Intro to Ethereum and Smart Contracts

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The objective of the system is to make it possible for any third-party to allow users to log into their website using an Ethereum address as an identifier. No username or password is required. We assume a user attempting to login with an Ethereum address is a user who currently holds an Ethereum address with some Ether (that is, a user that holds an Ethereum account for other uses). Based on these assumptions, this is how our sample system worked: 1. A user browses to a third-party website that requires login. An input text area for the user’s Ethereum address is displayed. 2. The user inputs his or her Ethereum address and clicks “login”. 3. The third-party backend produces a challenge string and signs a JWT with the challenge embedded in it. 4. The user sends the challenge string to the login method of the Login contract already avail- able on Ethereum. 5. The backend watches the Ethereum network for the challenge string. It must be sent by the owner of the Ethereum address that was input in step 2. 6. If the challenge is seen by the backend within a reasonable timeframe, the user is then marked as logged in using the Ethereum address from step 2 as the identifier. A new JWT with full access to the third-party website is issued. There are a series of problems with this approach. Namely: • The user must manually make a call to the login method of the Login contract using an Ethereum wallet of his or her choice. • The user must know the address and the interface of the Login contract beforehand. • The user must spend some Ether to login because the contract relies on events that are logged to the blockchain (that is, they perform writes). This makes the contract require gas to run. • The backend must wait for a new block to be mined and propagated through the network before the login is completed (minimum latency in the order of 12 seconds or more). As you can imagine, these limitations make our simple authentication example impractical. So what can we do about them? 3.2 Towards a Practical Authentication Solution for Ethereum Users Authentication is what we do at Auth0, so we teamed up with the guys from GFT’s Innovation Team (Ivo Zieliński, Konrad Kozioł, David Belinchon and Nicolás González)7 to think of a better way of using Ethereum for this purpose. We came up with a proof of concept which we will share with you in this chapter. First, let’s describe the design goals for our system: • It should allow users with an Ethereum address to use that address to login to a third party website (that supports this login method). • It should be easy to use and reasonably easy to setup. • It should not compromise the security of the user’s Ethereum account. 7 http://www.gft.com/ 52

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