Beyond ZK: The Future of Blockchain Privacy with Composable Solutions with zkFHE
In the rapidly evolving world of blockchain technology, privacy has always been a paramount concern. Zero Knowledge (ZK) has long been hailed as the holy grail of privacy solutions. However, as Airchains Co-Founder and CEO Ankur Rakhi Sinha points out in this insightful article on CoinMarketCap, it's time to look beyond ZK and embrace a more comprehensive approach: composable privacy.
The Limitations of Zero-Knowledge Proofs
While ZK proofs have revolutionized confidentiality in blockchain transactions, they aren't a one-size-fits-all solution.
"ZK proofs are great for verifying computations, but the prover must access the private data to generate the proof. This means you still have to trust them, which is essentially what we're trying to avoid in blockchain," Sinha explains.
This limitation becomes particularly evident in scenarios where transparency is crucial, such as in certain market conditions or regulatory compliance situations.
Introducing Fully Homomorphic Encryption (FHE)
To address ZK’s limitations, we can use it in tandem with Fully Homomorphic Encryption (FHE).
"ZK proofs provide confidentiality, while FHE provides privacy,” Sinha clarifies. “FHE is great for encryption, allowing computations on encrypted data without decryption. However, it doesn't allow for verification of the computation's correctness.”
The Power of Composable Privacy
In fact, the real breakthrough comes from combining these two cryptographic technologies, which opens up a new world of possibility for developers.
“Combining ZK proofs and FHE offers the best of both worlds: privacy and verifiability,” says Sinha. “We call this composable privacy. It's like privacy à la carte, where you can pick and choose the level and type of protection you need.”
This innovative approach allows for:
- Encrypted data storage (FHE)
- Computations on encrypted data (FHE)
- Verification of computations without exposing data (ZK)
With its multichain zkFHE composable framework, Airchains is at the forefront of this privacy revolution.
“Airchains' framework allows us to build and run on multiple Virtual Machines and data availability layers without a settlement layer,” Sinha explains. “This modularity is crucial for addressing diverse privacy needs across different applications.”
Real World Applications
The potential applications of composable privacy are vast. Sinha provides a relatable example:
"Imagine sharing an approved credit score for a rental application without revealing the actual score. It's like telling the landlord 'I'm creditworthy' without showing them your bank statements. That's the power of composable privacy in action."
This powerful new technology is poised to revolutionize various sectors, including:
- Financial services
- Healthcare data management
- Supply chain transparency
- Identity verification systems
The Future of Blockchain Privacy
As the industry moves forward, it’s crucial that developers have the flexibility to tailor privacy solutions to their use case.
"We need to evolve from myopic views of what blockchains are,” says Sinha. “Open-ended modularity allows for the right solution for each project. With modular solutions, you get the pieces that make the most sense for your specific needs.”
The future of blockchain privacy lies not in a single solution, but in the intelligent composition of various privacy enhancing technologies. As Airchains continues to pioneer these composable privacy solutions, we find ourselves in a world where digital privacy is not just secure, but also easy to configure in a variety of powerful ways.
By embracing composable privacy, we're not just solving today's privacy challenges — we're building a framework that can adapt to the privacy needs of tomorrow.
For a deeper dive into the concepts of composable privacy and the limitations of relying solely on ZK proofs, we encourage you to read Ankur Rakhi Sinha's full article on CoinMarketCap.