Litentry (LIT)

Identity Aggregation

Litentry connects and manages user identities across multiple blockchains in a privacy-preserving way. It allows users to control their digital identities and share verified attributes securely.

Decentralized Identity Verification

Litentry provides decentralized identity verification for Web3 applications, enabling seamless login and identity checks without relying on centralized services.

Credit and Reputation Scoring

The platform processes decentralized identity data to calculate credit scores and reputation metrics, which can be used in DeFi lending, governance participation, and other on-chain activities.

Decentralized Applications (dApps)

Litentry supports dApps that use identity data for rewards, task completion, and airdrops. For example, users can complete DID-related tasks to earn tokens.

Polkadot Name System (PNS)

Litentry enables users to have unique on-chain names that link to wallets, smart contracts, NFTs, URLs, or IPFS addresses, simplifying identity management in the Web3 ecosystem.

Staking and Collateral

The LIT token is used for staking, paying fees, and as collateral in DeFi services within the Litentry network.

Privacy and Security

Litentry uses advanced cryptographic techniques and Trusted Execution Environments (TEE) to protect user data while allowing identity verification and scoring.

Pros

• Litentry offers a decentralized identity aggregation system that lets users manage and verify their digital identities across multiple blockchains.
• It enhances privacy by using advanced cryptographic methods and Trusted Execution Environments (TEE).
• The platform supports interoperability between different blockchain networks like Polkadot and Ethereum.
• Users can earn rewards by staking LIT tokens and participating as identity registrars.
• It enables new Web3 applications such as decentralized KYC, credit scoring, and reputation systems.
• Litentry is fully decentralized and has partnerships and listings on major exchanges like Coinbase and Kraken.
• The project is actively developing and innovating with a clear vision for privacy-preserving identity management.

Cons

• The project is still under development, so some features and integrations may not be fully mature.
• There have been reported synchronization issues between ledgers.
• The token price and market activity can be volatile, reflecting typical crypto market fluctuations.
• As a niche identity solution, it may face competition from other decentralized identity projects.
• Some users may find the technology complex to understand or use initially.

Overall, Litentry focuses on creating a secure, privacy-focused identity layer for Web3, with ongoing improvements and growing adoption.

Founders

Litentry was founded by Hanwen Cheng, who is also the CEO. He has a background as a software engineer at Parity and has experience in blockchain and web technology.

Team Background

Hanwen Cheng started Litentry after recognizing the need for an interoperable identity system while working on a project at Parity. The team is based in Germany and includes contributors with strong engineering experience, including backgrounds in Ethereum projects.

Institutional Investors

Litentry has received investments from several venture capital firms and institutional investors including FBG Capital, Candaq Fintech Group, Signum Capital, Hypersphere Ventures, NGC Ventures, D1 Ventures, and Altonomy.

Venture Capital Funds

Some notable VC funds backing Litentry are 1PAR Research, Berkeley Blockchain Xcelerator, 7 O'clock Capital, Angelone Capital, ArkStream Capital, Master Ventures, Binance Labs, and Oasis Capital.

Seed Round Participants

In its seed funding round, Litentry attracted over 13 venture capitals, including PAKA Capital, Digital Renaissance, LD Capital, RockX, BlockVC, and others.

Other Investors

Litentry also benefits from support by the Web3 Foundation through grants and has partnerships with ecosystem-focused funds like the Polkadot Eco-Technology Fund (PAKA).

For more details, visit the official Litentry website or their funding profiles on platforms like PitchBook and ChainBroker.

Halal Status of Litentry

• Yes, Litentry is considered halal.
• This is because its revenue model is based on service fees for identity verification and aggregation, which aligns with Islamic principles as it represents payment for actual services rendered.
• Litentry operates as a decentralized identity aggregator without involvement in prohibited activities, making it permissible from a halal perspective.