+

A layer one public blockchain refers to the foundational layer of blockchain technology, which constitutes the underlying framework or protocol upon which a blockchain network operates. This base layer is responsible for the core functions of the blockchain, including transaction processing, consensus mechanisms, and data storage. Being public means that the blockchain is open and accessible to anyone, allowing participants to join the network, view transactions, and, depending on the blockchain's governance model, participate in the consensus process.

The term "layer one" is used to distinguish this foundational level from subsequent layers (such as layer two) that are built on top of it to enhance functionality, scalability, or efficiency. Layer one solutions often focus on improving the blockchain's base features, such as increasing transaction speed, enhancing security, or making the system more decentralized. Examples of layer one public blockchains include Bitcoin, Ethereum, and Cardano, each with its unique protocol and consensus mechanism, such as Proof of Work (PoW) or Proof of Stake (PoS).

The consensus mechanism is a critical component of a layer one public blockchain, as it ensures all transactions are verified and agreed upon by the network without the need for a central authority. This mechanism not only secures the network but also enables the trustless and decentralized nature of blockchain technology.

Public blockchains are pivotal for a wide range of applications, from cryptocurrencies and financial transactions to smart contracts and decentralized applications (dApps). They offer a transparent, secure, and tamper-proof system for recording transactions and transferring assets, making them a cornerstone of the digital economy.

MPC encryption, short for Multi-Party Computation, is a cryptographic technique that allows multiple parties to jointly compute a function over their inputs while keeping those inputs private. This advanced method enables participants to collaborate on computations without revealing their confidential data to each other or to any third party. The essence of MPC lies in its ability to secure sensitive information during collaborative processes, making it a powerful tool in the realms of privacy-preserving data analysis, secure voting systems, and confidential financial transactions.

The concept of MPC is akin to a group of people collectively calculating the average of their private salaries without disclosing their individual salaries to one another. Each participant knows only their input and the final result, but not the specific inputs of the other participants. This is achieved through sophisticated cryptographic protocols that ensure the computation's integrity and confidentiality.

MPC has significant implications for data privacy and security, especially in industries where sharing sensitive information is necessary for collaborative decision-making but where the data itself must remain confidential. For example, in the financial sector, MPC can be used for secure multi-party financial transactions, allowing institutions to compute risk or perform collaborative market analysis without exposing their proprietary data.

Furthermore, in the healthcare industry, MPC can facilitate the secure sharing of medical data for research purposes, enabling researchers to analyze patient data for patterns and treatments without accessing the personal data of patients. This not only protects patient privacy but also allows for greater collaboration in medical research.

PBKDF2 stands for Password-Based Key Derivation Function 2, a cryptographic algorithm used to derive a secure encryption key from a password. Essentially, PBKDF2 takes a password as input and, through a process involving many iterations of a hashing function, produces a derived key that can then be used for secure encryption. The primary purpose of PBKDF2 is to make it computationally difficult for attackers to perform brute-force attacks on encrypted data by significantly increasing the time it takes to guess passwords.

The mechanism of PBKDF2 involves several key components: the original password, a salt (a random value added to the password to ensure that identical passwords do not produce the same key), and an iteration count. The iteration count is a critical factor; it determines how many times the hashing function is applied. The higher the iteration count, the more secure the derived key, but also the longer the process takes. This trade-off is intentional, as it slows down any attacker trying to guess the password while remaining feasible for legitimate user authentication.

One of the strengths of PBKDF2 is the use of salt. Salting prevents attackers from efficiently using precomputed tables (like rainbow tables) to crack passwords, as each password requires a unique computation thanks to its unique salt. This drastically increases the security of stored passwords, even if an attacker gains access to the database where they are stored.

PBKDF2 is widely used in various applications and systems for securely storing passwords and generating encryption keys. It is considered a robust method for password-based key derivation, compliant with industry standards, and recommended by many security professionals for its balance between security and computational feasibility.

PGP encryption, standing for Pretty Good Privacy, is a data encryption and decryption program that provides cryptographic privacy and authentication for data communication. Developed in the early 1990s by Phil Zimmermann, PGP has become a standard for secure email transmission and file encryption, ensuring that only the intended recipient can read the message or access the data.

