Hitachi Research & Development and Concordium Foundation have joined forces on an inventive venture: crafting an advanced biometric cryptocurrency wallet. This collaborative initiative strives to create a groundbreaking “proof of technology” for a unique wallet, aiming to deliver heightened security and ease for users.
The forthcoming biometric wallet from Hitachi Research promises to transform how users engage with and safeguard their cryptocurrency assets. Its key distinction lies in generating a specific set of seed words solely through biometric data like fingerprints or facial scans. Unlike traditional wallets that demand users to remember and store seed words, this biometric innovation erases that need. Users can restore their wallet accounts by undergoing a second biometric scan, rendering seed word memorization obsolete.
Currently, in the early developmental phase, this wallet is labelled a “proof of technology,” not yet a finalized product. Upon completion, it will leverage Hitachi’s Public Biometric Infrastructure (PBI) and Concordium network’s self-sovereign identity framework for biometric-based accounts. Concordium representatives highlight its potential significance within their network, requiring an “ID process” to prevent malicious activities. The adaptability of biometric wallets extends beyond Concordium’s network. The technology theoretically holds potential for integration into any blockchain in the future. Accessing the biometric wallet involves regenerating seed words via a biometric scan or decrypting a copy of seed words using a key derived from the scan.
Notably, attackers face significant barriers without possession of the user’s face or fingerprint, heightening account security. The biometric wallet also simplifies device changes or loss. If a user loses their device, they can seamlessly import their wallet to another device through a biometric scan, eliminating the need for seed word copies.
Hitachi’s development team encountered hurdles in creating the PBI due to the nuanced nature of biometric data. To address this, they implemented “fuzzy key generation and special error correction technology” for accurate identification, distinguishing scans between individuals and variations within the same person.
This collaborative effort seeks to redefine how users secure and interact with their cryptocurrency holdings, potentially addressing barriers to widespread adoption. As the project progresses, it aligns with industry endeavours to enhance security and user experience, introducing alternatives like multiparty-computation wallets and magic links to simplify seed word management.