Keyring

A solution that balancing privacy with regulatory compliance on public blockchains.

The Keyring Network is one of the core encryption technologies that have been deployed on Portal Gate to provide secure compliance tools. It aims to solve the privacy and compliance dilemma that generally exists in the DeFi space by generating and storing proof of compliance on-chain, without underlying data. Powered by zero-knowledge proof, users' real-world identity and their on-chain identity can be linked in a secret yet precise way. Compliance requirements are thus achieved with user data remaining private at the same time.

More specifically, Keyring is composed of three pillar parts at the moment, namely, Base Rules, Admission Policy and User Policy.

• Base Rules: A series of codes that contains all the checks, either on-chain or off-chain, to be performed by external Compliance Partners of Portal Gate. Also, it is the building block of the Admission Policy.

• Admission Policy: Policy Owners can set up and manage Admission Policy to enforce certain rules. They are able to update the rules, the refresh frequency and the set of Attestors who maintain the validation network, with a modifiable Grace Period.

• User Policy: Customised by the same Policy Owners, User Policy includes the minimum set of rules they require their counterparts to verify for a transaction to occur, as well as a User Whitelist for higher flexibility without compromising security.

From users' perspective, they can access Keyring’s frontend and wrap their existing ERC20s with the compliance guard corresponding to a given Admission Policy, into kycERC20s. This process is supported by OpenZeppelin's ERC20wrapper.

Note that Keyring Network is merely a privacy approach to fulfil compliance requirements. In other words, it has no legal right in any jurisdiction to carry out enforcement activities and freeze assets. This also prevents illegitimate actors from freezing assets on the network if they gained access to a Policy Owner’s admin keys by force or malicious activity.