PGP operates using a mix of encryption techniques, including both symmetric and asymmetric (public-key) encryption. The process starts with the data being encrypted using a symmetric encryption algorithm, which is fast and efficient for large amounts of data. This encrypted data is then secured further using the recipient's public key. Only the recipient's private key, which is kept secret, can decrypt this data. This dual approach harnesses the strength of both encryption types, offering a robust security solution.

One of the key features of PGP is its use of a digital signature. This signature assures the recipient that the message has not been altered in transit and confirms the sender's identity. This is achieved by creating a hash (a digital fingerprint) of the message, which is then encrypted with the sender's private key. The recipient can use the sender's public key to decrypt and verify the hash. If it matches the message hash, it confirms both the message integrity and the sender's identity.

PGP's versatility extends beyond email, securing files, directories, and disk volumes. Its trust model, based on a web of trust rather than a central authority, allows users to choose whom they trust for key verification. This decentralized approach contrasts with the hierarchical model used in traditional digital certificates, offering users more control.

Like Satoshi Nakamoto we “define an electronic coin as a chain of digital signatures” From there our use, description and view of cryptocurrency as well as token implementation differs drastically. These asset's intrinsic benefits start with decentralization. For any one to potentially own authenticated yet privately controlled mediums in exchange. However, capacities may be fundamentally diminished during conversion if only ascribing public rather than private valuations. 

Colloquially, it doesn’t matter what a bank or the public might say a cryptocurrency / utility token is worth. What matters is the fact that two people may with confidence now say what that's actually worth to them. To decentralize a currency is only partial implementation of distributed ledger capabilities. We propose instead that valuation of currency itself may be privately held and likewise decentralized. After direct agreement of valuation, conversion just becomes a preference.

In taking this different approach so as to invert sources of valuation in protected exchange many questions of practical implementation, anonymity and market acceptability remain. The RWSC® answers as follows:

practical implementation

i. Exposure is set and protected / Only activated members purchase registration. Registrations engage digital security functions, ascribing RWSC® ownership controls. Registered engagements and exchange contractually quantify ceilings of protections, possibly ordered to be enacted on participant's behalf.

ii. Collaborations are privately controlled / Registrations are individually encrypted as well as anonymized before transaction on or to secondary databases and external networks. RWSC® groups are compiled at specifically repeated intervals. Each group is purposefully non-reflective of any one constituting registration or any one participant's activity. Member's ownership controls are double-accounted and privately held. 

One RWSC® group may privately reference up to 24 individual registrations. Having a maximum of 49 controllers, cumulative value is likewise set from zero to the possible collective total. Each RWSC® group does not exceed $1,00,000.00 and or $120,000.00 per-purchasing member. 

iii. RWSC® accounts for pending, real world input / By default collaboration payments are independently settled. Fundamentally however, through NES.TECH ecosystems and solutions, both conversion achievement and protections may be performed at the owning members personal discretion, in any manner and currency selected.

anonymity

At no loss in validity of on-chain data, recording of collective valuation and timed transfers under apportioned RWSC® ownership controls incorporate smart-contract functionalities while completely retaining absolute confidentiality throughout immutable exchange. 

Personally held blockchain verification is added to traditional real world contract protections. This forms the “Real-World” title in RWSC®. Throughout duration of engagement or exchange such digital securities remain valid whether quantified at zero, $1,000,000 or adjusted ad-hoc to any figure in-between. The RWSC® privately attributes valuation and executes immutably time-locked ownership control transfer. Set assurances may function irrespective of as yet unknown collaboration outcomes. 

Using time dependent worth assignment control, autonomous and jointly confirmed achievement valuation is equally assured. Executed on distributed ledger networks, a participant's material breach of contract triggers digital security protections. This forms the “Smart Contract” title portion, albeit this particular flexibility is not commonly attributable to smart contracts outside of the ecosystem.

market acceptability

i. Members themselves define collaboration. Possibilities are set one to one. As a direct service, engagement or exchange the once restrictive broad term [external] market becomes purely and freely subjectively defined. Collaborators privately determine mediums of exchange while implementing confidentially set blockchain assurances. Individually responsible for conduct, resulting encrypted decentralized data becomes identifiable following participant's self-disclosure. Conversion achievement, transitioning one currency to another, is directly performed at participant's discretion. Use of say cryptocurrency is no longer a market-wide issue of acceptability. Under protected shared valuation referencing, choice in methods of payment exchanged can now be directly set between participants. 

