Blockchain has brought great advantages like:
->Transparency
->Immutability
->Decentralization, etc., can lack the privacy needed for some transactions.
The combination of Cryptography and Blockchain has attracted people’s attention recently after the ZKP was introduced. Amalgamating blockchain and cryptography has given a secure mode of financial transactions. Also, combining zero-knowledge proofs (ZKPs) with blockchain technology has the power to provide users with a powerful mixture of immutability and security.
Firstly, Zero-knowledge proof was introduced by MIT researchers Silvio Micali, Goldwasser and Charles Rackoff in the 1980s.
The Zero-knowledge protocols don’t prove something with much certainty. It's just a probabilistic approach. Providing information that is non-linkable and that can together show the validity of the assertion is probable.
The Zero-knowledge Proof commonly called (ZKP) is a cryptographic technique in which no information is revealed during a transaction except for the interchange of some value known to known to both the prover and verifiers (the two ends of the process).
The main idea behind the ZKP is that the user can prove to another user that they know absolute value without actually revealing any other extra information.
The Three Inherent Properties:
All the ZKPs have the following three essential pre-requisites:
Completeness: It notes that the transaction is verified and the prover is permitted to process the transaction ahead. If the transaction statement is true then the verifier has the authority to permit the prover for the input he requested.
Soundness: It notes the correctness of the transaction and ensures that it's not part of a fraudulent case. If the prover is himself dishonest, they cannot convince the verifier of the soundness of the proof.
Zero-Knowledge: The verifier cannot have any information other than the current statement and the authenticity of the statement being true or false. The personal data of other parties stay anonymous.
THE FUNDAMENTAL TYPES OF ZERO-KNOWLEDGE PROOF:
Interactive ZKP:- In this, a prover needs to convince a specific verifier and repeat this process for each verifier; that is the prover must complete a series of actions to convince the verifier about a specific fact. The actions associated with the concepts deal with mathematical probability.
Non-Interactive ZKP:- They don’t have any voluntary interaction between the verifier and the prover. A prover creates proof that anyone can verify, and the verification process can be moved to a late stage. For better functionality, they need specific software.
ZKP and its usage with Technology:
One prominent usage of Zero-Knowledge proof is Zcash.
Zcash is the initial application of zk-SNARKs and the fundamental form of Zero-Knowledge cryptography.
Zk-SNARKs is an acronym for Zero-Knowledge Succinct Non-Interactive Argument of Knowledge.
zk-SNARKs works on the following three algorithms.
Key Generator: A key generator establishes a parameter to generate a key pair. Here, a trusted source can delete the private information after generating a private or public key pair. Next, another key pair is generated using the public information. Of this pair, one would be used for proving and another for verifying.
Prover: The prover gets the proving key and needs to prove his knowledge. He will receive and verify the private key and then shall forward the statement.
Verifier: The verifier will get the input from the prover and will validate the statement’s authenticity.
Advantages of Zero-Knowledge Proof:
Simplicity: This does not require any Software knowledge to operate but can offer superior solutions impacting daily lives. Moreover, as It's completely unencrypted yet highly secure it can offer the best of both domains.
Secure: A user can use it with confidence while not having any understanding to its basics.
Time Saver: By Shortening the time required in blockchain transactions ZKPs offer value to users in a noble manner.
Privacy: It never requires sensitive data-sharing and hence is extremely private in general.
Safety: Users of ZKPs are aware of the need for ZKPs to share data, and they can stay away from any company that needs access to personal information without a valid reason.
Different Use Cases of ZKP:
Messengers on blockchain: Although messengers we have nowadays promised to be encrypted, unencrypted blockchain can be the next big thing in the technological world. With the guarantee of an unencrypted yet robust solution, ZKPs and blockchain can co-create a value-added messenger platform secured for one and all.
Next-gen file system controls: ZKPs can help in adding multiple layers of security to files, and logins. As a result, ZKPs can present notable obstacles for hackers or manipulators to alter and retrieve the data.
Protection of storage: ZKPs include a security protocol with the information included in the storage unit. The access channels have formidable safeguards that create a highly secure and seamless environment.
Transferring private blockchain transactions: The most notable concern in private blockchain transactions is the numerous loopholes evident in conventional procedures. The productive integration of ZKP with private blockchain transactions can create a powerful hacker-proof process.
Data Security: Organizations that control sensitive data, such as banks and hospitals, must keep them free from third-party access. ZKPs and blockchain together can make accessing data impossible.
Applications of ZKP:
Voting Systems:
Zero-knowledge proofs can be used to create highly secure and verifiable voting mechanisms that enable individuals to cast votes without compromising their identity or revealing who they voted for.
In traditional voting systems, users must provide their identity to vote, and the administrators are trusted to keep their identity and vote confidential. With a ZKP-based voting protocol, individuals never need to reveal their identity in the first place. They can simply use a ZKP to demonstrate that they have a valid document, such as a government-issued passport.
The integrity of voting systems can also be enhanced with vote verification using ZKPs. This enables voters to independently verify that their vote was recorded in the election tally without revealing their voting preference to anyone else. ZKP verifications also enable independent auditors to verify that the process was conducted fairly and the election outcomes are accurate.
Internet of Things(IoT):
Zero-knowledge technology can play a key role in securing these devices and protecting user privacy.
Zero-knowledge-based protocols can help verify that software updates for IoT devices are from the authorized manufacturer, ensure that only authorized devices can access a network or user data, and enable secure communication between devices. By reducing the amount of data that needs to be transmitted and processed, ZKPs can also significantly reduce the energy demands of IoT devices, improving efficiency and reducing costs.
Supply Chains:
Proving the origin and authenticity of goods and materials and meeting compliance standards are critical parts of supply chains within modern economies. However, there are inherent conflicts around these goals as corporations simultaneously want to protect their trade secrets and processes, including the identity of their suppliers and customers.
By enabling corporations to keep certain information private while still verifying its authenticity, zero-knowledge proofs can help provide more transparency around supply chains. For example, ZKPs can enable auditors to verify that a shipment of goods was transported and stored correctly without revealing any additional information, corporations can prove to regulators that they’re complying with environmental or labor standards without revealing any sensitive information about their operation, and end users can verify the origin of inputs without knowing the entire supply chain.
Conclusion:
Zero-knowledge proofs will redefine how we think about data management, enabling users to meet compliance requirements or verify specific information without exposing their personal details or trade secrets. We’re already seeing rapid adoption within the blockchain space, with zero-knowledge solutions helping scale the ecosystem and improve user privacy.
ZKPs have great potential in saving costs as well as preserving the privacy of the users. Moreover, it is easy to use, and the technologies that support ZKPs are also superbly efficient.
Bibliography:
https://www.leewayhertz.com/zero-knowledge-proof-and-blockchain/
https://blockheadtechnologies.com/zero-knowledge-proofs-a-powerful-addition-to-blockchain/
https://blog.chain.link/zero-knowledge-proof-use-cases/
https://www.geeksforgeeks.org/zero-knowledge-proof/
https://www.infoworld.com/article/3683313/why-zero-knowledge-matters.html