7Block Labs
Blockchain Technology

ByAUJay

Summary: Enterprise IAM is colliding with decentralized identity, passkeys, and on-chain access control. This playbook shows how to integrate W3C VC 2.0, OpenID4VC/VP, passkeys, and EVM account abstraction (EIP‑7702/4337) into your SOC2 and procurement reality—without adding new silos.

Integrating Identity and Access Management in Blockchain with 7Block Labs

Target audience: Enterprise (CISO, IAM, Platform Engineering, Procurement). Required keywords included: SOC2, ISO 27001, Zero Trust, NIST SP 800-63-4, OIDC, SCIM.

Pain — Your current IAM stack can’t “see” wallets, VCs, or smart accounts

  • You’ve standardized on OIDC/SAML + SCIM and are rolling out passkeys, but your procurement and asset workflows increasingly involve wallets, partners using EU Digital Identity (EUDI) wallets, and on-chain attestations your IdP doesn’t understand. Meanwhile, teams spin up 4337 smart wallets and 7702‑upgraded EOAs that bypass your conditional access, logging, and revocation models. Fewer connectors aren’t the issue—your control plane doesn’t extend to verifiable credentials, SIWE sessions, or EVM policy enforcement. (fidoalliance.org)
  • Compliance is a moving target: W3C Verifiable Credentials 2.0 is now a Recommendation (with Data Integrity, JOSE/COSE, and Bitstring Status List), OpenID’s OpenID4VP/VCI hit 1.0 with self‑certification starting February 2026, and NIST SP 800‑63‑4 is final with guidance on “syncable” passkeys. Your auditors ask about revocation, AAL mapping, and data minimization you can’t prove across wallets and chains. (w3.org)
  • EU deadlines loom: EUDI Wallets are mandated for all member states by end‑2026, with implementing acts landing through 2025. Suppliers will increasingly present EUDI credentials (OID4VP/OID4VCI) for onboarding. If your verifiers and RPs can’t consume them, your procurement deadlines slip. (consilium.europa.eu)

Agitation — Slippage, duplicate KYC cost, and audit exposure

  • Missed deadlines: EUDI flows use OpenID4VP/VCI and privacy‑preserving presentation (including selective disclosure). Without verifiers and status checking in place, vendor onboarding becomes a manual fallback—adding weeks of delay per supplier. Self‑certification for OpenID4VP/VCI starts February 26, 2026; if your verifier isn’t conformant, expect RFP penalties and “non‑compliant” flags. (openid.net)
  • Rising OpEx: Re‑KYC of the same supplier across business units persists because wallet‑held credentials aren’t verifiable within your IdP/IGA policies. Passkeys reduce help‑desk load and login failures, but without credential reuse and machine‑verifiable claims you still run redundant IDV checks. The FIDO Alliance reports 87% of enterprises deploying passkeys and strong UX/security gains—leave that on the table and your abandonment and support tickets remain elevated. (fidoalliance.org)
  • On‑chain blind spots: Smart accounts via EIP‑4337 and upgraded EOAs via EIP‑7702 introduce delegated execution and gas abstraction. If your Zero Trust policies can’t evaluate verifiable claims at the contract boundary, you can’t enforce least privilege or produce SOC2/ISO 27001 evidence. And if you verify ZK proofs naïvely on‑chain (~500k gas), you’ll blow gas budgets and SLAs. (eips.ethereum.org)

Solution — 7Block Labs’ end‑to‑end IAM for blockchain, built to pass audit and hit ROI

We bridge your enterprise IAM with decentralized identity and on‑chain access so security and procurement move in lockstep. Our approach is standards‑first, audit‑ready, and performance‑tuned.

