Created on 25th February 2023
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Soul Bound tokens on blockchain help solve real-life challenges related to the authenticity, security, efficiency, and trust of digital credentials, contributing to a more reliable and trustworthy digital ecosystem
Fraud Prevention: Digital credentials, such as certificates, licenses, awards, and badges, are vulnerable to fraud and counterfeiting. By using Soul Bound tokens on blockchain, the authenticity and uniqueness of these credentials can be verified, preventing any attempts to duplicate or manipulate them.
Security: Digital credentials are also susceptible to cyber attacks and data breaches. By using blockchain technology to secure these credentials, they can be protected against unauthorized access and tampering, enhancing the security and privacy of individuals and organizations.
Efficiency: Traditional methods of verifying and managing digital credentials can be time-consuming and inefficient. By using Soul Bound tokens on blockchain, the verification process can be automated and streamlined, saving time and resources for individuals and organizations.
Trust: In today's digital world, trust is essential for individuals and organizations to interact and transact with each other. By using Soul Bound tokens on blockchain, trust can be enhanced by providing a tamper-proof and transparent system for verifying and managing digital credentials.
While developing the SBT contract, one of the challenges we ran into involved minting on demand. SBTs can’t be pre-minted and transferred, so we needed a way to actually send SBTs to users directly without storing them as inventory.
Another challenge we ran into involved installing collections for users. On Flow, users typically need to run a transaction to configure their account to hold NFTs from a particular collection. This extra step is oftentimes tedious for the end user and causes a handful of usability issues. To resolve this, we’ve designed our Cadence transactions to automatically install an SBT collection in the user’s account before they interact with our smart contracts. In this way, the process of onboarding a user becomes relatively seamless.
One final challenge we ran into falls under the concept of multisig. We didn’t want to make the minting function on our SBT contract public for everyone to call, otherwise this could lead to spam and abuse. Instead we wanted to regulate minting such that the contract admin and the user both need to approve the transaction. To this end, we implemented a backend to facilitate the process of providing the admin signature on specific transactions. The backend will only provide the admin signature to the frontend application if the transaction of interest is whitelisted. This system allows us to ensure the privacy of the adm
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