ZK-based KYC Credential System
Challenge: DeFi protocol required KYC compliance without storing user PII on-chain or with the protocol.
Architecture: Trusted KYC issuer generates credential Merkle leaves. User generates Semaphore nullifier to prove credential membership without revealing identity. On-chain verifier contract checks proof and nullifier for uniqueness. Credential revocation via Merkle root updates.
Outcome: Protocol achieved regulatory KYC compliance. Zero PII stored on-chain or by protocol. 50,000 verified users across the system. Proof generation time under 3 seconds in browser.