TL;DR

We’re exploring Multi-Layer Identity (MLI) as a transformative framework for addressing trust deficits, capital inefficiencies, and privacy challenges in the web3 ecosystem.

By combining MLI’s cryptographic security, reputation scoring, and permissioned data sharing with our core features like Founder Score, Trust Metrics, and Liquidity Bridge, we aim to empower founders, protect investors, and ensure privacy for all.

While not yet implemented, MLI represents a key step toward fostering a decentralized economy where trust and privacy coexist.

Building the Foundations of Trust in Web3

Web3 holds unparalleled potential to reshape industries, but persistent challenges hinder its growth:

• Capital inefficiency locks billions and loses millions in idle liquidity, slowing innovation.

• Trust deficits result in fraud that costs billions annually, eroding investor confidence.

• Privacy risks force participants to choose between transparency and anonymity, a compromise that undermines trust.

This is where we know that the answer lies in empowering participants with tools that make trust, transparency, and privacy coexist. Multi-Layer Identity (MLI) is one of those tools.

MLI: A Revolution in Digital Trust

First introduced in the 2018 paper “Identity Decentralized: Multi-Layer Approaches to Digital Trust,” MLI provides a multi-faceted approach to identity that solves many of web3’s pain points.

How MLI Works:

1. Cryptographic Foundation: Immutable, blockchain-based identifiers secure identities and eliminate forgery.

2. Reputation Layer: Aggregated trust metrics from cross-platform interactions, DAOs, and verified credentials offer transparency without requiring identity disclosure.

3. Permissioned Access: Users control their data, deciding when, how, and with whom to share information, ensuring privacy and regulatory compliance.

By enabling trust and transparency while maintaining privacy, MLI ensures all participants retain full ownership of their digital identities and data.

Educating and Empowering

We’re not claiming to have implemented MLI—yet. Instead, we’re educating and exploring how MLI could enhance the tools we provide to founders, investors, and partners.

Here’s how MLI potentially aligns with our mission and products:

1. Founder Score: Build Trust, Preserve Privacy

Our Founder Score is designed to help founders build credibility and secure funding.

MLI could enhance it by:

• Integrating verifiable credentials, such as successful project histories, cryptographically proven without exposing personal data.

• Aggregating cross-platform trust metrics to create a holistic, dynamic reputation profile.

• Enabling privacy-preserving trust, allowing founders to attract investors without publicly disclosing their identities.

For founders, this means less friction and greater access to capital, all while retaining control over their data.

2. Trust Metrics: Transparency Without Compromise

For investors and retail participants, trust is critical. MLI could transform our Trust Metrics into a more robust system by:

• Verifying credentials cryptographically, reducing exposure to fraud.

• Aggregating trust scores across platforms for greater transparency.

• Enabling permissioned data sharing, allowing users to reveal only what’s necessary.

This would give investors actionable insights without requiring participants to compromise their anonymity.

3. LiquidityBridge: Unlock Capital, Protect Privacy

One of the most exciting applications of MLI is its ability to enhance our LiquidityBridge feature.

MLI could help:

• Match founders with funding pools based on reputation and trust scores.

• Ensure privacy with permissioned access, allowing sensitive data to remain protected.

• Streamline capital flows by eliminating the need for intermediaries.

With MLI, the process of securing and deploying funds could be faster, safer, and more efficient than ever before.

The Big Picture: Why This Matters

At its core, MLI is about giving participants ownership of their data and identities while fostering a trusted ecosystem.

For web3 to thrive, founders, investors, and even retail participants need systems that:

• Enable trust without requiring public identity disclosure.

• Empower capital flow with transparency and efficiency.

• Protect privacy by ensuring data ownership and sovereignty.

By exploring and educating about MLI, we’re preparing to integrate technologies that address these critical needs, creating a future where trust and privacy are not trade-offs but coexisting principles.

Be Part of the Movement

At Founders Hub Network, we’re on a mission to empower founders, protect investors, and unlock the full potential of web3. While we’re still exploring the implementation of MLI, our commitment to building a more trusted, efficient, and privacy-preserving ecosystem is unwavering.

Are you a founder seeking funding?

An investor looking for trustworthy opportunities?

A partner or accelerator ready to shape the future of web3?

Better yet, are you an individual or a team building or have built an MLI system that we could integrate? Then get in touch with us : info@foundershub.network or dm us!

A few that come to mind are @Sumsubcom @PrivadoID and @Moca_Network

Join us.

We collectively can build a permissionless and trustless economy where trust, transparency, and privacy thrive.

Reach out to us today and become a part of the Founders Hub Network (F3AI) community.

— The Founders Hub Network (F3AI) Team