As blockchain adoption reaches more tech sectors, significant challenges remain. Blockchain’s inherent transparency makes adoption difficult for data-sensitive industries with regulatory requirements, while its complex technical nature makes it difficult for unfamiliar users to get involved. Leading the charge to remove these barriers, Data Ownership Protocol is developing new products and services to supercharge blockchain adoption. We sat down with Project Director Avidan Abitbol to learn more.
Hi Avidan, it’s a pleasure speaking with you! Getting straight to it, we have recently seen instances where the blockchain’s extreme transparency has resulted in certain individuals being faced with issues like doxxing, leakage of financial histories, etc. Could you please speak on some of these risks as well as elaborate on how the Data Ownership Protocol (DOP) addresses these concerns?
The risks of unfettered blockchain transparency have become increasingly apparent in today’s digital age. We recently saw a security researcher who, with just 20 hours of analysis, was able to identify potential insider trading patterns before certain tokens were even listed on exchanges (here’s looking at you Binance!).
Picks for you
Similarly, we’ve also seen cases where this transparency has led to safety concerns, such as during the Canadian truckers’ protests where donor wallets were tracked by government authorities, or in Iran where authorities were able to employ blockchain analytics to identify and arrest activists.
Thus, to help make the blockchain more secure, we developed a ‘selective transparency’ module allowing users to encrypt sensitive information — such as show or hide their token balances on demand — while still enabling them to prove the legitimacy of their funds when necessary.
Staying on the subject, would you elaborate on how exactly this ‘selective transparency’ feature works and what makes it different from other privacy solutions in the market today?
Great question. To put it simply, rather than advocating for complete privacy or total transparency, we’ve come to a middle ground where users have granular control over their data and are able to decide what information they’d like to encrypt and share that too with whom, and when.
In the real world this amounts to businesses and individuals maintaining full control over who is able to access their finances while still being able to prove the legitimacy of their assets to regulators or auditors when required.
Basically, it’s quite similar to traditional banking, where your account information is private but verifiable by authorized parties.
Moving on, your team recently announced the release of ‘Tasks’ as part of the DOP ecosystem. What exactly are you offering with the platform?
Tasks is our response to the growing need for trustless task management protocols within the Web3 market today — especially as most traditional task management systems feature multiple intermediaries, each taking significant revenue cuts while also controlling the rules of engagement with the system.
To elaborate, with Tasks, everything is smart contract controlled, leaving users in full control of its internal processes. Moreover, the platform allows anyone to create, complete, and earn from individual assignments, making it ideal for freelancers, project managers, or even organizations looking for a decentralized solution for their work and payment needs.
Talking about innovation, DOP Oracles seems to be yet another unique offering available as part of your ecosystem. What exactly does Oracles and what value does it bring to developers?
Simply put, Oracles solves one of the most fundamental bottlenecks hampering the blockchain’s mainstream expansion today, i.e. the accrual of reliable, high quality, real-world data onto the chain in an instantaneous manner. Our system uses a network of verified participants who vote on data queries, ensuring accuracy and impartiality through consensus.
But its core USP, in my opinion, is its flexibility and reliability. For example, developers can use it for simple data requests to even complex dispute resolution. For instance, a developer building a sports betting dApp can get verified match results, or a DeFi platform can access market data for their smart contracts. We’ve made it cost-effective too, with data requests starting at just $3 per Oracle.
Sounds good but could you explain in more depth how exactly the security and reliability of the Oracle network is ensured, particularly when dealing with high-stakes decisions?
To achieve this, we’ve implemented a multi-layered approach. For instance, when dealing with dispute resolution-related matters, we use a system of 15 Oracles, with a cost of $400 per party. The decisions can even be executed automatically via smart contract for an additional fee of 0.25% of the transaction value.
Furthermore, every Oracle is made to go through a rigorous verification process before they can participate in any decision making process. Not only that, every Oracle is selected randomly, ensuring that the system is not laced with any biases — with all results being recorded directly on the blockchain, making them easily verifiable.
Last question – in the near to mid term, what’s your vision for DOP?
Our goal is to create a comprehensive suite of tools that makes Web3 more accessible, secure, and practical for everyday use. Through features like selective transparency, we’re addressing the critical need for privacy without sacrificing accountability while with Tasks, we’re looking to revolutionize how work is managed and compensated in today’s digital age.
In essence, DOP’s vision is to create an ecosystem where businesses and individuals can confidently participate in the fledgling decentralized economy without compromising on their privacy or security.
Read more interviews here.