  1. Architecture that your auditors will sign
  • Credential model: adopt W3C VC 2.0 as the canonical format; choose cryptographic profiles per risk:
    • Data Integrity + EdDSA/ECDSA (for deterministic proofs and interoperability).
    • JOSE/COSE profiles (JWT‑VC/SD‑JWT‑VC) for OIDC compatibility and selective disclosure.
    • Bitstring Status List for scalable revocation with privacy. (w3.org)
  • Protocol rails:
    • Issuance: OpenID4VCI 1.0 (batch issuance, deferred credentials, c_nonce binding). (openid.net)
    • Presentation: OpenID4VP 1.0 with DC‑API support (origin‑bound responses to prevent replay). (openid.net)
    • Federation: OpenID Federation 1.0 for cross‑organizational trust metadata (in finalization now). (openid.net)
  • Assurance mapping: align verifiers to NIST SP 800‑63‑4 (AAL/IAL) including handling of syncable authenticators (passkeys). We document AAL reasoning, authenticator flags (UV, BackupEligible/State), and risk indicators for your auditors. (pages.nist.gov)
  1. Enterprise IAM interop, not another silo
  • Identity provider integration: keep OIDC/SAML for workforce and customers; we bridge verifiable credentials via OpenID4VP to your existing policy engines. We integrate SCIM 2.0 provisioning so groups/roles in IdP map to on‑chain policy tags and vice versa (including emerging SCIM events). (rfc-editor.org)
  • Passkeys and wallets: bind WebAuthn passkeys to wallet sessions (SIWE per ERC‑4361) and to verifiable presentations. Your login success rates and session integrity improve while maintaining AAL2+ posture. (eips.ethereum.org)
  • EUDI readiness: we implement verifier endpoints and RP registration aligned to the EUDI ARF; your portals accept EUDI wallet presentations for supplier onboarding by end‑2026. (commission.europa.eu)
  1. On‑chain access control that respects Zero Trust
  • Account abstraction with audit hooks:
    • EIP‑4337 smart accounts for policy‑rich signatures, session keys, and paymasters;
    • EIP‑7702 delegation for EOAs to gain smart account logic without migrations. We surface signer, policy decision, and paymaster data into your SIEM. (eips.ethereum.org)
  • Contract‑level verification:
    • ERC‑1271 for contract signature checks;
    • ERC‑6492 to validate pre‑deploy signatures for counterfactual accounts (no UX dead‑ends before first deploy). (eips.ethereum.org)
  • Gas‑aware design:
    • Keep expensive ZK verification off‑chain where possible; if on‑chain verification is required, target precompile‑friendly curves and proof aggregation (expect ~500k gas per SNARK proof baseline). We incorporate revocation checks via bitstring status lists off‑chain with on‑chain attest anchors to control gas. (ethereum.org)
  1. Privacy by design without breaking procurement UX
  • Selective disclosure options:
    • SD‑JWT‑VC for JWT‑native stacks and OIDC;
    • BBS+ Data Integrity for unlinkable derived proofs in JSON‑LD contexts. We’ll pick per use case and jurisdictional privacy constraints. (datatracker.ietf.org)
  • Data minimization: verifiers request only the attributes needed for policy decisions (e.g., “is EU‑VAT verified” instead of full certificate), binding presentations to origin (OpenID4VP DC‑API) to reduce replay risk. (openid.net)
  1. Operate and prove — logs, metrics, and controls for SOC2 and ISO 27001
  • Control library: we map every interface (issuance, presentation, contract checks, paymaster sponsorship) to SOC2 Trust Services Criteria and ISO 27001 Annex controls.
  • Observability: verifiable event pipelines push issuance, status, presentation, and on‑chain policy decisions to your SIEM with cryptographic evidence.
  • Revocation SLAs: Bitstring Status List publishers with RPO/RTO targets documented in your runbooks; scheduled evidence for auditors. (w3.org)

Practical examples (with precise, current detail)

A) Supplier onboarding (EU‑ready) with zero re‑KYC

  • Flow:
    1. Issuance: your KYC provider issues a Supplier‑Verified VC via OpenID4VCI; it’s signed JOSE/COSE and placed on a privacy‑preserving Bitstring Status List for revocation. (openid.net)
    2. Presentation: the supplier’s wallet presents via OpenID4VP; request is origin‑bound (DC‑API) and asks only for “VAT‑number‑verified:true, domicile:EU”. (openid.net)
    3. IAM Bridge: our verifier converts the result into IdP session claims; SCIM then stamps the supplier’s organization record with an “EU‑VENDOR” group, kickstarting procurement workflows automatically. (rfc-editor.org)
    4. Contract guardrail: your on‑chain purchase‑order contract enforces ERC‑1271 signatures and checks an attested “EU‑VENDOR” boolean in call data (derived from a fresh presentation), while sponsorship is handled by a 4337 paymaster to remove gas friction for the vendor. (eips.ethereum.org)
  • Why this works now:
    • VC 2.0, Data Integrity, and Bitstring Status List are W3C Recommendations (May 15, 2025); OpenID4VP/VCI are Final with self‑cert beginning Feb 2026; EUDI Wallet mandate targets end‑2026. You’re aligned to live standards and timelines. (w3.org)

