Decentralized identity

Paulo Rupino da Cunha and Rodolfo Costa

Chapter 17 in Elgar Encyclopedia of Cryptocurrencies, Blockchain and DLT, 2026, pp 88-92 from Edward Elgar Publishing

Abstract: Decentralized identity (DID), also known as self-sovereign identity (SSI), is an approach to digital identification that leverages blockchain technology to afford individuals greater control over storing and sharing their identity-related information using digital wallets, in contrast to traditional centralized and federated models, where it is managed by third parties. DIDs promote privacy, security, and user autonomy in modern society. They could also become an instrument to address the exclusion of 850 million undocumented people globally. This chapter explains how DIDs work, provides a historical background, describes key technologies and platforms, and presents significant use cases.

Keywords: Decentralized identity; Self-sovereign identity; Blockchain; Verifiable credentials; Decentralized identifiers; Soulbound tokens (search for similar items in EconPapers)
Date: 2026
ISBN: 9781035339952
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