Summary: The hype over NFTs and collectibles is blinding us to their true usefulness as trustworthy persistent data objects. How do they sit in the landscape with verifiable credentials and picos? Listening to this Reality 2.0 podcast about NFTs with Doc Searls, Katherine Druckman, and their guest Greg Bledsoe got me thinking about NFTs.

China is using #blockchain technology to manage #prisoners as if each #prisoner was an #NFT/token on the blockchain…

Given the continuous discussions around centralization/de-centralization in our community, I found this essay by Moxie Marlinspike …

“I was working on an online trading-card game in the early days that had player-to-player card trades enabled through our servers. The vast majority of our customer support emails dealt with requests to reverse a trade because of some kind of trade scams. When I saw Hearthstone’s dust system, I realized it was genius; they probably cut their support costs by around 90% with that move alone.”

NFTs are technologically interesting as a way of proving ownership and facilitating value transfer; but they are problematic if applied to proving a person’s identity.

A soulbound item, once picked up, cannot be transferred or sold to another player.

Most very powerful items in the game are soulbound, and typically require completing a complicated quest or killing a very powerful monster, usually with the help of anywhere from four to thirty nine other players.

Imagine a 3D immersive environment along the lines of Second Life. You “decorate” your “home” with “art”. You pop up an obligatory Persistence of Memory Dali print. But is it “real” and what does real even mean? In the physical realm, we know that this is only one original, which is at the MOMA in NYC. But what about the various quality prints that I can buy – at the MOMA, on Amazon, on the street.

That’s definitely one of the ideas that I’m exploring for more longer-term. […] to have an embedded a private key in a secure element within the IOT device, and be able to verify the identity or the source of your IOT data through an SSI mechanism. That’s the longer-term, broader vision when talking about the supply chain, for sure.

NFTs offer creators a novel way to monetize their creations. Unfortunately, there have been reports of artists having their artwork sold by impersonators. This is, in part, due to popular NFT platforms lacking a robust verification process for determining a creator’s identity.

avatars (the visualisation of self-sovereign identities) go beyond simply providing users with further ownership and control over their cryptographically secure identities, by offering an end-to-end application ecosystem designed to facilitate the commerce and exchange of digital and physical services

an epic thread on twitter unpacking the uproar about the DeSoc paper relative to DID/VCs and NFTs/SBTs.

What does decentralized, trustless, digital identity look like?

On-chain Soulbound NFTs?


Off-chain Verifiable Credentials?

Where will the future of Web3 identity live?

Some also worried that SBTs, given their potentially public, non-transferable qualities, could give rise to a Chinese-government-style “social credit system.” Others took shots at co-author Buterin personally, criticizing his “lack of understanding of the real world.”

Sekuritance is implementing an identity-based ntNFT (non-transferable non-fungible token) to be utilized not only within the Sekuritance platform but also within its partner ecosystem

Ultimately, each one of these will find their uses but care should be taken to avoid creating another scandal similar to Clearview AI where people release data into the world without being truly aware of the downsides it can create. Privacy, you don’t know what you got till it’s gone!

Blockchains are not required for exchanging verifiable credentials, but layer-2 networks like Ion, built on top of Bitcoin, can provide an additional level of security when creating Interestingly, all interviewed users claimed to have had a seamless and easy onboarding DIDs.