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Encryption and cryptography

Latest — Jan 10, 2022

In this year of our lord, 2022, the term ‘Zero-Knowledge Encryption’ equates to best-in-class data insurance. We’ve already written an article named “What is Zero-Knowledge Proof?”, so we’re not going to look at definitions here, but rather, we’re going to explore the pros and cons of Zero-Knowledge proof encryption when compared to other technologies.

But for those who don’t want to dive deep into technical details, here’s an explanation of what Zero-Knowledge Encryption means:

It simply implies that no one else (not even the service provider) has access to your password-protected data.

This is important because even if your files are completely encrypted, if the server has access to the keys, a centralized hacker attack can result in a data breach.

In order to gain a better understanding of the factors that led to the development of Zero-Knowledge Encryption, we've decided to present a succinct, yet comprehensive, assessment of the advantages and disadvantages of three existing options:

Encryption-in-transit

Data in-transit, also known as data in motion, is data that is actively flowing from one point to another, such as that over the internet or over a private network. Data protection in transit refers to the security of data while it is being transferred from one network to another or from a local storage device to a cloud storage device. Effective data protection measures for in-transit data are critical because data is often considered less secure while in transit. Think of it like hiring security guards to accompany your cash-in-transit vehicle’s trip to the bank.

This means that, while using this approach, stored docs are 100% decryptable, so vulnerable.

As for our everyday life, the following technologies use the ‘encryption-in-transit’ approach:

Encryption-at-rest

Any data encryption is the process of converting one type of data into another that cannot be decrypted by unauthorized users. For example, you may have saved a copy of your passport. You obviously don't want this data to be easily accessed. If you store encrypted data on your server, it’s effectively "resting" there (which is why it’s called encryption-at-rest). This is usually accomplished by the use of an algorithm that is incomprehensible to a user who does not have access to the encryption key needed to decode it. Only an authorized person will be able to access the file, ensuring that your data is kept safe.

The Advanced Encryption Standard (AES) is often used to encrypt data at rest.

But, in order to access the data, you need a key — and that’s where the potential vulnerability lies.


Encryption-at-rest is like storing your data in a secret vault, encryption-in-transit is like putting it in an armored vehicle with security guards for transport.

End-to-end encryption

End-to-end encryption is the act of applying encryption to messages on one device so that only the device to which it is sent can decrypt it. The message travels all the way from the sender to the recipient in encrypted form.

In practice, it means that only the communicating users (who have the key) can read the messages.

End-to-end encryption has created an impregnable fortress for communication services (for example, messengers), going beyond the security "façade" of encryption-in-transit and encryption-at-rest solutions.

This is the most common approach when protecting oneself against data breaches nowadays, but it only works from "one end to the other," as the term implies. Even though this all sounds great, end-to-end encryption can only be used for a "communication system" like Whatsapp or Telegram.

While theoretically sound, end-to-end encryption lacks flexibility, so it can’t be used when the "two ends" that share data don't exist, such as for cloud storage.

This is the motivation behind the development of Zero-Knowledge Encryption, a method that solves the problem by hiding the encryption key, even from the storage provider, resulting in an authentication request without the need for password exchange.

Zero-Knowledge encryption

To log in to an account, you usually have to type in the exact password. In today's hyperconnected world, it's normal practice to tell the server your secret key ahead of time and test whether it matches.

Instead, there is another, more secure way, to manage this delicate process and that’s called Zero-Knowledge Encryption.

Without diving deep, The Zero-Knowledge relies on three main requirements:

  1. Completeness — an honest prover will be able to convince the verifier that he has the password by completing some process in the required way;
  2. Soundness — the verifier will almost certainly discover when the prover is lying;
  3. Zero-knowledge — if the prover has a password, the verifier receives no more information other than the fact that the statement is true.

Essentially, the system will check to see if you can demonstrate your knowledge several times by responding to various conditions. It’s like a brute force attack carried out backwards — you perform the same action many times in order to make sure that the prover isn’t lying.

Instead of concluding, let’s round up the pros and cons of Zero-Knowledge proof encryption when compared to the alternatives:


The con here is a clear example of the exceptional security provided by the Zero-Knowledge Encryption solution, which prevents even system administrators from recovering your password. This is why we, at Passwork, rely on this technology in our products. Ultimately, that’s why you can rely on us too.


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Why Zero-Knowledge Encryption is the best

Dec 20, 2021 — 6 min read

It is rare for technologies to be born from ambitious philosophical concepts or mind games. But, when it comes to security and cryptography – everything is a riddle.

