Privado ID, a privacy-centric digital identity solution previously known as Polygon ID, has officially announced its spin-off from Polygon Labs. This move aims to address the growing issue of identity theft and fraud within the cryptocurrency space, exacerbated by AI-generated misinformation.

Identity theft and fraud have become significant challenges, particularly in the crypto world. A recent report by Javelin Strategy & Research revealed that losses from identity theft and fraud reached a staggering $43 billion in 2022, impacting over 40 million adults in the United States. With the rise of AI deepfakes, the threat is expected to grow, affecting more people globally. However, industry experts note that significant efforts are underway to enhance online security.

According to the team at Privado ID, spinning off from Polygon Labs will allow the project to concentrate on scaling a secure, self-sovereign digital ID solution. Built on blockchain technology and decentralized principles, Privado ID aims to provide a private and secure interaction platform that mitigates risks such as AI-generated misinformation. This protocol-agnostic platform offers identity tools that help users establish the authenticity and source of digital content.

Privado ID empowers users with full control over their data. The platform utilizes cryptography and zero-knowledge proofs (ZKPs) to verify personal information such as age and qualifications without exposing sensitive details. This approach not only enhances privacy but also ensures compliance and secure interactions with tokenized assets.

“Privado ID’s identity infrastructure empowers everyday people and lowers the cost of trust across industries,” Antoni Martin, co-founder of Privado ID, told crypto.news. Users can leverage the platform to distribute incentives and verify compliance securely.

Privado ID is poised to revolutionize how individuals, agents, and organizations interact in connected spaces. “We believe that Privado ID’s technology, with its emphasis on privacy, user control, and interoperability, will revolutionize how individuals, agents, and organizations find each other and interact in connected spaces, lowering the cost of trust and mitigating the risks of identity theft, fraud, and misinformation,” Martin added.

This strategic spin-off signifies a focused effort to tackle identity-related challenges in the digital age, offering a promising solution to enhance security and trust in online interactions.