Input Output Global (IOG), which is the driving force behind the Cardano blockchain, has stopped development of its ambitious Atala Prism project, an initiative previously aimed at revolutionizing education and identity management systems in Ethiopia. The news, shared on the Midnight Discord and later confirmed by multiple inside sources, raises questions as no official statement has been released so far.
The Atala Prism project aims to expand the Cardano blockchain to simplify identity solutions. The technology is set to enable secure issuance, ownership, and management of digital identities using Discrete Identifiers (DIDs) and Verified Credentials (VC). In October 2021, the project received a lot of media attention when the IOG announced a partnership with the Ethiopian government to implement a national blockchain-based student and teacher identity and achievement recording system.
The project aims to digitally verify grades, monitor school performance remotely, and improve education and employment across the country. It was intended to create an uninterrupted record of the educational performance of five million students, 3,500 schools, and 750,000 teachers to identify and address areas of underachievement and allocate educational resources accordingly.
IOG Abandons Cardano’s Atala Prism Project
However, recent developments seem to have dramatically changed the trajectory of the project. According to a Discord message from a user identified as johnny5i, the termination of the Atala project was revealed during an online forum. “IOG recently released Hyperledger Identus. The Identus DID program is essentially dead in the water,” reports johnny5i.
Further exacerbating the situation, a large number of Atala team members, including the entire product team, have been suspended. “They lost 25 people including the field engineer guys, Esteban, and Faye, the station’s social worker,” johnny5i wrote.
Despite the suspension of the Atala Prism initiative, the IOG said that a small group of the team will move to Input Output Engineering (IOE) to maintain and improve the Hyperledger Identus Project. Esteban, a former IOG engineer, revealed on Discord, “Unfortunately, most of Atala, including all members of the Production team—including me and Fay—were let go. However, the IOG has expressed its commitment to continue with the Hyperledger Identus Project.
He also writes, “Regarding Atala’s products and Atala’s commercial pursuit, it is safe to assume that it will not be improved. […] I also emphasize that any former IOG employee is free to decide whether they wish to continue working with Identus.”
Matt K, former CTO of Atala within IOG, shared a heartfelt message with his team on Discord, reflecting on the end of an important chapter and impact on the team: “It is with a heavy heart that I say goodbye to so many talented and talented people. dedicated partners […] I am very proud of the self-esteem solution that has been developed, which has brought us to life, even in the face of challenges.”
He added, “To the few remaining team members who will keep Identus at IO, I wish you the best in navigating this transition. I have no doubt that your talent and determination will continue to drive Identus forward.”
Notably, the shutdown of Atala Prism raises questions about the future of Cardano-based identity solutions in regions like Ethiopia. “As of today, there is no information on the future of PRISM Sandbox; I think, at some point, updates will be shared,” Esteban wrote.
[UPDATE: 11:11 am GMT+2] Charles Hoskinson responded with X: “This is just a reminder that prism became Hyperledger Identus about 10 months ago. It is an open source Apache2 framework for proprietary applications. IO Engineering maintains a core team and community offerings, and products such as Midnight, RealFi, and Lace will use the framework for their proprietary requirements. This is standard practice in the open world and how SSI should work. Identity does not have to be a product. That makes you a product. Ownership should promote awareness of other products. “
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