Security & Privacy
This section examines the security and privacy foundations of the Data Marketplace, focusing on established cryptographic mechanisms and their implementation in the decentralized data economy.


Cryptographic Security Foundations
The Data Marketplace builds directly upon the ZKP Blockchain's cryptographic infrastructure, leveraging zk-SNARKs for privacy-preserving operations through both EVM pallet and native verification mechanisms . These zero-knowledge proofs enable critical marketplace functions like access control verification and dataset attribute validation without exposing sensitive information.
The marketplace's implementation aligns with the base layer's security parameters, including the BLS12-381 elliptic curve for zk-SNARKs, which targets 128-bit security against classical attacks based on the discrete logarithm problem . However, zk-SNARKs require a trusted setup, where a Common Reference String (CRS) is generated through a multi-party computation (MPC) ceremony involving 20 participants, achieving a collusion risk below 2^(-128).

Security Parameters and Trusted Setup
To mitigate risks associated with the trusted setup, we have implemented a transparent audit trail of the MPC ceremony, publicly logging participant contributions and destruction proofs in immutable storage for perpetual verification. Additionally, we are pursuing a phased migration to zk-STARKs for high-sensitivity operations (e.g., governance voting, compliance verification), which eliminate the need for a trusted setup while offering post-quantum security, albeit with larger proof sizes.
This migration will begin with a pilot integration in the next testnet phase, targeting full deployment for sensitive functions within 18 months, ensuring a trustless architecture consistent with blockchain principles. Long-term security planning includes ongoing evaluation of emerging cryptographic threats and potential transitions to post-quantum secure alternatives as needed.
