Quadrata CEO on digital identity solutions for Web3

0:00i'm ashton addison from block west capital for investmentpitch media and today on the Crypto Coin Show we have fabrice chang ceo and co-founder of quadrata fabrice welcome to the show and thank you for taking the time thanks for having me happy to be here you're very welcome let's dive into the web three solutions all things d5 with quadrata i'd love to kick off the

0:22conversation by just hearing from you know what are the specific solutions you and your team have been developing and how are those fitting into the blockchain space and then we'll dive into everything else yeah absolutely so i think if you think about the blockchain space and the state of kind of decentralized application as it is today you can

0:43quickly see that we deal with users and users basically i are today only identified by a wallet address and you know it has the great properties of you know being fully anonymous and you know kind of what we like to say fair and inclusive on the other hand applications are lacking something critical to build products right like to build

1:10better products be a better caterer products so what we're trying to achieve is how do we basically enable the notion of identity the notion of some sort of compliance and notion of reputations in a way that can take the best practices of what we're accustomed to in the web to space but fitted into you know the blockchain paradigm because and what i mean by paradigm is

1:33How do we ensure that you know data privacy and data enmity and user anonymity are not you know being sacrificed so in a nutshell bridging identity compliance and reputation in a privacy preserving way such as applications can have access to the informations natively on chain and users can benefit from a better product amazing great intro fabrice and yeah

1:59you're right i feel like web3 is opening a new door for you know freedom anonymity but it's by no means perfect and it's a bit of a mess but at the same time web 2 logins and personal information is a complete mess as well because you have 500 different accounts with a password manager and none of them speak to each other and they're all you know a

2:23point of failure potentially for a hack and vulnerabilities and we've already seen you know facebook linkedin and all of the major platforms have been compromised at one point or another losing people's personal information so i'm really curious on how your team is tackling this in a way that makes it easy for the end users to control their personal information and not have it

2:47being compromised at the same time absolutely i think that's really the core of what quality is we take the kind of the best of blockchain technology which is that global and share ledger we when you think about it a user when they create an account of the you know identified and have an identity reputation there's no reason why this reputation and this identity should be

3:12Unique to each applications right as an example if i have a very good reputation as a customer on amazon i should have a good reputation on the same reputation as a customer on airbnb no my reputation is not necessarily tied to just one applications and today that's the reality of it so when you look at blockchain technology and what this beautiful technology allows

3:35is as a user you're right i could have a single login which is my account it's beautiful but if i could attach to that what i count a notion of identity in a way to have you know some sort of reputation attached to it then every applications built on public blockchain could query that could access it so it's kind of a unique global identity a unique global

3:58reputation that could be created by all applications beyond blockchain and would be unique and portable across applications so that's really kind of taking again what we are used to and what makes sense in web to space but i think just the technology wasn't there to allow us to have these global idea reputations and now with blockchain technology we do have a means to

4:22to achieve that definitely and i'm really looking forward to that as somebody who does have 500 different logins that don't talk to each other i'm looking forward to that one login and speaking of that you know how long has your team been working on this and where exactly is it at right now so we have been funded and we have basically a

4:45subsidies were subsidies of a parent company called spring labs and so we were originally self-funded by spring labs the idea came out of spring labs probably like 14 months ago and over i would say probably like nine months ago we spun out of spring labs so we've been working at it for like over a year now i would say you know all things combined

5:06What we are today is that you know we are on a test net so our technology is available it's ready for be integrated by a lot of applications if they wanted to we have deployed on the test network and deployed mumbai for polygon so any applications today build on those applications those network should easily with like a few lines of code

5:30integrate into the quality network and they could access basically attributes about consumer passwords very cool and i've seen in some iterations of digital identities in the past that the logins are actually used as also as like nfts or you know it's your wallet address but it's also a website as well what's the extent of

5:58you know the identities within quadratic yes so just to set some context i think you know the identity space have left a lot of bones behind us because a lot of people have tried and it's a complex i think topic to tackle i would say you know for instance in 2018 all those identity players have tried to tackle the space but probably trying to

6:21find a solution to a problem that did not exist back then and today the landscape is very different and we see a lot of identity solutions coming out i think it's the space is kind of prime to and require those type of information to be able to create a new wave of applications how we differ i would say compared to those solution is exactly that we

6:44want to make sure that this identity is tied to your wallet the wallet is actually the perfect single sign-on there's no reason to create another login password and you've never source of login or identifiers the what is the perfect one now it's how you attach information of kyc of identity and reputation to that one that matters and in our specific

7:05case we are opting for a solution that is exactly that a non-transferable nft that gets attached to the one at the nft for two reasons one it's a standard that a lot of dev and a lot of people understand right rnft for instance can show up on openc on metamask once you meet your paratha passports the second is there is this very well fit properties of nft that

7:34kind of represents could represent no attestations about your identity your reputations that is just a perfect use and the technological complexity of integrating with an nft a lot of them from blockchain companies are very used to again those a lot of those functions are standard functions you look at the main function you look at the burn function the read function

7:55all the strings are very i would say standardized today in the space as nfp grew so it's a perfect kind of i would say a means for us to port identity rotation on chain and i think having that available on chain also have great properties such as you kind of leverage the uptime and the infrastructure of blockchain technology meaning that if qualater kind of know

8:22the team is inactive for several months that doesn't disrupt the system and it opens the door again for a lot more composability and interoperability between applications where you make that data available neatly on chain and people can easily plug into it when you have things on chain the beauty is that people can access the informations on chain and off chain

