Introducing OpenBlock’s Universal Data Protocol
Introducing OpenBlock’s Universal Data Protocol
We are excited to announce OpenBlock’s Universal Data Protocol (UDP), a verifiable network for data provenance and interoperability, powered by zero-knowledge proofs. UDP paves the way for programmable user data, allowing developers to build data-rich applications using verifiable, off-chain user data.
Over the last two years, OpenBlock has built ML models that power $2 billion in annual rewards for millions of users across the crypto space, leveraging on-chain data despite the challenges of navigating a data-scarce ecosystem. With UDP, we are reaching into the rich user data trapped within the walled gardens of Web2. This capability enables us to enrich our models with more comprehensive user profiles, driving more personalized incentive models and creating better, data-driven experiences.
While we’re excited for our customers to adopt UDP, its impact extends beyond crypto. As generative AI grows, the exploitation of user data has hit unprecedented levels. Large corporations engage in backdoor data deals to train powerful AI models, while open-source AI faces a “Data Wall”. With UDP, users can reclaim their data, contribute UDP-powered datasets to open-source platforms, and collectively train democratized AI models.
Towards the Signature Singularity
In the early internet, data was transmitted in plaintext, exposing sensitive information to interception. When Netscape first introduced cryptography to the Internet through SSL, it unlocked the ability for users to securely exchange credit card information, leading many to believe that digital payments would dominate online commerce. However, social networks quickly discovered a more powerful currency for the web––user data. By offering free tools and subsidized services, apps could attract even more users to generate data, capturing orders of magnitude more value than digital payments ever could.
User data is now a $5 trillion asset class, nearly five times the annual transaction volume of Stripe. While SSL secured digital payments, a robust protocol for securely exchanging user data has yet to be established. Today, data ownership is akin to land rights in feudalism—controlled by a few powerful corporations while users, the creators of this data, see none of the value.
Every day, over 300 billion emails and 67 billion web sessions are digitally signed. By building upon technologies like ZK Email and ZK TLS, OpenBlock turns this information firehose into a reservoir of attested data. By moving this data into UDP, users can verify ownership of their digital content and signed data, while selectively revealing sensitive information.
For example, an Uber user can generate a verifiable attestation of their usage data and receive rewards from other ride-sharing apps, like Lyft; a decentralized exchange can offer targeted incentives to Robinhood's top users to attract retail traders, while mitigating sybil; a social media user can fairly sell their posted content to a generative AI company.
UDP eliminates data fragmentation, enabling users to share app-specific data across networks. This opens new revenue opportunities for users without compromising privacy or needing permission from Web2 companies. As UDP’s data repository grows, a network effect starts to appear, where Internet applications will be strongly motivated to consume data through this protocol and motivated by their users to contribute attested data back to the network.
Testnet
We're thrilled to introduce the first Testnet of OpenBlock’s UDP, with two demo applications built on top. Proof of Coinbase enables users to prove they hold a KYC’d Coinbase account, while also proving their USDC balance. Proof of Domain allows users to prove they own an email attached to a certain domain (e.g. vitalik@ethereum.org). We believe this powers a number of identity-level applications, such as: Sybil resistance, domain-gated communities, and airdrops to verified team members within an ecosystem.
Let’s dive into the Coinbase example to show how seamless data ownership becomes with OpenBlock. First, users upload their Coinbase reward email file (.eml), and the application generates a ZK proof of the email’s DKIM signature, validated against Coinbase’s DNS public key. This proof is then submitted to an on-chain verifier contract, which mints an NFT that represents the amount of USDC rewards received along with the email's timestamp. Notably, the user’s email address remains private and is not disclosed on-chain.
Proof of Coinbase and Proof of Domain are live on the Sepolia Testnet, and we invite users to check it out here. Both demos are open-source, leveraging the ZK Email stack.
OpenBlock Ecosystem
The launch of the Universal Data Protocol (UDP) has generated significant enthusiasm among our existing customers, who engage with over 2 million wallets daily through OpenBlock-powered rewards. More than 20 leading blockchains and decentralized applications leverage the OpenBlock platform, gaining access to this extensive data attestation network. OpenBlock empowers these projects to identify and incentivize their most valuable users. This creates a symbiotic relationship where users feel appreciated and rewarded for their rich Internet history, while projects benefit from access to high-quality, verifiable data that enhances their growth and engagement strategies.
Moreover, UDP serves as a bridge between Web2 and Web3, unlocking rich user data that has been trapped within the walled gardens of traditional platforms. Developers can now connect a user’s Web2 reputation—like their verified identity on Coinbase—with their Web3 footprint or linking real-world data from fitness apps like Strava to on-chain communities. This integration enables users to engage with blockchain applications in new and innovative ways, fostering connections based on real-world activities and interests.
What's Next?
We believe that the full potential of OpenBlock’s UDP is yet to be realized, and we invite you to help us explore these exciting capabilities! In the upcoming months, we’re thrilled to support hackathons and provide incentive resources. We envision applications utilizing verifiable, decentralized user data across a wide array of use cases, including:
- Open-Source AI Models
- Sybil Resistance
- DeFi (e.g., undercollateralized lending)
- Public Good Funding (e.g., developer rewards)
- Web2 Advertising
Additionally, OpenBlock is dedicated to researching data safety to ensure incentive compatibility across participants of UDP. We anticipate that some of the world’s most impactful applications will be built upon this attested data, along with meaningful representations of individuals globally, which is why we prioritize safety and preparedness.
OpenBlock is currently a 40-person team headquartered in Palo Alto. If you're interested in joining our Applied Cryptography team, which focuses on bringing OpenBlock's technology and products to life, we’re hiring!
