The use of zero-knowledge (ZK) proofs in decentralized identity applications has ignited a lively discussion within the cryptocurrency sector, with some critics arguing that implementing ZK technology is prohibitively expensive and overly complex.
Leo Fan, the co-founder of Cysic, a company focused on ZK hardware, contends that while ZK proofs have historically been costly, they still offer a more economical alternative compared to traditional identification systems managed by centralized organizations. In an interview with Cointelegraph, Fan elaborated on how recent advancements in hardware and improved proof generation techniques have significantly lowered both costs and the time required to finalize ZK proofs. He noted that ZK proofs are already less expensive than the cumbersome bureaucratic processes of conventional ID systems, which can cost billions to maintain. Fan remarked, “The time required to generate ZK proofs is now around 10 seconds,” making ZK a practical solution for decentralized identification. He referred to ZK as a “public good” that can enhance privacy while still fulfilling necessary verification functions for identity proofing.
Countries are increasingly adopting ZK-enabled identity solutions. Fan highlighted the recent launch of a ZK-based digital ID system for 3.6 million residents in Buenos Aires, Argentina. On October 21, government officials announced the integration of QuarkID into the existing miBA digital identification framework, empowering individuals with greater control over their biometric data.
In August, Worldcoin introduced its World ID orbs in Vienna, Austria. These devices gather biometric information by scanning the irises of users, transforming their unique identifiers into cryptographic proofs that affirm their identity. Later that month, the Malaysian government struck a deal with Worldcoin to incorporate the company’s iris-scanning orbs into the nation’s official identification framework. This collaboration also involved Tools for Humanity and MyEG, a company dedicated to connecting government services with citizens.