ii. Encrypted verification implements decentralized methods of personal authentication. Contract formulations, purchase of digital security services with RWSC® attribution, collaborations and signing methodologies offer privately held immutable accounting. Using ecosystem mechanisms and protocols, member-authorized private transference of ownership control enables assignment and subsequent private tangible conversion achievement. Evidenced through personal keys and activated membership, conversion remains compliant with centralized financial regulations. Valuation, payments, exchange and member activity remain private.

Quantum-proof data storage refers to the method of securing digital information in such a way that it remains safe and inaccessible even in the face of potential future quantum computers, which are expected to possess computational abilities far beyond those of today's classical computers. Quantum computers, leveraging the principles of quantum mechanics, will have the capability to break many of the cryptographic algorithms currently used to protect data. Therefore, quantum-proof data storage involves using encryption methods that are deemed secure against the decryption capabilities of quantum computing.

The urgency for quantum-proof data storage stems from the fact that quantum computers, once fully operational, could easily decipher current encryption standards, potentially exposing vast amounts of sensitive and secure data. This concern has led to the development of quantum-resistant algorithms, a key component of quantum-proof data storage. These algorithms are designed based on computational problems that are believed to be difficult for quantum computers to solve, thereby ensuring the long-term security of the data encrypted by them.

One of the main approaches to quantum-proof encryption is post-quantum cryptography, which encompasses a set of cryptographic primitives that are considered secure against quantum attacks. These include lattice-based cryptography, hash-based cryptography, and multivariate polynomial cryptography, among others. The idea is to integrate these quantum-resistant algorithms into data storage and transmission systems well before quantum computers become a practical reality, thus safeguarding sensitive information both now and in the future.

A smart contract is a self-executing contract where the terms of agreement between buyer and seller are directly written into lines of code. This innovative concept extends the functionality of traditional contracts by automating the execution process, eliminating the need for intermediaries, and ensuring a high level of trust and transparency. Embedded within blockchain technology, smart contracts run on a decentralized network, making them tamper-proof and highly secure.

The beauty of smart contracts lies in their ability to automatically enforce and execute the terms of an agreement as soon as predetermined conditions are met. For example, consider a smart contract designed for a rental agreement: once a tenant pays the deposit, the contract automatically grants them access to the rental property without the need for human intervention. This not only speeds up the process but also reduces the potential for disputes and fraud.

Smart contracts are versatile and can be applied across a wide range of domains, including but not limited to, financial services, real estate, legal processes, and supply chain management. In the realm of decentralized finance (DeFi), smart contracts facilitate transactions and financial services without the need for traditional banking institutions, enabling more inclusive financial systems.

The implementation of smart contracts requires a platform that supports blockchain technology, with Ethereum being the most prominent example. Ethereum's platform provides a robust environment for deploying smart contracts, offering developers a powerful tool to create decentralized applications (dApps) that leverage the benefits of smart contracts.

SHA encryption refers to cryptographic hash functions within the Secure Hash Algorithm (SHA) family, developed by the National Institute of Standards and Technology (NIST) and other cryptographic experts. It's important to clarify that SHA, in its essence, is not used for encryption in the traditional sense—where data is scrambled into an unreadable format and then decrypted back into its original form. Instead, SHA produces a unique, fixed-size hash value from input data of any size, which acts as a digital fingerprint of the data. This hash function is a one-way process, meaning that once data has been converted into a hash, it cannot be reversed or decrypted to retrieve the original data.

The SHA family includes several variations, such as SHA-1, SHA-256, and SHA-3, each differing in terms of the size of the hash they produce and their security level. SHA-256, for example, generates a 256-bit hash, making it significantly more secure than the older SHA-1, which produces a 160-bit hash. The larger the hash, the lower the chance of two different pieces of data producing the same hash, a phenomenon known as a collision.

SHA functions are widely used in various security applications and protocols, including SSL certificates for websites, digital signatures in software distribution, and the verification of data integrity. In blockchain technology, SHA-256 is particularly notable for its use in the mining process of Bitcoin, where it secures transactions and ensures the immutability of the blockchain ledger.

