NFT-based identity management in metaverses: challenges and opportunities

Abstract

AbstractA considerable number of people worldwide start their second lives in the digital world soon. The 3D Internet reflects the digital world. Metaverse, the most famous example of the 3D Internet, is very popular and practical in people’s daily lives. However, combining Metaverse with newly-emerging technologies (e.g., blockchain) provides new user-friendly features such as autonomy, accessibility, removing central authorities, etc. Despite the mentioned attractive features, blockchain-based metaverses suffer various challenges, such as one user with multiple identities, certificate issuing for users in Metaverse, authentication-related issues, and arresting malicious users. Generally, identity management in a distributed environment where no central authority exists is a challenging issue. This study focuses on the challenge of distributed identity management in Metaverses to strike a balance between users’ privacy and regulation. The study proposes the use of Non-Fungible Tokens (NFTs) as a tool for managing identities in metaverses, as they are considered an excellent choice for this purpose. In addition to explaining the importance of this idea, this paper identifies its challenges, including distributed identity management, authentication issues, and security and privacy aspects. It then proposes possible solutions (e.g., using cryptographic tools). Despite existing challenges, there are many opportunities in the popularization of Metaverse, such as relying on blockchain technology, emerging many Metaverse-related jobs, in-Metaverse investments for huge revenues, and applying digital twins to provide realistic senses. This study also highlights the critical role of artificial intelligence (AI) in metaverses.