Decentralization digital identity: A new paradigm for reshaping trust systems

In today's digital age, personal information has seemingly become a form of currency. Every time we go online, we are required to provide a large amount of personal data, which is often used by companies as a profit tool, archived by the government, or even potentially stolen by hackers. However, Web3 technology is pioneering a new possibility: a truly user-controlled identification system.

Decentralized identification (DID) allows users to fully own and manage their own digital identity, flexibly deciding what information to share and with whom. This new type of identity system no longer relies on centralized databases, significantly reducing the risk of data breaches. Users no longer need to upload identification proofs or fill out cumbersome forms for each new platform; one identity can be used across all scenarios.

The working principle of DID is similar to an independently generated "digital passport number" that is recorded on decentralized networks such as the blockchain, without relying on any single platform or institution. "Verifiable credentials" are electronic certificates issued by authoritative institutions, such as driver's licenses or educational certificates, which are stored in the user's digital identity wallet.

The evolution of the concept of identification in the Web3 ecosystem has a long history. During the NFT boom in 2021-2022, a large number of users registered ENS (Ethereum Name Service) domain names, which not only made it easier to remember but also became a symbol of personal branding. This reflects the strong demand from users to control their own digital identity.

KILT Protocol, as an identity protocol built on Polkadot, is promoting the practical application of Decentralization identity. It allows organizations to issue and verify credentials, which users then store in their own wallets. KILT has been applied in multiple fields such as gaming, enterprise KYC, DePIN projects, and AI tools, demonstrating its advantages in protecting privacy while verifying identification.

Although the underlying architecture of decentralized identification has taken shape, there are still many challenges in the process of popularization, such as non-unified standards, unclear regulations, and the need for improvement in user experience. However, with W3C officially recognizing DID and Verifiable Credentials as web standards, decentralized identification has become an important component of future web architecture.

The Polkadot ecosystem provides an ideal platform for achieving large-scale Decentralization of digital identity. Its multi-chain architecture and neutral design are particularly suitable for building identification infrastructure. KILT, as a native rollup on Polkadot, offers a scalable, secure, and interoperable identification credential system, fully leveraging Polkadot's shared security, low fees, and multi-chain connectivity advantages.

Decentralization identification is redefining the trust mechanisms in the digital world. It is not just a technological innovation, but represents a paradigm shift that empowers users with "digital identity sovereignty." Although this field is still in its early stages, it has already shown great potential in various areas such as AI, DePIN, and gaming. Future digital identities will be more sovereign, interoperable, and user-controlled, and Polkadot is actively promoting the realization of this vision.