Can Verida, which raised $5 million in seed funding, become a new star in the DePIN track?

On June 22, 2024, DePIN developer Verida announced the completion of a $5 million seed round of financing. The investment was led by O-DE Capital Partners, ChaiTech Ventures, Simurg Labs, Gate Labs, HASH CIB, Bison Capital, Amesten Capital, and Evan Cheng of Mysten Labs. The funds will be used to promote the development of Verida's decentralized personal data storage infrastructure, aimed at providing users with comprehensive data control and encryption services.

The core technology of Verida and its innovation

Verida Network is known for its unique decentralized technical framework that protects and empowers users' personal data at multiple levels. The core technologies include a decentralized network structure, a powerful Verida Wallet, and multi-blockchain interoperability using zero-knowledge proof technology. These technologies together form the foundation of Verida, making it not only a data storage platform, but also a comprehensive data interaction ecosystem.

1. Decentralized Network:

Verida has built a decentralized network, the core function of which is to allow users to have complete control of their data. This network, through decentralized node operations, decentralizes data storage from being centralized in a single server or location, thereby reducing the risk of centralized data storage being attacked or leaked. In addition, the design of the decentralized network also means that there is no single point of failure or control center, which improves the stability and reliability of the network.

2、Verida Wallet：

Verida Wallet is a key component of the network, supporting zero-knowledge proofs and multi-blockchain interoperability. This means that users can manage their identities and data across different blockchain platforms without the need for complex migration or conversion each time. Zero-knowledge proof technology allows users to verify their identity or provide necessary information without revealing any additional personal information, greatly enhancing privacy protection.

3. Zero-Knowledge Proof Technology:

Verida has introduced zero-knowledge proof technology, allowing data users to verify certain information without actually accessing the information. In AI applications, this means that the authenticity and integrity of data can be verified without exposing the data itself, thus protecting user privacy. For example, an AI health monitoring application can verify whether a user meets certain medical conditions without accessing detailed health records of the user.

The market role and user empowerment of Verida

In the development of artificial intelligence (AI), data privacy has become an increasingly prominent issue. Traditional AI systems often rely on centralized data storage and processing, which not only makes them vulnerable to data leaks and abuses, but also may cause user distrust due to lack of transparency. Verida provides innovative solutions to the data privacy challenges in the AI era through its decentralized data management approach.

1. User-controlled data access and sharing:

Verida allows users to have precise control over who can access their data and under what conditions through its blockchain network. Users can set rules for data access through smart contracts, such as only allowing verified AI applications to access specific data with the user's consent. This not only enhances data security but also empowers users with sovereignty over their own data.

2. Safety and Privacy:

Verida's security architecture is based on comprehensive control of user's private key. All data encryption is performed on the client side, and no node in the network can access unencrypted user data. In addition, Verida has implemented strict access control mechanisms to ensure that data can only be shared or accessed when explicitly authorized by the user.

3. Cross-Chain Interaction and Development:

The design of the Verida network enables seamless operation across various blockchain platforms, achieved by building on top of and integrating the core functionalities of multiple existing blockchain technologies. For example, Verida can integrate with blockchains such as Ethereum, Polygon, NEAR, allowing users and developers to leverage the specific advantages of these platforms while maintaining data consistency and security. This interoperability is particularly crucial for building a wide range of decentralized applications (DApps), as it enables developers to provide richer and more flexible services to their users.

4. Developer support and ecosystem expansion:

Verida provides a comprehensive set of developer tools and APIs that enable developers to easily build decentralized applications (DApps) with privacy and security at their core. These tools simplify the process of integrating with the Verida network, while fostering the formation of an active development community focused on data sovereignty and user privacy protection.

5. Data Storage and Distributed Database:

Verida not only focuses on the decentralized storage of data, but also is committed to providing a high-performance, low-cost, and regulatory-compliant database solution, which can support various applications. Verida's DbStore, a NoSQL-based document database, is similar to traditional MongoDB, but decentralized, providing dispersed storage of data and high availability. Each storage node is under the user's control, allowing data to be stored at the user's specified location, enhancing data security and personal privacy protection.

6, Data Economy and VDA Token:

Verida has created a token system called VDA (Verida Data Authorization Token), which is the core of its economic model, used to promote the secure storage and exchange of data on the network. VDA tokens enable users to earn rewards by storing, sharing, or using data while maintaining data privacy. This token economy incentivizes user participation in the network, increasing its activity and sustainability.

7. Community and Partner Relationships:

Verida focuses on establishing partnerships with a wide range of blockchain communities and other technical entities. By integrating with well-known blockchain platforms and tools such as Polygon ID, NEAR, Wallet Connect, Verida has expanded the scope of its technology and market influence. These partnerships not only support Verida's interoperability but also provide its users with a richer range of services and a better experience.

8. User Authorization and Market Influence:

Ultimately, Verida aims to empower users with complete control over their own data, challenging the dominant position of large tech companies in personal data management. By providing a decentralized, user-centric data management solution, Verida hopes to reshape the relationship between users and their data, which will have profound implications for the entire blockchain market, especially in today's increasingly important personal privacy and data security.

The Impact and Future Development of Capital Injection

With the recent successful $5 million financing, Verida plans to expand its technical infrastructure and market promotion activities. The new funds will enable Verida to accelerate the development of its personal data storage infrastructure, while expanding its global business and technical cooperation.

1、Enhance infrastructure:

The financing will be used to further improve Verida's decentralized data storage solution, enhance the performance and reliability of the platform. This includes improving data processing speed, enhancing network scalability, and improving the user interface's friendliness and interactivity.

2. Market expansion and cooperation:

In addition, Verida plans to use this funding to expand its market influence by collaborating with more blockchain platforms and technology providers to provide users with more services and support. This includes but is not limited to further integration of multi-chain technology, enhancing collaboration with existing technology partners, and exploring new business models and market opportunities.

3、Community and Network Rise:

Verida will also invest in the continued growth of its community and network, including providing more educational resources, enhancing community interaction, and supporting the onboarding of new users. Through these efforts, Verida aims to build a more active and engaged user base, which will further drive the adoption and growth of its network.