Why the Verifiable Credentials Community Should Converge on BBS+

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Then, at the Fall 2020 Internet Identity Workshop (IIW), MATTR made an announcement about BBS+ LD-Proofs. They had taken the code in Hyperledger Ursa and described how to use it with JSON-LD—while at the same time producing credentials compatible with the W3C Verifiable Credentials Data Model v1.0 specification.

BBS+ LD-Proofs use JSON-LD schemas, so credentials that use them can have a rich, hierarchical set of attributes. Instead of the heavy-handed mechanism for the encoding and canonicalization of attributes values that we’d imagined for Rich Schemas, they use RDF canonicalization and a hash function. Rather than expanding the credential definition, they discarded it, taking advantage of some properties of BBS+ keys which allow for deterministic expansion.

From Why the Verifiable Credentials Community Should Converge on BBS+:

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NFT market crash! Top 3 NFTs that lost the most value – TechStory

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In December 2020, Jack Dorsey, one of the co-founders of Twitter is known to have created a non-fungible token (NFT) out of his first-ever Twitter post. For some of you wondering what it exactly was? Dorsey actually turned a rather static image of a five-word tweet into a virtual fie that was then stored on a blockchain and that is how an NFT was born! Now, this particular NFT was originally sold for about 2.9 million dollars but when the buyer again tied to sell it off last month, the could only fetch nearly $280 which is a significant decline in value.

From NFT market crash! Top 3 NFTs that lost the most value – TechStory:

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Lindsay Lohan fined after ‘shilling crypto’ for BitTorrent • The Register

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The scale of Sun’s alleged washing scheme was substantial. The SEC alleges he “directed his employees to engage in more than 600,000 wash trades of TRX between two crypto asset trading platform accounts he controlled, with between 4.5 million and 7.4 million TRX wash traded daily.”

From Lindsay Lohan fined after ‘shilling crypto’ for BitTorrent • The Register:

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JPMorgan bought $1,300,000 of nickel that turned out to be stone | Metro News

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JPMorgan Chase & Co bought 54 tons of nickel before realising they were actually just bags of stone.

The London Metal Exchange announced last week that it had cancelled $1,300,000 (1,000,000) worth of nickel contracts after discovering ‘irregularities’ at a warehouse.

These ‘irregularities’ were how several shipments of nickel weren’t actually the silvery-white metal at all – they were lumps of rocks.

Now it turns out that JPMorgan, one of the biggest banks in the US, was the unlucky owner of sacks upon sacks of stones.

From JPMorgan bought $1,300,000 of nickel that turned out to be stone | Metro News:

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Tech Companies Are Ruining Their Apps, Websites, Internet

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Netflix was able to iterate on their core product — letting people watch movies — in a way that actually made that experience better.

By contrast, the half-assed pivots from the likes of Microsoft, Meta, and Google are trying to graft unproven or nonsensical technology onto their products for the short-term stock boost. Instead of thinking about what’s best for the user, the fad-chasing is creating Frankenstein tech that makes no sense.

From Tech Companies Are Ruining Their Apps, Websites, Internet:

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POST Am I Taking Crazy Pills?

We all want to protect children online and there is no doubt that the lack of digital identity infrastructure is a fundamental problem for a society struggling to deal with social media. There are a variety of different approaches to solving this problem. One of them, adopted by the state of Utah, is to make accessing social media difficult for children by requiring parental permission for access. This will likely mean the submission of biographical information (for the children and their caregivers) to. I noted with interest that the iniative that the data collected for age verification and compliance must be kept by the platforms. That’s a red flag for me.

I’m in Australia this week, so let me use an Australian example to illustrate the problem. Round about this time last year there were really big data breaches down under: Optus and Medibank. Optus is a particularly interesting case study. At the time, the company reported that “no financial data was accessed”,  only names, dates of birth, phone numbers, email addresses, and, for a subset of customers, addresses, ID document numbers such as driver’s licence or passport numbers.

(As I said at the time, rather sarcastically, thank goodness the fraudsters only have name, date of birth, phone numbers, email addresses,  addresses and “ID document numbers” because I doubt they’ll be able to get up much mischief with those!)

The huge volume of data hacked from Optus was just a fraction of Australians’ personal information hacked last year. There were terabytes of this data up for sale on the dark web. One category of data that was being openly traded online was the login details of individual myGov accounts, sold for as little as a dollar. That is a particulatly worrying category, because myGov is the central hub used to access an array of public services including the Australiation Tax Office (ATO), Medicare and Services Australia, which are being sold for as little as $1 USD.

What would a criminal do with all of this personal information? Well, for one thing, they used it to gain unauthorised entry to the tax office by creating false myGov accounts and linking them to the tax files of genuine taxpayers. This circumvented tax office security checks and it has now been revealed (through a Freedom of Information Request) that more than half a billion Aussie dolllars has been fraudulently obtained to date.

(Next time someone asks me what the business case for digital identity is, I’ll scream.)

This what happens when regulators require organisations to store personal information. I can understand why a social media platform in Utah might need to know whether I am over 13 or not, but not why it needs to my birth certificate. I can understand why Medibank might need to know whether I am Australian or not, but not why it needs to know my passport number. I can understand why Optus might need to know whether I’m a real person or not, but not why it needs my driving licence. We need to shift from business relationships based on identification to business relationships based on authorisation, from storing data to storing proofs about data and from the use of trivially subverted knowledge-based authentication to strong authentication (ideally based on biometrics, in my view).

There is no digital identity infrastructure in America, and requiring children’s details to be uploaded won’t make any difference. If anything, it will teach children to upload their personal details as well as mom’s drivers licence to anyone who asks for it. I think we should skip this inappropriate and dangerous 

Latitude Financial cyber-attack worse than first thought with 14m customer records stolen | Business | The Guardian

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Latitude Financial has revealed that 14m customer records – including driver’s licence numbers, passport numbers and financial statements – were stolen from its system in a cyber-attack that was far worse than the company initially reported.

The consumer lender, which offers personal loans and credit to customers shopping at stores including JB Hi-Fi, The Good Guys and Harvey Norman, said in a statement on Monday that some of the documents date back to at least 2005.

Cybersecurity funds should go towards beefing up Centrelink voice authentication, Greens say
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The details stolen include 7.9m Australian and New Zealand driver’s licence numbers and 53,000 passport numbers, Latitude said.

From Latitude Financial cyber-attack worse than first thought with 14m customer records stolen | Business | The Guardian.

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Latitude’s chief executive, Ahmed Fahour, said

“We are committed to working closely with impacted customers and applicants to minimise the risk and disruption to them, including reimbursing the cost if they choose to replace their ID document.”

Web3 Experiments Start to Take Hold in Banking | Bain & Company

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Web3—the next generation of the web that incorporates components such as blockchains, smart contracts, digital currencies, and nonfungible tokens (see Figure 1)—has quietly started to spread throughout banking… Although these initiatives have yet to reach true scale, early adopters hope to harness aspects of web3 to reshape their economics; make banking services faster, less expensive, and more transparent for customers; and improve resiliency.

From Web3 Experiments Start to Take Hold in Banking | Bain & Company.

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Hindenburg Crashes Into Cash App, But Report Lacks Context; 42% Of BNPL Users Overdraw Their Accounts

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According to Juniper Research, online payment fraud is expected to reach $48 billion by 2023, up from $22 billion in 2018 due to the rise of real-time payments and fast fraud.

In summary: Faster payments = faster fraud.

From Hindenburg Crashes Into Cash App, But Report Lacks Context; 42% Of BNPL Users Overdraw Their Accounts:

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