One of such riddles is ‘How can you prove that you know a secret without giving it away?’. Or in other words, ‘how can you tell someone you love them without saying that you love them?’.

The Zero-Knowledge Proof technique, as suggested by the name, uses cryptographic algorithms to allow several parties to verify the authenticity of a piece of information without having to share the material that makes it up. But how is it possible to prove something without supporting evidence? In this article, we’ll try our best to break it down for you as easily as possible.

Why?

We’re asking ourselves day after day – why on Earth would people decide to use such a complicated concept. Well, millions of people use the internet every day, accepting cookies and sharing personal information in exchange for access to services and digital products. Users are gradually becoming more vulnerable to security breaches and unauthorized access to their data. Furthermore, individuals frequently have to give up their privacy in return for digital platform services such as suggestions, consultations, tailored support, and so on, all of which wouldn’t be available when browsing privately. Due to all the above mentioned, there is a certain asymmetry regarding access to information – you give your information in exchange for a service.

In 1985, three great minds noticed ‘a great disturbance in the Force’ ahead of their time and released a paper called "The Knowledge Complexity of Interactive Proof-Systems" which introduced the concept of Zero-Knowledge Proof (ZKP) for the first time.

So what is it?

ZKP is a set of tools that allows an item of data to be evaluated without having to reveal the data that supports it. This is made feasible by a set of cryptographic methods that allow a "tester" to mathematically prove to a "verifier" that a computational statement is valid without disclosing any data.

It is possible to establish that particular facts are correct without having to share them with a third party in this way. For example, a user could demonstrate that he is of legal age to access a product or service without having to reveal his exact age. Or, it’s a bit like showing your friend your driving license instead of proving to him that you can drive by road-tripping to Mexico.

This technique is often used in the digital world to authenticate systems without the risk of information being stolen. Indeed, it’s no longer necessary to provide any personal data in order to establish a person's identity.

Sounds great, but how does it work?

The prover and the verifier are the two most important roles in zero-knowledge proofs. The prover must demonstrate that they are aware of the secret whereas the verifier must be able to determine whether or not the prover is lying.

It works because the verifier asks the prover to do actions that can only be done if the prover is certain that he or she is aware of the secret. If the prover is guessing, the verifier's tests will catch him or her out. If the secret is known, the prover will pass the verifier's exam with flying colors every time. It's similar to when a bank or other institution requests letters from a known secret word in order to authenticate your identity. You're not telling the bank how much money you have in your account; you're simply demonstrating that you know.

Wonderful, but how does it REALLY work?

To answer this, let’s take a look at a piece of research by Kamil Kulesza.

Assume that two characters, Alice and Bob, find themselves at the mouth of a cave with two independent entrances leading to two different paths (A and B). A door inside the cave connects both paths, but it can only be unlocked with a secret code. This code belongs to Bob (the 'tester,') and Alice (the 'verifier,') wants to buy it, but first, she wants to make sure Bob isn't lying.

How can Bob demonstrate to Alice that he has the code without divulging its contents? They perform the following to achieve this: Bob enters the cave via one of the entrances at random while Alice waits outside (A or B). Once inside, Alice approaches the front door, summons Bob, and instructs him to use one of the two exits. Bob will always be able to return by the path that Alice used since he knows the secret code.

Bob will always be able to return via the path that Alice directs him to, even if it does not coincide with the one he chose in the first place, because he can unlock the door and depart through the other side with the secret code.

But wait a minute, there is still a 50% chance that both Alice and Bob chose the same path, right? It is correct indeed, however, if this exercise is repeated several times, the likelihood that Bob will escape along the same path chosen by Alice without possessing the code decreases until it is almost impossible. Conclusion? If Bob leaves this path a sufficient number of times, he has unmistakably shown to Alice that his claim of holding the secret code is true. Moreover, there was no need to reveal the actual code in this case.

You can find out more about the Bob and Alice metaphor here.

Got it, so how is it used?

As for right now, ZKP is developing hand in hand with blockchain technology.

Zcash is a crypto platform that uses a unique iteration of zero-knowledge proofs (called zk-SNARKs). It allows native transactions to stay entirely encrypted while still being confirmed under the network's consensus rules. It’s a great example of this technology being used in practice.

Even though zero-knowledge proofs have a lot of potential to change the way today's data systems verify information, the technology is still considered to be in its infancy — primarily because researchers are still figuring out how to best use this concept while identifying any potential flaws. This, however, doesn’t stop us from using this protocol in our products! ;)

For a deeper understanding of the technical aspects and history behind this protocol, we recommend watching this video on YouTube.


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