Building out this framework across the Midnight ecosystem requires a collaborative effort. A group of ecosystem partners is building the core components for decentralized identity and will integrate them into a new generation of applications. This work is organized around two key areas:
- Building the foundational infrastructure; and
- Deploying that infrastructure in real-world use cases.
Constructing the decentralized identity framework
The core of the ecosystem relies on partners building the essential components for identity, ensuring they are interoperable and adhere to global standards.
Midnames is developing a standardized framework for decentralized identity management on the network. This includes implementing a registered DID (decentralized identifier) method (did:midnight) and a name service (MidNS). The name service functions like a decentralized address book, allowing users to map human-readable names to their DIDs. Midnames is also integrating W3C Verifiable Credentials (VCs), which allow users to hold digital proofs of identity, such as a passport, and disclose specific attributes (like "is a citizen of specified country") using ZK proofs.
Identus is adapting its established identity solutions to the Midnight network. This involves deploying a Verifiable Data Registry (VDR), a secure, on-chain ledger for anchoring identity data, and integrating multiple DID methods to ensure interoperability. Identus is also developing an oracle service to verify credentials for DApps and providing a suite of tools to help developers easily integrate these identity services into their applications.
Enabling applications with decentralized identity
With this DID foundation, other partners can build specialized applications that require confidentiality and verification.
Triple Play is creating a protocol focused on user verification and compliance. Its solution uses ZK predicate circuits to prove attributes like age, nationality, or KYC (Know Your Customer) status. This allows a user to generate a proof of their status, which is then verified by a network of whitelisted validators, all without exposing the user's personal data to the public.
This verifiable and private decentralized identity is critical for decentralized governance. ClarityDAO is migrating its no-code DAO management framework, Agora, to Midnight. This integration allows organizations to conduct private voting. A participant can prove they are an eligible member of the DAO and cast a vote, but their specific identity and vote remain confidential, a feature essential for organizations that require privacy in their decision-making.
This infrastructure also supports new financial models. Creditcoin is researching how this privacy-first identity can help verify human authenticity. As AI tools become more sophisticated, distinguishing human users from bots is a significant challenge. Creditcoin's research focuses on using verifiable on-chain credit history as a proof of "humanness," as long-term financial behavior is difficult to simulate. The collaboration explores how users could prove they have a multi-year credit history without revealing any specific financial data.
Webisoft is building a full-stack dark pool trading platform, bringing a traditionally institutional trading model to a decentralized environment. The platform uses Midnight's zero-knowledge (ZK) proof infrastructure to ensure transaction privacy and its Zswap protocol for atomic settlement. In this model, DIDs are used to establish a verifiable identity for participation while maintaining user privacy.
Similarly, Fluid Tokens is building an exchange platform that allows users to leverage existing tokens as collateral for loans. This lending process is heavily reliant on a robust identity solution to associate collateral with a specific, verified user or entity while preserving their privacy on-chain.
A new approach to digital identity
Together, these partners are constructing a comprehensive identity layer for the Midnight network, along with the applications and services that require privacy-enhancing DID. By building interoperable core components across partners and applications, the Midnight ecosystem will establish a new standard for how users interact with applications. It creates a model where identity is user-owned, interactions are verifiable, and privacy is programmable.