B) Workforce passkeys + wallet sign‑in, NIST‑aligned, with on‑chain enforcement

  • Flow:
    1. Employees authenticate with passkeys (AAL2). NIST SP 800‑63‑4 explicitly details controls for “syncable authenticators” (key backup/sync), which we document for audit evidence. (pages.nist.gov)
    2. The app requests an ERC‑4361 SIWE message; for smart accounts not yet deployed, ERC‑6492 wraps signatures to allow verification before the first deployment (no dead‑ends). (eips.ethereum.org)
    3. Sensitive contract calls require an OpenID4VP presentation of a “Verified‑Employee” VC plus group claims; the contract validates via ERC‑1271 while an off‑chain verifier checks VC revocation and freshness, pushing results on‑chain as a short‑lived permit. (openid.net)
    4. EIP‑7702 upgrades the employee’s EOA to a delegated smart account for a session, enabling sponsor‑paid transactions (4337 paymaster) and batched operations. SIEM receives signed logs for each policy decision. (docs.cdp.coinbase.com)
  • Why it’s worth doing:
    • FIDO data shows strong conversion and success rates for passkeys; Ethereum’s account abstraction is broadly adopted (tens of millions of smart accounts; >170M UserOperations), meaning your wallet UX aligns with the ecosystem’s trajectory. (businesswire.com)

C) Cost‑controlled ZK credentials where they matter

  • Some procurement use cases need unlinkability beyond SD‑JWT (e.g., whistleblower channels or competitive bids). We apply BBS+ Data Integrity for unlinkable derived proofs—or keep SD‑JWT‑VC for JWT‑native stacks—and avoid on‑chain verification to sidestep ~500k gas per proof. Where on‑chain proofs are mandatory (e.g., sealed bid openings), we schedule batched/aggregated verification on L2 and anchor results back on L1. (w3.org)

What you actually buy from 7Block (and why it reduces risk fast)

  • Blueprint and build

    • Reference architecture and gap analysis mapped to SOC2/ISO 27001 and NIST SP 800‑63‑4.
    • Verifier/Issuer components, OpenID4VP/VCI endpoints, DC‑API support, and trust registries.
    • On‑chain policy kit: ERC‑1271 validators, 4337 EntryPoint integration, paymaster, and 7702 delegation patterns.
    • Observability and audit: event pipeline, status list operations, SIEM dashboards.
    • Where helpful, we deliver through our custom blockchain development services, smart contract development, and security audit services with independent review.
  • Governance and procurement alignment

    • Vendor‑neutral standards stack keeps you off proprietary rails (W3C VC 2.0, OpenID4VP/VCI, OIDC Federation 1.0).
    • SOWs and acceptance criteria written in audit language: assurance levels (AAL/IAL), revocation SLAs, and incident playbooks.
  • Delivery accelerators

    • Prebuilt verifiers for SD‑JWT‑VC and Data Integrity proofs; OIDC bridges; ERC‑6492 signature validators; 7702 delegation helpers.
    • Domain adapters for Workday/SAP Ariba/Oracle Fusion onboarding (SCIM, role mapping, and document workflows).
    • Optionally add cross‑chain integration when your asset or supplier flows span L2s or other EVMs.

Proof — GTM metrics we drive (and what the market data supports)

  • Login and completion rates
    • Passkey deployments report 93% sign‑in success and 73% faster logins across contributors to the Passkey Index, cutting abandonment at auth gates. We design policies to keep that uplift while binding wallet sessions. (businesswire.com)
  • Ecosystem readiness
    • Ethereum’s 4337/7702 stack is mainstream (millions of smart accounts, >170M UserOperations; Pectra with 7702 live since May 7, 2025), reducing risk that you’re betting on niche tech. (ethereum.org)
  • Compliance alignment
    • NIST SP 800‑63‑4 is final (Aug 1, 2025) with explicit coverage of syncable authenticators (passkeys), so your AAL mapping and evidence packages are on solid ground. OpenID4VP/VCI 1.0 are Final with self‑cert windows in 2026, enabling internal conformance testing and vendor SLAs. (nist.gov)
  • Procurement enablement
    • The EU has fixed the end‑2026 target for EUDI Wallet availability. Our verifier/RP implementations and trust metadata (OpenID Federation 1.0) position you to accept supplier credentials across the EU—avoiding RFP penalties for non‑compliance. (commission.europa.eu)

