The crypto industry is facing a turning point. With more than 300 million people around the world using/owning cryptocurrencies just this year, crypto companies are now required to pay more attention to compliance and identity verification to build trust and encourage wider adoption. Self-sovereign identity is a zero-knowledge digital identity model where credential holders' privacy is protected. With verifiable credentials, users do not have to disclose their actual details to prove their identity. Self-sovereign biometrics help build trust and a seamless experience while reinforcing privacy and security.

Here's a quick overview of how self-sovereign identity and authentication biometrics address the three main challenges crypto companies are facing, right now.

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1. Self-sovereign identity streamlines KYC procedures.

Many jurisdictions have made KYC checks mandatory for crypto asset transactions in the past few years. KYC requirements are being introduced to cryptocurrency wallets and exchanges so regulators can reduce fraud and risk factors so customers can feel confident buying crypto assets. The KYC process usually involves collecting customers' personal information, like legal names, dates of birth, addresses, and proof of identity (like ID cards).

A lot of crypto exchanges face KYC compliance challenges, such as high costs, security issues, and ever-changing regulations. Using a self-sovereign identity can simplify KYC processes in the crypto industry. Instead of sharing all their ID info, users can select what information to share. It also offers a reusable KYC process that makes crypto exchanges and wallets more efficient and secure.

2. Self-sovereign identity keeps the authentication experience private.

The second challenge to which SSI can provide an answer is data privacy: a theme more relevant than ever. Passwords don't protect crypto exchanges and wallets. On the other hand, the Single Sign-On option (i.e., logging in with your Google, Facebook, or LinkedIn account), commonly used throughout applications and websites, is a major threat to users' privacy. Whenever a user logs in through an identity provider, the provider gains access to the user's personal information. Millions of users' privacy has been violated by such inferential practices. With self-sovereign identity, users are in control of when, and how, verifiers access their data.

3. Authentication biometrics ensure security in the verification process.

There is no universally accepted digital identity for use across multiple applications. We will be asked for our username, password, or email address on every website or application we use. The problem is using multiple credentials exposes the user to a variety of security issues. Even with all the efforts to keep users' identities secure, hackers can still access web3 crypto wallets. The crypto industry alone saw cybercrimes (including fraud) reach $1.9 billion in 2020. With self-sovereign biometrics, customers use their unique attributes, such as their faces, to authenticate. By eliminating common attack vectors such as passwords, OTPs, and email and SMS as second-factor authentication methods, customers are less susceptible to hackers exploiting gaps in authentication processes.

Change the way you authenticate your users

The crypto industry is about transparency and seamless experiences. Those companies who can leverage a private, secure, and convenient experience, from onboarding to selling and buying crypto, will win customers' hearts — and their wallets, too.

Creating a trustable, enjoyable experience for your users is not only about earning a competitive advantage but also about earning their loyalty. Using face authentication solutions, crypto exchanges and token marketplaces can provide seamless authentication to all users while improving security and KYC compliance.

We envision a world where all authentication interactions are private, secure, and seamless. Our authentication journeys allow users to authenticate anywhere, on any device, at any time, using a unique feature that can't be stolen or faked: their faces.

Our algorithm is certified and ranked in the top 5 in Europe and the United States by an independent benchmark with 99.9999% accuracy. YooniK enables a fully handsfree experience, bringing unprecedented levels of convenience and accuracy when adopting face authentication in daily routines. 

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