A Blockchain-Based E-Commerce Reputation System Built With Verifiable Credentials

Reviews and reputation scores of sellers play an important role in decision-making process of potential buyers in an e-commerce system. A trustworthy and reliable reputation system is a crucial component in the e-commerce ecosystem, as buyers rely on it to make informed decisions. In this work, we propose a privacy-preserving decentralized reputation system designed to include countermeasures against some known attacks. Our model is built on two permissioned blockchains, namely Hyperledger Indy and Hyperledger Fabric. Hyperledger Indy provides an infrastructure for implementing verifiable credentials with Zero Knowledge Proof support, which is essential for privacy preservation, while Hyperledger Fabric is a robust platform for implementing smart contracts. One of the key advantages of the proposed approach is the use of verifiable credentials for digital identities of sellers, feedback tokens issued to buyers after performing an e-commerce transaction and discount tokens issued to buyers after feedback submission. This helps to ensure that the feedback and identity information is authentic and tamper-proof, reducing the likelihood of identity-related attacks. Additionally, the collection of feedbacks and application of business rules are implemented as smart contracts on Hyperledger Fabric blockchain. This provides a secure and transparent mechanism for processing feedback, reducing the likelihood of unfair feedbacks. Overall, the proposed approach presents a robust reputation system that can help reduce identity-related attacks and unfair feedbacks. The privacy-preserving nature of the system ensures that sensitive information is protected while still enabling the verification of digital identities. The use of feedback and discount tokens incentivizes buyers to provide accurate and honest feedback, which can help reduce unfair feedbacks and identity-related attacks. Finally, the use of smart contracts ensures transparency and immutability, which enhances the overall reliability of the system.