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Decentralization

The Rise of Decentralized Trust

MW

Marcus Webb

Product Lead

January 12, 2024·7 min read

For most of the internet's history, trust has been centralized. We trust Google, Apple, or Facebook to vouch for who we are. We trust certificate authorities to vouch for websites. We trust banks to vouch for our financial standing. All of these trust relationships pass through a central intermediary.

The Problem With Central Points of Trust

Central points of trust are central points of failure. When a major identity provider is breached, millions of accounts are compromised simultaneously. When a platform changes its terms of service, users who built their digital lives on that platform lose the foundation of their online identity.

Decentralized identity aims to solve this by moving trust to the edges. Instead of relying on a central issuer for your identity, you hold your own verifiable credentials — cryptographically signed claims issued by trusted parties, stored in your own wallet, under your own control.

DIDs and Verifiable Credentials

Decentralized Identifiers (DIDs) are a W3C standard that enables self-sovereign identity. A DID is a unique identifier tied not to a corporation's database but to a cryptographic key pair that only the holder controls. Verifiable Credentials built on top of DIDs can represent any assertion — your age, your educational qualifications, your employment history — in a portable, tamper-evident format.

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