The Importance of Enterprise Identity
Identity is a critical tenet of any enterprise-grade blockchain network. In the public permission-less networks participants can transact anonymously and are only identifiable by an account or signing address. This is fine for peer to peer cryptocurrency transactions, however, in private permission-based orchestrations there need to be robust mechanisms for authoritative identification that maps back to real world trust paradigms. This is particularly important for financial use cases where strict regulations exist around AML (anti money laundering) and KYC (know your customer) compliance.
Fellow members of the business network need a shared framework to definitively identify their counterparts and issue their own attestations on asserted identities. Kaleido addresses this requirement with the well-known public key infrastructure scheme, whereby any organization participating in the consortia can underpin their memberships with a properly-signed digital x509 certificate. As such, the rest of the business network can download, parse and inspect the certificate chain to ensure that the asserted identity is vouched for by a reputable certificate authority.
Kaleido takes this enterprise identity mandate a step further by offering the ability to bind digital certificates with Ethereum signing accounts and map the relationship within a smart contract. By doing so, transaction objects can be signed with user-controlled private keys and deterministically mapped back to the trusted certificate chain. This brings enterprise identity to both the network and blockchain layers and is critical for scenarios where auditability and transparency is required.