The key benefit of using SHA hash functions is their ability to verify the authenticity and integrity of data. By comparing the hash value of the received data with the expected hash value, one can determine whether the data has been altered in any way. This is crucial for secure communication over the internet, where data can be susceptible to tampering.

The Solana blockchain is a highly efficient and scalable platform designed to support decentralized applications (dApps) and crypto-currencies. Launched in 2020 by Anatoly Yakovenko, its primary goal is to improve upon the limitations of earlier blockchain systems, such as Bitcoin and Ethereum, particularly in terms of transaction speed and scalability. Solana stands out for its ability to process tens of thousands of transactions per second (TPS) at a fraction of the cost, addressing one of the significant challenges faced by its predecessors: network congestion and high transaction fees.

At the heart of Solana's innovation is a unique consensus mechanism known as Proof of History (PoH), combined with the more traditional Proof of Stake (PoS). Proof of History is a novel approach that helps to create a historical record that proves an event, like a transaction, occurred at a specific moment in time. This is achieved by sequencing transactions in a way that allows the system to more efficiently process and validate them. When used in tandem with PoS, Solana achieves a high degree of security and decentralization, while significantly boosting its processing capabilities.

Solana's architecture also features several other technological advancements, including Tower BFT (a PoH-optimized version of the practical Byzantine Fault Tolerance algorithm), Gulf Stream (which allows transactions to be forwarded to validators even before the previous batch of transactions is finalized), and Sealevel (a parallel smart contracts run-time that maximizes hardware efficiency). These innovations contribute to Solana's remarkable throughput and low transaction costs.

The platform supports a wide array of applications, from decentralized finance (DeFi) and non-fungible tokens (NFTs) to gaming and decentralized autonomous organizations (DAOs). Its robust infrastructure and scalability make it an attractive choice for developers looking to build complex, high-performance applications without the limitations of network congestion and high fees.

Splintering, in the context of Distributed Ledger Technology (DLT) and data transmission or exchange, is an advanced technique designed to enhance security and privacy. This method involves breaking down data into smaller, indecipherable fragments before distributing them across multiple nodes or locations within a network. The primary goal of splintering is to protect the data from unauthorized access or tampering by making it extremely difficult for attackers to reconstruct the original information without having access to all the fragmented pieces and understanding how to correctly reassemble them.

In DLT systems, which are inherently decentralized, splintering adds an extra layer of security. Since DLT relies on the distribution of data across various nodes to ensure transparency and immutability, integrating splintering into these systems means that even if some nodes were compromised, the attackers would only obtain fragments of the overall data. These fragments, being partial and encrypted, would be useless on their own, thereby safeguarding the integrity and confidentiality of the data stored or transmitted across the network.

Furthermore, splintering can significantly enhance privacy and data protection in data transmission or exchange scenarios. By ensuring that no single party has access to the complete dataset, splintering protects sensitive information during transmission over the internet or other networks, making it an ideal solution for secure communications and data exchange in a variety of applications, including financial transactions, healthcare records, and confidential communications.

Moreover, the technique is designed to be compatible with existing encryption methods, adding an additional security measure without replacing current protocols. When combined with encryption, splintering makes data not only unreadable to unauthorized users but also scattered in such a way that compiling the data back into its original form becomes a formidable challenge.

Tokenization is a process by which a piece of value or asset is converted into a token that can be moved, recorded, or stored on a blockchain system. This concept is pivotal in the world of blockchain and digital finance, serving as a bridge between the physical and digital worlds. Tokens represent real-world assets like real estate, artwork, or company shares, or intangible assets such as voting rights or access to a service, making these assets more accessible, divisible, and easy to trade on digital platforms.

The transformative aspect of tokenization lies in its ability to democratize access to investments and assets that were previously out of reach for the average person due to high entry barriers or regulatory restrictions. For example, tokenizing a piece of real estate allows investors to purchase tokens representing a share of the property. This not only lowers the investment threshold but also provides liquidity to assets that are traditionally illiquid, allowing them to be easily bought and sold in digital marketplaces.

