2024/05/21 by Talgar Bayan, Bayan, Talgar, Richard Banach +1
Computer Science · #Blockchain Technology Applications and Security #Cryptography and Security (cs.CR) #FOS: Computer and information sciences #Software Engineering (cs.SE)
paper · pdf · doi:10.48550/arxiv.2405.13156
openalex publication_date 2024/05/21 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/28
This paper presents a decentralised autonomous organisation (DAO) model that uses non-fungible tokens (NFTs) for identity management and privacy-preserving interactions within a Punishment not Reward (PnR) blockchain mechanism. The proposed model introduces a dual NFT architecture deployed on Layer 2 networks: Membership NFTs (\(NFTauth\)) for authentication and access control and interaction NFTs (\(NFTpriv\)) for private interactions among participants. Our Layer 2 implementation achieves 97% gas cost reduction while maintaining security through cross-chain mechanisms. The identity management system incorporates decentralised KYC processes and Sybil attack resistance using soulbound token characteristics. Governance operates through smart contracts that manage reputation and administer punitive measures, including conditional identity disclosure for forensic purposes. Governance operates through smart contracts that manage reputation and administer punitive measures, including conditional identity disclosure when misconduct is detected.