Introducing the PID
A DID developed for Payment
Last updated
A DID developed for Payment
Last updated
PID is a decentralized ID that is linked to encrypted user privacy-protected KYC/KYB information. It associates users with verifiable credentials across multiple platforms. It can achieve the following:
Compliance Access: PID can include validation information from different platforms, which can be conveniently shared using QR codes. This structured identification and transaction management method simplifies the verification process for partners while remaining compatible with the DeFi ecosystem. Importantly, it bridges the information silos previously built by centralized institutions, connecting an open decentralized identity system through PID, empowering the entire traditional finance/DeFi ecosystem.
Privacy Protection: PID utilizes various technologies, including zero-knowledge proofs, to fulfill anti-money laundering (AML) and counter-terrorism financing (CTF) obligations without compromising user privacy. This is a prerequisite for user participation in the traditional finance/DeFi ecosystem.
Data Sovereignty: PID is derived from splitting transaction information flows. On one hand, it provides feedback to regulators about fund movements, meeting compliance requirements. On the other hand, it returns behavioral data on the blockchain to individual users. Users can contribute PID-tagged data for AI analysis in exchange for rewards and token incentives. This differs from the past practice of centralized institutions profiting from stealing such data. Additionally, PID plays a crucial role in building on-chain credit systems.
Payment ID is not just a Web3 domain and identity platform, but also a bridge connecting digital identity with the real world. Users can utilize simple and memorable domain names as their identity identifiers, seamlessly transitioning between virtual and physical realms. In addition to providing secure and reliable identity authentication, PID is deeply integrated with real-world payment scenarios, making various payment processes such as everyday transactions, e-commerce, credit card top-ups, gift card redemptions, and financial services more convenient, secure, and efficient.
PID is redefining our understanding of digital identity and payments, making our lives more efficient, secure, and convenient. It not only offers a premium experience for individual users but also presents opportunities for service innovation and value addition for enterprises and merchants. As more domains adopt PID, the integration of digital identity with real-world payments will become an inevitable trend in future development.
In their 2022 whitepaper, Vitelik Buterin, Glen Weyl, and Puja Ohlhaver discussed the concept of creating a Decentralized Society (DeSoc) and Soulbound Tokens (SBTs), inspired by the World of Warcraft game. SBTs are non-transferable NFTs held in a private crypto wallet called Souls.
SBTs remain in the owner's personal wallet indefinitely and cannot be sold or transferred. They are ideal for digitally representing non-purchasable assets such as industry licenses, charters, certificates of competency, reputation, medical records, etc. Being non-transferable ensures they are tied to the user for life, giving the owner control over access to the data contained within the token. SBTs offer a solution for individuals seeking maximum control over their personal data, managing it in token form rather than on a central database.