Furthermore, tokenization brings enhanced security and transparency to transactions. By leveraging blockchain technology, each token and transaction is recorded on a decentralized ledger, immutable and transparent to all participants. This reduces the likelihood of fraud and ensures the authenticity of the asset the token represents.

Tokens can be categorized into various types, including utility tokens, which grant access to a specific service or platform; security tokens, which represent an investment in an asset with an expectation of profit; and non-fungible tokens (NFTs), which represent unique assets and have gained popularity in the art and collectibles space.

Web3, often referred to as the third generation of the internet, represents a new paradigm in the digital world, focusing on decentralization, blockchain technologies, and token-based economics. Unlike the current internet (Web2), which is dominated by centralized services and platforms (like social media giants, search engines, and cloud providers), Web3 aims to return control and ownership of data, assets, and online interactions back to individual users. It leverages blockchain technology to create a secure, transparent, and user-centric online ecosystem where transactions and interactions occur without the need for intermediary parties.

At the heart of Web3 is the concept of decentralization, which means that instead of data being stored in centralized servers owned by large corporations, it is distributed across a network of computers (nodes) globally. This not only enhances security and privacy but also reduces the risk of censorship and the control exerted by a few dominant entities. Blockchain and smart contracts play crucial roles in this new internet era, enabling everything from cryptocurrencies and decentralized finance (DeFi) to decentralized applications (dApps) that run on the blockchain, offering a wide range of services without the need for traditional intermediaries.

Web5 is a term that has emerged more recently, introduced as an additional evolution beyond Web3. While still conceptual and less defined than Web3, Web5 aims to further enhance the decentralization and user sovereignty aspects of the internet. It focuses on creating a truly decentralized digital identity and personal data storage, where individuals have complete control over their online identities and the sharing of their personal data. Though details on Web5's implementation are still developing, its goal is to address some of the limitations and challenges still present within Web3, particularly around identity management and data ownership.

How do you make a home secure? Lock everything and only you hold the key. This is kind of the Zero Trust Architecture concept

Typically, for most websites and centralized digital frameworks, once you login with the correct credentials you then have access to the sphere of hosted functions. This sphere is classified as the site's ‘trusted perimeter’. Security models set their perimeters using say encryption, login protocols and firewalls. Somewhat like a gate around a physical property, inside that gate is the trusted perimeter.

The trouble is once someone knows your login details or possibly controls your unlocked device, concurrently, they could access the 'trusted perimeter'. They’re able to login. In other words, they use the obtained key to open the gate. The potential unknown of someone doing just this is a long recognized stumbling point for various types of collaboration processes, even for a body like the UN. While there are ongoing advancements in layering login protocols, increased complexity for verification as well as cross device checks, such as two-factor authentication, the possibly unknown actor problem persist.

Instead of concentrating on one centralized access point, there is a way to further segment functions, to make each function or activity a gate itself. This applies to the first trusted perimeter and equally to all newly set 'gates' that follow. And with Zero Trust Architecture, the concept of “never trust, always verify” becomes its guiding ethos. We logically touch on micro-services when shifting away from centralization. The micro-service structure is one where each time you perform a different segmented function, you have the ability to call out to a different and even a unique location. Micro-services will be detailed throughout following articles while here we focus primarily on Zero Trust Architecture.

To make the Zero Trust Architecture concept more tangible, as a thought experiment, imagine that you're invited to a house party. Let’s look at two possible security scenarios of attending this house party, using traditional or Zero Trust Architecture.

Traditional Architecture

You're on the invite list. You give your name to the doorman and that's your key through the front gate. Once inside, you can walk up to the house. You now have full access to every room in the house. You make your way to the kitchen and grab a drink, you walk out to the porch and strike up a conversation with another guest. Then you make your way to the bathroom (taking a moment to rummage through the medicine cabinet, just out of curiosity), and finally end up having a nice discussion whilst lounging on the living room couch. Easy. Done. Great party.

The trouble is, should anyone else give your name at the gate, sufficiently fooling or bypassing the doorman, this person has utilized your key. They would have almost unrestricted access to the entire spread, as you would if it was actually you.

Zero Trust Architecture

You have a personalized key, which can be of varying complexity, even say device specific with double passwords and bio-metric signatures plus geolocation certification, or so on. You use your personalized key with the doorman. You pass the front gate. Then you use your key to open the kitchen door and again to take a drink. Then you use your key to open the door that leads out to the porch. Then you use your key again with the person your chatting to, so that you both know who is who.