8:46Whereas like if you make that data available of chain you cannot exclude all those deep applications that wanted to have access that applications or informations they need don't you very cool for brace and you know speaking of defy and just general logins i'm are you guys looking at potential first use cases of what kind of applications are going to be

9:11integrated with quadrata and upon the mainnet launch and right now because you know with wallets specifically and with kyc there's often early stage crypto projects but i feel like as a broader use case digital identity will be used for all kind of social media platform all of these different logins where are you guys starting absolutely i would say without being

9:37too specific there's a few categories of players that have been interested in a solution like quarantine you have i think in the d5 space they tend to be a little bit more related to the compliance aspect of it i think a lot of players are trying to attract a broader institutional capital into d5 and in general when we talk with financial institutions one of

9:59the i would say one of the key blockers of them entering the space in size is how do we know that we are not commingling our funds with bad actors so the compliance aspect of it is very important with corata passports for instance you can create a compliance where lending protocols or compliance with dex where you know that everyone in those liquidity pool have

10:22for instance have a quality passport and therefore you know that there's some sort of compliance check that have been performed on an ongoing basis another type of use cases that we see is also coming from as you said not only cd5 but metaverse right you look at the metaverse i think this the metaverse has been you know very very hot topic over the last few years and what has emerged

10:44from this is two things one a lot of like play to earn experience a lot of you know ways for people to earn kind of financial incentive from performing actions you know stepping or playing and these kind of have the properties of any time you tie a financial incentive a lot of comp a lot of people are trying to extract as much value from it so they

11:07create like automated bots you know plenty of wallets that can like automate the actions to extract as much value and this is something that is very real for manifest applications they need to be able to fight against that and how do you fight against bugs one of the best and most effective way today is for instance using aquata passports if you ensure that all your participants

11:27who want to for instance play and earn rewards have to own a password you know that they have a real person and you can have some simple resistance to your system to avoid the users from having multiple accounts so that's type of also situations where identity is very important and i would say the first categories of applications where it's very important

11:49is also you know for nft drops similarly to what you saw in the other side land cell people are basically for the very high demand nfts you want to avoid again as much bots as much as possible that can scoop in the majority of the cell and therefore having an identity solutions and a civil simple resistant technology could be very very valuable for those projects

12:15definitely i completely agree and there's there's always players in the game trying to take advantage however they can whether it's making multiple wallets or pretending to be multiple people so that's definitely a great solution for that now fabrice i have a question surrounding you know in web 2 if you have an account and you lose your

12:34password you can request it from the service provider and they'll you know fix your account for you how would that work with more of a decentralized identity if you somehow lose access to your identity like how would you be able to get it back right so the kyc aspect the verification of the identity is still performed by centralized entity it is not quanta we

12:57are not never seeing new informations but we are you know a solution that is plugged into reputable identity providers that are in charge of collecting those informations and verifying it and storing it securely so in the case of you know either wanted hack or water being stolen or a loss of privacy access to your wallet there is a way to basically

13:20request the passports to be deleted and your data to be deleted associated with that wallet similarly to if you still own this one address but somehow your private key has been linked online you have possibly to yourself burn your passwords and that burning password is irreversible and then the only way to attach again a new password would be to

13:43request so the basically the bad actors would need the access to pi informations about yourself okay great to know for brace and you mentioned that you know you guys have been actually developing really quickly and you're in the test net phase right now what are the main objectives that need to be filled to get towards the main net and the main launch

14:05i think at that point it's purely about you know security of the protocols we have had you know the product is working as intended and we're in the phase where we are you know undergo undergoing security audits from external firms we're in the process of doing heavy internal qa penetration testing other things so it's really at that point not as much feature missing

14:30but really just making sure that we are launching with the best security properties around our product and being ready for a minute is the only thing that matters to me awesome and you know you talked about some of the players and a lot of bones in the industry of in the last bull run people trying to do decentralized identities and just wasn't ready for

14:53that yet what do you see as the reason that you know we're not already using you know instead of login with google login with facebook it is login with your decentralized identity how come at this point you know five years since the last bull run that's not the already the status quo for logging in i would say we are halfway there right if you look at most applications

15:20you don't see as many applications decentralized applications that requires you to have a logging password anymore it's hey connect you want it then you can access my applications so i think we are already halfway there now i think that will continue that permissionless you know system and realm will continue but you're gonna see more and more

15:39applications that's going to require users sometimes for specific action to identify yourself and that is going to be again for instance potentially for the passports and the logging system for that is going to be exactly the same you connect you want and if you have a passport we can access information about your password so again we are not trying to add an extra layer

16:00of identifications or processes around how to create accounts we are piggybacking onto the wallet connections which is amazing and we make the integrations to query information about the password as as simple as possible and attached to your wallet that's the main reason why we opted for an nft solution that could be linked to your wallet directly yeah yeah

16:23i'm looking forward to that and you write simplicity and making we don't want more steps we want it easy and it should be easier than creating a username and password but you know so looking forward to seeing how that plays out what is the best way for the viewers to follow along on the path to the mainnet launch with quadrata yes so we have a discord channel we have

16:46a twitter account network and you have my personal account in general i tweet about everything but also all news related to guadalajara and we are very responsive on discord some people come in and ask about the progress and some features are always nice to hear community feedback so we welcome people coming in chatting with us at the whole time sounds great for brees i will leave

17:08those links in the description box below as well for the viewers thank you so much for taking the time to talk about all this digital identity passports looking forward to seeing the launch of the mainnet and i will be following along so let's follow up in the near future thank you ashley appreciate it thank you so much you