The Issue of Regulatory Compliance & Non-Consensual Data Sharing

While Zero Knowledge Proofs are helpful, they aren't enough...

Zero-knowledge KYC prevents data honeypots and massive surveillance. However, on its own, it isn't sufficient for cases where regulators or law enforcement need to investigate users suspected of criminal activity.

As a result, maintaining honeypots has become a necessary compliance practice: organizations store sensitive data that is frequently breached, just to make sure it remains available for investigations.

Solving The Dilemma: Proof of Clean Hands With Human Network

While ZK proofs (ZKP) aren't trivial, ZKPs with compliance are ever more complex. Hence, human.tech has built Human Network, a AVS on EigenLayer that allows provable threshold encryption. The network has no centralized party that can decrypt user data. Instead, it allows users to create ZKPs which can be "decrypted" by pre-approved parties only when a smart contract is triggered.

One use case that can be built on top of the network is provable encryption of identity.

Human ID packages this functionality into a very easy to use solution called proof of clean hands that serves as a general-purpose compliance tool. Once a user has a proof-of-clean-hands SBT (soul bound token), we know the data is encrypted to an observer that can only decrypt a small amount of data per day, making surveillance or honeypots impossible while enabling complience with law enforcement and regulators.

For more information, see the architecture:

Clean Hands Architecture

Or usage:

Clean Hands Attestations