Then you use your key to open the bathroom door. Then again for the medicine cabinet, and again when entering the living room, and so on. Roughly and figuratively this could be referred to as granular perimeter security. Every [granular] function becomes segmented [having its own perimeter] thereby acting as a gate itself with each gate confirming your key. Making physical comparisons explains the principle but overlooks the benefits of digital implementation.

Meaning, if one had to physically perform all those additional actions during unlocking then, obviously, it would increase the time and energy required. It would be a hassle, no doubt. Extra steps would entail extra work and, therefore, this constant re-checking would become laboriously counterproductive.

However, from a digital standpoint, Zero Trust key use can be imperceptibly fast. Goliaths such as Siemens and Google have been using variations of Zero Trust structures for a long time. The segmentation allows for compartmentalization of data as well as lateral tracking. Lateral tracking security analysis is made possible by the increased gates and associated ledger data. From a security perspective, the capacity for analysis processes like lateral tracking has multiple benefits

firstly

Your key may grant access to some areas but may not be authorized to get into others. Key providers and holders set as well as have the ability to review types of access, on a granular level

secondly

Automated and potentially private pattern recognition can prompt additional verification as required during unusual behaviour or possible breaches, whilst concurrently minimizing loss exposure throughout. A red flag could be instantly raised if for years you’ve used your key like clockwork to follow a preferred usage pattern but, one day and out of the blue, your key is suddenly or unusually used to collate highly sensitive data or dig into never before touched areas. Because the key is used for each granular portion or function, there is a much better chance and now an existing method to stop unauthorized use.

The structuring of one's personal and identity data can be hosted across multiple points. Even a breach to one of the sources holding a portion of the personal information would not give the full key. More broadly, particularly from a trust and reputation based marketplace example, there are long standing proposals for machine learning and economic advantages being derived. The ramifications of such could, when widely adopted, influence entire economic systems of trade and politics.

Extending this segmented and granular methodology is where microservices come in. Let’s break this out once more for microservices. Making a comparison between traditional centralized structures just imagine a functional website, say most any popular social media platform or online banking service.

Traditional Centralized Web Service

Your key gives you access to the front gate and you have access to whatever is inside. When the site wants to renovate, add a new service or fix up an old one, then each such task constitutes a massive undertaking. While the required work is happening these significant restructurings or renovations can have knock-on effects and various negative ramifications on usability for the rest of the site.

Micro-Services + Zero Trust Architecture

Your key gives you access but is used again and again for following functions. Each function acts as a gate which you unlock. This is where the structure gets exciting. As there is little distance between calling a service from one location or another, each gate can be set in its own individual or unique space. Each gate doesn't have to rely on the same centralized host.

So in using micro-services, restructurings or renovations can be done specifically to one portion without affecting the usability of others. Each function, with all supporting peripherals, are able to act independently.

Zero-Knowledge Proof (ZKP) encryption is a cryptographic method that allows one party to prove to another that a specific statement is true, without revealing any information beyond the validity of the statement itself. This concept is revolutionary in the realm of digital security and privacy, offering a way for users to interact within digital environments securely and privately.

The essence of ZKP lies in its ability to ensure privacy and security simultaneously. Imagine a scenario where you need to prove you are over 18 years old without revealing your exact age. In the digital world, ZKP allows for such interactions by enabling the prover (the party making the claim) to convince the verifier (the party assessing the claim) of their statement's truth, without disclosing any additional information. This is achieved through complex mathematical algorithms and protocols.

ZKP is particularly valuable in blockchain technology and decentralized applications, where privacy and security are paramount. It enables secure authentication, private transactions, and the sharing of confidential information without exposing the data itself. For instance, in a blockchain network, ZKP can be used to validate transactions without revealing the sender, receiver, or transaction amount, thus maintaining privacy while ensuring the network's integrity.

Moreover, ZKP has applications beyond blockchain, such as in secure voting systems, where it can prove that a vote has been correctly cast without revealing the voter's choice. It also plays a critical role in enhancing privacy for digital identities, allowing individuals to prove aspects of their identity without disclosing sensitive personal information.