BL Grant Proposal RFP #1 - Incorporating DIDs and VCs into Open-Source Digital Asset Wallets

[GoldenBit0]

Grant Bounty Idea Proposal

RFP 1 - Incorporating DIDs and VCs into Open-Source Digital Asset Wallets

Introduction

The Baseline Protocol Standards working group has decided to incorporate W3C Decentralized Identifiers (DIDs) and W3C Verifiable Credentials (VCs) as key components for identifier, identity, and credential management into the Baseline Protocol Standard. This was done in anticipation of much broader adoption of the Baseline Protocol into supply chains and financial networks often spanning tens of thousands of entities with often limited established business, and thus, trust relationships which in turn requires robust, standardized methods to establish and manage these trust relationships without centralized trust authorities and centralized infrastructure, and without having to operate a heavy technology infrastructure to manage millions or more identifiers and identities in real-time at each entity. This necessitates a decentralized/federated infrastructure with the ability to operate at scale in real-time while also ensuring the highest level of security and data integrity required by enterprises.

To enable such an infrastructure for the Baseline Protocol, two grants were completed in 2021:

1. The Element DID method, based on the DID Sidetree Protocol developed at the Decentralized Identity Foundation, was made fully compliant with the official version 1.0 of the Sidetree standard.
2. The Element DID Method was incorporated into BRI-1 to enable DIDs in a Baseline Protocol implementation for the first time

This is only the first step because the current BRIs such as BRI-1 manage DIDs and their keys server-side rather than client-side – a custodial implementation. In order to enable easier and more secure management of DIDs and VCs for Baseline Protocol users, the Baseline Protocol in one of its reference implementations needs a client-side, non-custodial, solution. As a consequence, a DID and VC level identity wallet needs to be integrated with an existing, open-source digital asset wallet implementation to create a non-custodial solution for a BRI.

RFP Goal

The goal of this RFP is to create an open-source wallet implementation that allows for a non-custodial key and digital asset management solution that is:

• BIP39 and BIP 44 compliant (mnemonic based hierarchical deterministic wallet)
• Allows for the efficient management of digital assets across multiple CCSMs also known as Blockchains or Distributed Ledger Technologies
• Supports common elliptic curves for digital signature generation
• And effectively manages DIDs and VCs, ideally in a way compliant with the W3C Universal Wallet specification, in a BRI independent way

RFP Description

There are two separate tasks that must be addressed by RFP submissions:

1. Build an open-source wallet implementation that is:

• BIP39 and BIP 44 compliant (mnemonic based hierarchical deterministic wallet)
• Allows for the efficient management of digital assets across multiple CCSMs – protocol tokens, fungible tokens, and non-fungible tokens
• Supports common elliptic curves for digital signature generation
  • Minimally: secp256k1 and Ed25519
• And effectively manages DIDs and VCs, ideally in a way compliant with the W3C Universal Wallet specification, in a BRI independent way

Done Criteria:

1. Passed and documented tests for DID creation and management for DID Element
2. Passed and documented tests for VC issuance, verification, and presentation generation
3. Passed and documented tests for sending, receiving, and visually representing in a User Interface 1 protocol token, d. fungible token, and 1 non-fungible token for at least two public blockchains
4. Passed and documented tests for receiving, signing, and sending messages for one BRI
5. Merged PR in the Baseline GitHub repo

2. Build a Wallet SDK for at least 1 software framework that allows for the integration of the wallet with an external application

Done Criteria:

1. Proper SDK documentation of all wallet API endpoints in swagger
2. Passed and documented test for all wallet API endpoints
3. Simple “Hello World” application utilizing the wallet SDK and the wallet integrated BRI

RFP Details/Logistics

A grant application may be submitted for this RFP here.

This work will be supported by a grant of up to $30,000 from the Baseline Protocol Grant Program.

The Deadline for Submissions is: TBD

The winning submissions will be announced on: TBD

[GoldenBit0]

Grant voting complete, RFP approved