Introduction

In our last post, we introduced zkTLS and discussed what we’re building at Zap. Today, we’ll dive deeper into why data ownership is critical, the current challenges in the data market, and how zkTLS represents a small step toward a much larger transformation — the rise of data as a new asset class, an idea already being explored by futurists like Michael Clark and scholar Laura Veldkamp.

Data is the most inclusive asset we have, and for a future economy where data becomes a major asset class, it is crucial to have strong decentralized and permissionless infrastructure, allowing anyone to easily own and monetize data as an asset.

Now, let’s explore some of the current problems in the data market, what data is and its potential, why it should be treated as an asset and personal property, and finally, what we are doing at Zap to build toward this future.

The Problem with Data in Today’s World

According to the study How Americans View Data Privacy, concern over how personal data is being used has risen from 64% in 2019 to 71% in 2023. Despite this growing concern, 67% of the public feels they understand little to nothing about how companies use their data, and 73% believe they have little to no control over the data collected by companies.

However, the reality is that many people willingly share their data in exchange for "free" services. This occurs due to lack of understanding of what data actually means and its true value.

What is Data Really?

Before we can begin to treat data as a true asset, it’s important to understand what data really is.

Some view data as merely a by-product of economic activity, while others see it as spreadsheets, bits, and bytes. A common phrase is “data is the new oil,” but data is far more than a simple commodity. Different types of data, when combined in unique ways, hold immense and varying value.

According to futurist Michael Clark, data represents our history, cultural values, and holds immense potential for progress and problem-solving. Today, data lies at the heart of our world.

Imagine you had to choose between losing your favorite playlists from Spotify, or $100. Which one would hurt more?

When your phone goes missing, what upsets you the most? Is it the cost of the device or the fact that all your contacts, memories, and personal data are suddenly out of reach?

Our devices — smartphones, laptops, and tablets — are simply tools to create, access, and store data. But despite its importance, we often give away our data without considering its value, like when we accept cookie settings for a one-time visit to a website.

Unlocking the Power of Aggregated Data

One of the biggest challenges today is how fragmented our data is. From Google Maps to Apple Watch, our personal information is scattered across platforms, limiting its potential value. But what if this data could be consolidated into one comprehensive source?

Aggregated data unlocks new insights and value far greater than isolated data points. The insights we could gain from connecting all aspects of our lives would be exponentially more valuable than any individual piece of data in isolation.

Source: https://medium.com/@yuhuiluo/who-to-choose-after-cristiano-ronaldo-from-a-data-analysis-perspective-3b50ccc6477a

For example, let's consider the data of a top athlete like Cristiano Ronaldo, imagine if he owned and gathered all of his personal data in one place, his diet, training regimen, and daily routine, sleep routine, game performance, etc. The value of this aggregated data is immense, or think of someone who overcame a serious illness and documented every aspect of their treatment and lifestyle. This comprehensive data could be life-changing for others and could even secure the financial future of the person who shares it.

Even if your goal is more modest, like training for a half or full marathon, tracking every detail of your journey — nutrition, recovery, training methods — could create a valuable resource for others on similar paths. This aggregated data could even become a new income stream.

When companies control and sell our data without our knowledge, they not only profit from our information but also deprive us of the opportunity to combine and use that data to solve some of our personal problems more efficiently. Big companies are not interested in using data to improve our personal lives holistically; they only care about improving the particular service they provide.

Combining different data sets is powerful, but adding verifiability is crucial. Verifiability ensures that the data is genuine and comes from trusted sources like Twitter, Reddit, or Spotify. This added trust increases the data’s value, just like any asset where lowering risk makes it more valuable.

One way to achieve this is through technologies like zkTLS. For example, sharing proof of a bank transaction with a trusted friend might only require a screenshot, but in decentralized apps, where interactions are often anonymous, that won’t suffice. With zkTLS, you can securely verify and use that data across decentralized platforms, unlocking new monetization opportunities.

As AI continues to generate vast amounts of content, the ability to verify real data will become even more critical.

Shaping the Future of Data as an Asset Class

At Zap, we share the belief that data will become one of the most valuable asset classes in the global economy. Given its inclusiveness and vast potential, we believe it’s essential to build a decentralized and permissionless infrastructure to support data ownership and monetization.

Here’s how we are working toward this vision.

zkTLS the first step toward data ownership

Progress with zkTLS is significant, but it’s just the beginning. This technology is the first step toward establishing data as a recognized asset class, enabling users to experience true ownership across platforms and paving the way for broader adoption in the decentralized data economy.

Verifiable data enables users and developers to unlock new ways to create value by combining and leveraging its unique properties. More than just value generation, this shift will transform how we perceive data, influencing our online behavior, interactions with websites, and challenging the practices of large corporations. Just as crypto has reshaped elections, our evolving view of data will redefine how corporations and governments manage and treat personal information.

Legislation: Brazil Leading the Way on Data Monetization

Globally, legislation is beginning to recognize data as an asset. Brazil, for instance, has already proposed a comprehensive framework for data monetization and might become the first country to implement it. The Brazilian Data Monetization Ecosystem would grant individuals ownership of their personal data, enabling them to monetize it within a regulated system. The proposal also includes digital savings accounts for users to receive revenue from their data usage, with companies required to compensate individuals for collecting, processing, and commercializing their data.

At Zap, we are closely following these developments and are committed to co-creating solutions that help users take full control of their data. Our mission is to build decentralized tools that allow individuals to manage, store, and monetize their data in a permissionless environment.

Deploy core technology for Data as an Asset

What will the world look like when data is fully recognized as a valuable asset? Which technologies are necessary to achieve this vision? To unlock the true potential of data as an asset, various technologies must come together. At Zap, we are building the core infrastructure for this future, where data is recognized as one of the world’s most valuable assets. Stay tuned for upcoming posts, where we’ll share more about these other pieces.

Conclusion

In this post, we explored the future of data as a recognized asset class, focusing on its value, potential, and how verifiability enhances that value. Technologies like zkTLS will be crucial for ensuring data security and verifiability, unlocking new opportunities for value creation. At Zap, we’re committed to building the infrastructure that enables individuals to own and leverage their data, as we believe data will become the most valuable and inclusive asset in our economy. Stay tuned as we continue to innovate and drive this vision forward

Resources:

Valuing data as an Asset

David Mattin & Michael Clark: Data as an Emerging Asset Class:

Brazil Data Monetization Bill