BUILD ANYTHING ON XION: Digital Identity
XION enables a wide-range of use-cases, and this installment in the series explores how XION’s protocol-level UX functionality powers digital identity applications such as Mercle
In an industry flush with Layer 1s that offer developers diverse tooling to build their applications, XION stands out by offering unmatched protocol-level UX functionality to enable Web2-like applications with worldwide distribution. Its full-stack UX capabilities provides developers with the infrastructure required to build intuitive products that fully abstracts away the blockchain and streamlines cross-chain interactions into their applications, making it the go-to choice for builders looking to create seamless, user-friendly applications across a variety of use cases.
The Build Anything on XION series will explore how XION’s approach to solving long standing Web3 UX issues from a first principles perspective make it the ideal L1 for developers looking to build diverse use-cases and distribute their applications to a wide audience. One of the many use cases XION enables for developers is the creation of digital identity solutions. Mercle, a standout example, is an on-chain identity application built on XION's infrastructure.
Why Digital Identity Matters — And Why on XION?
Digital identity boils down to two functions — proving that a user is human, and verifying their claimed identity in a privacy-preserving manner. Leaving issues around bots and fake accounts unaddressed erodes trust over time, damaging overall user experience both on Web3 and Web2. For instance, bots have been a major issue within online communities for a long time and are often associated with spam, fake accounts, and fraud, disrupting genuine user engagement and undermining trust. Bots not only impact the quality of interactions negatively, but they also pose large scale security risks. One of the most pernicious ways bots can cause widespread unrest is through their ability to influence public opinion and manipulate elections. By creating fake accounts and amplifying misleading information, bots and fake accounts can skew perceptions on social media platforms by making certain narratives appear more popular than they actually are, as reported by the New York Times in July, 2024.
Another issue causing harm is AI. The rapid progress of current LLMs has enabled bots to behave increasingly like humans. In fact, bots have recently passed the Turing test for the first time. This development creates significant risks for identity theft and, more specifically, AI-enabled deepfakes. This issue is especially insidious as alarmingly realistic deepfakes have been used in large-scale scam operations, and in underhanded online content featuring fake versions of influential people endorsing ideas that are not their own. As online platforms face increasing pressure to combat bots and deepfakes, and this issue continues to gain attention among mainstream media outlets, the demand for effective, scalable digital identity solutions is growing.
On-chain Digital Identity Solutions
Blockchain's immutability and decentralization make on-chain identity solutions particularly effective for addressing digital identity issues. Not only can a composable, on-chain identity build more trust across multiple chains, but it also grants users more control over their own data, ensuring that personal information isn't centralized within a single organization.
Building an identity graph on Web3 also opens new doors for novel use cases. Unlike Web2, where actions or rewards in one app stay siloed, Web3’s composability enables your identity and achievements in one application to carry over into others. This cross-ecosystem utility, only made possible by blockchain-based ID, opens new possibilities for seamless digital experiences across platforms. Yet, building decentralized applications that address these issues has been challenging due to the limitations of existing Layer 1 solutions — creating a classic catch-22.
Why Build On XION?
While identity solutions can be more efficient and powerful when built on-chain, clunky user experiences, complex onboarding, and limited scalability hinder the distribution and growth of on-chain digital identity solutions — all of which are essential for these applications to function effectively, as they rely on reaching a large number of users to ensure trust and authenticity in digital interactions. XION was the ideal L1 for Mercle to build their solution as it provides protocol-level UX functionality and seamless account abstraction, enabling developers to build scalable, intuitive identity verification solutions that are accessible to the average user.
XION’s throughput and low-cost gas also made it the right choice for Mercle to scale efficiently as they onboard more users. Moreover, XION’s UX functionality extends beyond simply providing developers with the tools to build a sleek user interface; it is composable across numerous ecosystems, ensuring digital identity credentials on Mercle interact seamlessly across various chains.
Getting Mercle In Front of Users
Mercle's approach to digital identity enables users to prove their humanity by combining their existing on-chain footprint with biometrics. This method allows other dApps to select a Proof of Humanity (PoH) solution tailored to their platform's nature and user persona. Mercle then uses zero-knowledge proofs to ensure this data is private and secure, with users retaining full control over their information. While the application’s underlying technology and innerworkings are complex, XION abstracts these away from users. XION’s walletless infrastructure and gasless transactions for users has played a pivotal role in enabling Mercle to secure their first 171,000 users. Mercle also benefited from exposure to XION’s large user base of 3.6 million, and an engaged community of over 1.3 million across Twitter, Discord, Telegram, and more.
Some of the most compelling features XION has enabled the Mercle team to build include the ability for any user, crypto-native or not, to claim their unique digital identity on-chain. In addition, it enables gasless transactions for users and walletless access powered by XION’s Meta Accounts for quick and easy onboarding. Another integral cog in this machine is XION’s interoperability, which enables Mercle’s identity graph to function across a web of interconnected chains. As XION continues to expand its Chain Abstraction solution to more networks, Mercle and other applications utilizing its identity layer will be able to take advantage of these new ecosystems right away. These factors simplify user experience and remove barriers to entry, making Mercle more accessible and efficient than other digital identity solutions.
Why Should You Build on XION?
This is just one use case of the thousands that can be built on XION’s user-first L1. XION was designed with users in mind, but built for developers — its tooling empowers developers to build dApps that serve users of all levels of technical knowledge within numerous verticals and industries.
Mercle’s early traction and continuous growth is not only a testament to the useability and demand for the product they’ve built, but also demonstrates the XION ecosystem’s commitment to the success of the applications built on XION. Besides technical support, offers support on other crucial aspects, such as fundraising, marketing, and onboarding users. XION’s breakthrough in UX design, scalability, and support is what makes XION uniquely positioned to drive the next wave of decentralized identity applications.