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Decentralized Identity

A type of identity that allows individuals to own and control their digital identity without relying on a central authority.

AbbreviationDID
Categoryweb

Overview

Decentralized Identity (DID) is a framework for digital identity that uses blockchain and other distributed ledger technologies to give users control over their personal information. Instead of having separate accounts for every website, users have a single, portable identity that they control.

Key Components

  • DID Document: A file stored on a blockchain that contains public keys and service endpoints for an identity.
  • DID Method: The specific implementation for a blockchain (e.g., did:ethr for Ethereum).
  • Verifiable Credentials: Digital 'stamps' or certificates issued by trusted parties to a DID.

Benefits

  • Privacy: Users only share the specific data needed for a transaction.
  • Security: No central database of user passwords to be hacked.
  • Interoperability: One identity works across many different platforms.

Related Terms

Verifiable Credentials