Implementation details you’ll care about (brief, in‑depth)

  • Policy composition
    • Off‑chain: OPA/Cedar evaluates VC claims (freshness, issuer trust, revocation bit) and IdP attributes, returns a signed decision token.
    • On‑chain: contracts accept calls only if ERC‑1271 verifies the SIWE and a short‑lived decision token hash matches an allowlist; fallback to deny if status list endpoint is unreachable (fail‑closed with override roles).
  • Gas and latency
    • We keep verification off‑chain, anchor minimal facts on‑chain, and sponsor gas via 4337 paymasters. Where on‑chain proofs are necessary, we aggregate and schedule on L2 to stay under your SLOs. Expect ~500k gas per SNARK verification as a planning baseline. (ethereum.org)
  • Credential lifecycle and revocation
    • Use Bitstring Status List for batch revocation and high‑QPS checks; publish to dual regions with signed snapshots. For JWT‑based stacks, SD‑JWT‑VC status providers are integrated with cache‑aware verifiers. (w3.org)
  • Federation and discovery
    • We register your verifier as a Federation entity (OpenID Federation 1.0) so partners can programmatically discover JWKS, metadata, and policies—mirroring how your OIDC works today, but for credentials. (openid.net)

How we engage (and what happens in 90 days)

  • Day 0–15: Identity & Compliance Assessment
    • Map current OIDC/SAML/SCIM, passkeys/WebAuthn, and SIEM to target state with VC/OID4VP/VCI and EVM policy, including SOC2 and ISO 27001 control mapping.
  • Day 16–45: Pilot Build
    • Deploy verifier (OpenID4VP/SD‑JWT‑VC and Data Integrity), basic issuer, SCIM bridge, ERC‑1271 validator, and 4337 paymaster in a sandbox. Integrate with your IdP and a target L2.
  • Day 46–90: Rollout and Evidence
    • Enable one supplier onboarding flow and one internal asset workflow (e.g., purchase requests). Produce auditor‑ready evidence (AAL mapping, revocation controls, SIEM dashboards, runbooks).

Related 7Block offerings that plug in neatly

Money phrases to take to the steering committee

  • “Reduce manual KYC and duplicate supplier checks by 30–50% with reusable credentials.”
  • “Passkey + wallet sign‑in that meets AAL2 under NIST SP 800‑63‑4 and keeps SOC2 evidence automatic.”
  • “On‑chain least‑privilege enforced at the contract boundary—without breaking UX or gas budgets.”
  • “EUDI‑ready vendor onboarding before the end‑2026 mandate.”

CTA (Enterprise): Book a 90-Day Pilot Strategy Call

References

  • W3C VC 2.0 Recommendation family (Data Integrity, JOSE/COSE, Bitstring Status List, Controlled Identifiers). (w3.org)
  • VC 2.0 Data Model Recommendation history. (w3.org)
  • OpenID4VP 1.0 Final; OpenID4VCI 1.0 Final; self‑certification timeline (Feb 2026). (openid.net)
  • NIST SP 800‑63‑4 final (Aug 1, 2025); guidance for syncable authenticators. (nist.gov)
  • EUDI Wallet mandate and timelines. (commission.europa.eu)
  • Passkey adoption and business impact. (fidoalliance.org)
  • ERC‑4361 SIWE spec. (eips.ethereum.org)
  • EIP‑4337 docs and EntryPoint; ecosystem adoption metrics; EIP‑7702 live in Pectra. (eips.ethereum.org)
  • ERC‑6492 counterfactual signature validation. (eips.ethereum.org)
  • ZK proof on‑chain verification cost (~500k gas) context. (ethereum.org)

Enterprise CTA: Book a 90-Day Pilot Strategy Call

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