Keypr: Catalysing Web3 Adoption at Scale: An Enterprise-to-Retail Distributed Key Management Solution for Enterprise and Retail Users Leveraging Trusted Brands and Trustless Blockchain Networks
The project is managed by The Building Blocks, and benefits from a collaboration with Leemon Baird and his team at Swirlds Labs. The Keypr project aims to address consumer hesitancy in using cryptocurrencies due to security concerns. Keypr's solution involves a decentralised key management system (DeRec) that distributes key fractions across a network of trusted entities, enhancing transaction safety and user experience. The project's goals include building consumer confidence in blockchain technology, creating a fractionalised, distributed web3 wallet key management system, and expanding the blockchain ecosystem. Keypr's initiative, marked by its collaboration with established web2 businesses and the Hedera team, aims to bridge the gap between traditional enterprise and web3, enhancing blockchain accessibility and trustworthiness.
The project focuses on developing an open-source Decentralised Key Recovery (DeRec) protocol. It also aims to create proprietary, commercial solutions based on this protocol. The project is distinctive because it involves direct work with the team behind Hedera Hashgraph, encompassing aspects of research, public benefit, and commercial development.
The project benefits from the Building Blocks’ extensive experience in DLT technologies, AI, ML, product design, and customer experience. This ensures a comprehensive approach from research to market delivery. The association with Hedera provides a significant advantage, enhanced further by access to a network of pre-qualified key guardians, Keyprs, which includes prominent companies like American Express and KPMG.
These foundational Keypr partners, with their established reputations and success in web2 businesses, serve as a bridge between web2 and web3 entities, fostering trust and expansion of the Keypr ecosystem. This setup is designed to ensure the project's success and the sustainability of the Keypr ecosystem from the outset.
Research by Kaspersky in 2022 showed 61% of consumers across 16 countries are hesitant to use cryptocurrencies due to fears of asset loss. Additionally, 50% doubt current crypto security measures.
To combat this, Keypr is developing a decentralised key management system (DeRec). Utilising a new protocol on the Hedera network, this system involves a network of established entities offering near-time key fractions to both enterprise and retail users. This enhances transaction safety, minimises loss risks, and elevates user experience.
Keypr's goal is to bolster consumer confidence in engaging with the blockchain economy. The focus is on creating and launching a fractionalised, distributed web3 wallet key management system. This system will integrate Hedera's novel protocol, a blockchain-based DeRec application, and a network of established physical entities. The project's success will be evaluated by enterprise and retail adoption, cryptocurrency assets managed, and transaction frequency.
Expected Outcomes and Impact
The project will yield a functional Keypr system compatible with the Hedera network, catering to approximately 1.6M HBAR network wallets. Future adaptations will target Ethereum and Blockchain-network markets. Expected benefits include enhanced consumer confidence, a secure network of trusted partners, and expanded blockchain engagement opportunities. Keypr will leverage relationships with trusted web2 entities and Hedera's leadership to create a network of 'Keyprs' – entities holding key fractions, enhancing security and expanding the blockchain ecosystem.
Ecosystem Development Strategy
The strategy focuses on fostering confidence in cryptocurrency usage and building a secure, distributed network of 'Keyprs'. These partners will hold key fractions, ensuring transaction security. The project will initially target the Hedera network, with plans to expand to Ethereum and other blockchain networks.
Methodology & Implementation
The approach includes the identification of optimal designs for the web3 wallet key management system, the creation of Keypr libraries and the DeRec protocol for secure, user-friendly applications.
Development will be progressed by building and integrating the system within partner web3 wallet applications as well as ensuring functionality, usability, and security.
This will continue on to launching on the Hedera network and expanding to consumer markets, onboarding enterprise customers and marketing to retail customers via partner channels and continuously assessing performance against project goals.
The Keypr project aims to reshape the landscape of blockchain engagement, bridging the gap between traditional enterprise and the burgeoning world of web3. By implementing robust, user-friendly, and secure key management solutions, Keypr stands to significantly impact the accessibility and trustworthiness of blockchain technology for both enterprises and individual users.