“Digital Privacy Is In The Hands of the User”

By Simon Harman, Project Lead of Loki, an Australia-based privacy network which will allow users to transact and communicate privately and anonymously over the internet.

Having personally been on the pointy end of multiple data breaches and a targeted hacking attack, I challenge those that dismiss the requirement for digital privacy outright. The old adage “I have nothing to hide” does not stack up well against having your accounts breached and violated by some unknown assailant. Your email address and phone number have likely already been exposed and sold to spammers in some data breach of a website you signed up to 2 years ago and forgot about. If you’ve ever had your Facebook, Uber, or Snapchat broken into, you know how uncomfortable breaches can make you feel. The importance of privacy goes far beyond personal accounts, however, modern day commerce would simply not function without secure lines of communication. Consumers are slowly waking up to the critical importance of digital privacy, and companies are taking note.

Should we need a clear example, we need only look to Apple, a company renowned for its ability to gauge what customers want to see on the shelves. This year’s Consumer Electronics Show in Las Vegas saw billboards declare to the city that, “What happens on your iPhone, stays on your iPhone.” Whether this is simply a marketing ploy or a factual statement, Apple has clearly surmised that privacy-friendly services are something consumers desire, which can help to set the tech giant apart from competitors.

Consumers need to start closely analysing their digital lives and figure out how they can achieve better security and privacy. Beyond guarantees from major corporations that our data is safe in their hands, we should be examining how that data is stored. Even the most advanced internet service providers remain susceptible to hacks and data breaches, with user information stored in huge databases which serve as a lucrative target for attackers. Much of the data we give over to corporations is protected only by a single point of failure, and is very rarely safe from insiders intentionally or accidentally leaking information. In an interconnected world, where our online profiles with one service provider are often connected to our social media profiles, phone numbers, credit card numbers, and home addresses, the risks posed if this information fell into the hands of the wrong people is only multiplied. The amount of data out there is staggering.

Instead of putting our faith in the competence and ethics of major corporations and their centralised systems, our energy would be better spent investigating technological solutions which can ensure data privacy without the need of trusted third parties. Distributed networks can significantly reduce the threat posed to consumers by security breaches and the misuse of data. The rise of blockchain technology in recent years has shown only some of the potential of distributed networks and decentralisation. By utilising applied cryptography and distributed architectures, we can build systems that are inherently safer, with no single points of failure, no insider data leaks, no mass surveillance, and fewer avenues of attack for would be-hackers.

The potential for new technologies to better protect consumers is hardly news in itself. One need only look to the original philosophy underlying the creation of cryptocurrencies to see that the blockchain movement finds its roots in the desire to remove the necessity of middlemen from transactions. Since Bitcoin was launched in 2009, the blockchain community has been experimenting with the technology’s implementation in numerous industries, from data storage to online messaging – allowing for peer-to-peer interaction, where the infrastructure removes the necessity of placing our faith in service providers who may mishandle or fail to protect user information. The growth in the use of blockchain technology highlights that the appetite for trustless, secure networks and ways of interacting online is growing. The creation of, and sustained interest in privacy projects such as Tor, which facilitates anonymous internet use and untraceable online interaction, further showcases the ongoing demand for privacy online in the mainstream. Incessant scandals and news headlines surrounding how numerous tech companies fail to respect and protect user data will only strengthen interest in these trustless and anonymous networks and services.

For decades now, niche groups of advanced users and developers have created a multitude of privacy preserving tools in various capacities with varying degrees of success. GPG, Tor, i2p, BitTorrent, and Bitcoin have all been creations of passionate people who care deeply for the principles of privacy and freedom. As our lives move more and more online, the amalgamation and advancement of technologies such as these will lead to tools accessible to the mainstream that grant the user more power without making large sacrifices in user experience. However, consumers need to be proactive and adopt what tools are already out there and educate themselves on how to improve their digital security.

Through this new wave of adoption, consumers will no longer be faced with the choice of living offline, or trusting corporations who repeatedly fail to protect the data of internet users. A third way is possible, which puts power back into the hands of the user, but only if consumers are willing to invest energy into changing their habits and being aware of the risks. Apple is astute to recognise that consumers are growing more concerned about their personal privacy, but iPhones are not the answer in and of themselves. As new products are developed, users will have new and far more reliable privacy solutions to choose from. I sincerely hope they make the right choices.

Simon, Co-founder and Project Lead at Loki, has been heavily engaged in the blockchain industry since 2015, and before making the move into blockchain development. His broad skill set and adaptability has led him to be an influential member of the cryptocurrency scene. A recognised industry thought leader and blockchain expert, Simon played a role in the redesign and running of the Talk & Trade, a weekly discussion about current affairs within the blockchain and crypto industry, at the Blockchain Centre in Melbourne, assisting startups in educating themselves on blockchain technologies and its potential use cases. Simon holds a Bachelor of Arts from RMIT.