We are excited to announce OpenBlock’s Universal Data Protocol (UDP), a verifiable network for data provenance and interoperability, powered by zero-knowledge proofs. UDP paves the way for programmable user data, allowing developers to build data-rich applications using verifiable, off-chain user data.
Over the last two years, OpenBlock has built ML models that power $2 billion in annual rewards for millions of users across the crypto space, leveraging on-chain data despite the challenges of navigating a data-scarce ecosystem. With UDP, we are reaching into the rich user data trapped within the walled gardens of Web2. This capability enables us to enrich our models with more comprehensive user profiles, driving more personalized incentive models and creating better, data-driven experiences.
While we’re excited for our customers to adopt UDP, its impact extends beyond crypto. As generative AI grows, the exploitation of user data has hit unprecedented levels. Large corporations engage in backdoor data deals to train powerful AI models, while open-source AI faces a “Data Wall”. With UDP, users can reclaim their data, contribute UDP-powered datasets to open-source platforms, and collectively train democratized AI models.
Towards the Signature Singularity
In the early internet, data was transmitted in plaintext, exposing sensitive information to interception. When Netscape first introduced cryptography to the Internet through SSL, it unlocked the ability for users to securely exchange credit card information, leading many to believe that digital payments would dominate online commerce. However, social networks quickly discovered a more powerful currency for the web––user data. By offering free tools and subsidized services, apps could attract even more users to generate data, capturing orders of magnitude more value than digital payments ever could.
User data is now a $5 trillion asset class, nearly five times the annual transaction volume of Stripe. While SSL secured digital payments, a robust protocol for securely exchanging user data has yet to be established. Today, data ownership is akin to land rights in feudalism—controlled by a few powerful corporations while users, the creators of this data, see none of the value.
Every day, over 300 billion emails and 67 billion web sessions are digitally signed. By building upon technologies like ZK Email and ZK TLS, OpenBlock turns this information firehose into a reservoir of attested data. By moving this data into UDP, users can verify ownership of their digital content and signed data, while selectively revealing sensitive information.
For example, an Uber user can generate a verifiable attestation of their usage data and receive rewards from other ride-sharing apps, like Lyft; a decentralized exchange can offer targeted incentives to Robinhood's top users to attract retail traders, while mitigating sybil; a social media user can fairly sell their posted content to a generative AI company.
UDP eliminates data fragmentation, enabling users to share app-specific data across networks. This opens new revenue opportunities for users without compromising privacy or needing permission from Web2 companies. As UDP’s data repository grows, a network effect starts to appear, where Internet applications will be strongly motivated to consume data through this protocol and motivated by their users to contribute attested data back to the network.
Testnet
We're thrilled to introduce the first Testnet of OpenBlock’s UDP, with two demo applications built on top. Proof of Coinbase enables users to prove they hold a KYC’d Coinbase account, while also proving their USDC balance. Proof of Domain allows users to prove they own an email attached to a certain domain (e.g. vitalik@ethereum.org). We believe this powers a number of identity-level applications, such as: Sybil resistance, domain-gated communities, and airdrops to verified team members within an ecosystem.
Let’s dive into the Coinbase example to show how seamless data ownership becomes with OpenBlock. First, users upload their Coinbase reward email file (.eml), and the application generates a ZK proof of the email’s DKIM signature, validated against Coinbase’s DNS public key. This proof is then submitted to an on-chain verifier contract, which mints an NFT that represents the amount of USDC rewards received along with the email's timestamp. Notably, the user’s email address remains private and is not disclosed on-chain.
Proof of Coinbase and Proof of Domain are live on the Sepolia Testnet, and we invite users to check it out here. Both demos are open-source, leveraging the ZK Email stack.
OpenBlock Ecosystem
The launch of the Universal Data Protocol (UDP) has generated significant enthusiasm among our existing customers, who engage with over 2 million wallets daily through OpenBlock-powered rewards. More than 20 leading blockchains and decentralized applications leverage the OpenBlock platform, gaining access to this extensive data attestation network. OpenBlock empowers these projects to identify and incentivize their most valuable users. This creates a symbiotic relationship where users feel appreciated and rewarded for their rich Internet history, while projects benefit from access to high-quality, verifiable data that enhances their growth and engagement strategies.
Moreover, UDP serves as a bridge between Web2 and Web3, unlocking rich user data that has been trapped within the walled gardens of traditional platforms. Developers can now connect a user’s Web2 reputation—like their verified identity on Coinbase—with their Web3 footprint or linking real-world data from fitness apps like Strava to on-chain communities. This integration enables users to engage with blockchain applications in new and innovative ways, fostering connections based on real-world activities and interests.
What's Next?
We believe that the full potential of OpenBlock’s UDP is yet to be realized, and we invite you to help us explore these exciting capabilities! In the upcoming months, we’re thrilled to support hackathons and provide incentive resources. We envision applications utilizing verifiable, decentralized user data across a wide array of use cases, including:
- Open-Source AI Models
- Sybil Resistance
- DeFi (e.g., undercollateralized lending)
- Public Good Funding (e.g., developer rewards)
- Web2 Advertising
Additionally, OpenBlock is dedicated to researching data safety to ensure incentive compatibility across participants of UDP. We anticipate that some of the world’s most impactful applications will be built upon this attested data, along with meaningful representations of individuals globally, which is why we prioritize safety and preparedness.
OpenBlock is currently a 40-person team headquartered in Palo Alto. If you're interested in joining our Applied Cryptography team, which focuses on bringing OpenBlock's technology and products to life, we’re hiring!
