Sovereign identity has been a hot topic in blockchain and cryptocurrency, especially with the rise of the creator economy. Currently, there are two types of digital identities. The first is federated and centralized, whereby data is in the control of the service provider, while the second is self-sovereign digital identity. The later is often cited as a human right that can reclaim agency using blockchain technology, but what frameworks exist that aid in governing it?
On this episode of NFT Steez, co-hosts Ray Salmond and Alyssa Exposito meet with Marjorie Hernandez, the co-founder of Lukso and The Dematerialized, to discuss the state of blockchain-based identities and “Universal Profiles.” According to Hernandez, “everything will have a digital identity” in the future
Onboarding into the digital realm should be frictionless for sovereign Universal Profiles
During the interview, Hernandez explained the paradigm shift between centralized platforms to a more “platformless future” and stressed that users need to be in control of their identities and creation on more “agnostic platforms” where they can own their intellectual property via Universal Profiles.
Lukso’s integration of Universal Profiles enables users and creators to reclaim their identities and issue their intellectual property in a symbiotic manner between creator and user. According to Hernandez, the Universal Profile can be seen as a personal operating system whereby one can authenticate themselves but also send, receive and create assets.
As Hernandez puts it, Universal Profiles are:
“A Swiss Army-type tool that is serving so many purposes for the user.”
Related: Web3 is crucial for data sovereignty in the metaverse
Blockchain-based identities in Web3
Understandably, the emphasis on identity within Web3 began to spark up again when 2D profile-picture NFTs began to emerge. This surge was framed as a means to represent and identify oneself, as well as a flex, or an expression of ego. For some, their physical and social identities were traded for their newly adopted digital avatars.
However, Hernandez argued that while some perceive digital as masking one’s true self, people will be emboldened “to move beyond these predispositions” and express their “true real self” in a “decentralized digital environment.”
The basis of Hernandez’s thesis is that blockchain-based identity is not only verifiable but gives users 100% control of their data, identity and IP.
When asked by a listener what communities should be doing to ensure the standards surrounding self-sovereignty and that users are no longer “consumers” but active co-participants in the ecosystem, Hernandez simply noted:
“I think it’s just being co-creator, right? And you start building with it.”