Non-Disclosing Credential On-chaining for Blockchain-based Decentralized Applications

Abstract: Many service systems rely on verifiable identity-related information of their users. Manipulation and unwanted exposure of this privacy-relevant information, however, must at the same time be prevented and avoided. Peer-to-peer blockchain-based decentralization with a smart contract-based execution model and verifiable off-chain computations leveraging zero-knowledge proofs promise to provide the basis for next-generation, non-disclosing credential management solutions. In this paper, we propose a novel credential on-chaining system that ensures blockchain-based transparency while preserving pseudonymity. We present a general model compliant to the W3C verifiable credential recommendation and demonstrate how it can be applied to solve existing problems that require computational identity-related attribute verification. Our zkSNARKs-based reference implementation and evaluation show that, compared to related approaches based on, e.g., CL-signatures, our approach provides significant performance advantages and more flexible proof mechanisms, underpinning our vision of increasingly decentralized, transparent, and trustworthy service systems.