satoshi’s “snack machine” concept, Z-DAG is a UTXO-based instant settlement protocol with probabilistic security used to enable a very high throughput of UTXO transfers. It utilizes Bitcoin’s mempool design as a DAG by providing double-spend awareness. Notary rulesets allows Syscoin to apply its own rulesets on transfers, accept or deny the transfers by signing or not signing the txs.
Summary
In order to summarize ID layer projects; Concordium runs on its own network, backed by an academic institute consisted from blockchain and computer scientists. It has great connections with traditional financial services and has extreme expertise on regulatory issues. These are main advantages of Concordium at this submarket of ID layer projects. Concordium shares the goal of enhancing identity management in the blockchain space with other identity-focused cryptocurrencies, its emphasis on regulatory compliance and privacy features like zero-knowledge proofs distinguishes it from alternatives like Civic, SelfKey, and Ontology. Each project is approaching identity management from different and unique ways. Concordium’s traditional finance background, the team after the product and the blockchain itself are making it different from other projects.
References
https://assets.website-files.com/64f060f3fc95f9d2081781db/64f9b5ab904a44740250db9c_Concordium_ID.pdf
https://whitepaper.worldcoin.org/#worldcoin-token
https://docs.syscoin.org/docs/intro/syscoin-what/
