In our previous blog post, we explored the exciting partnership between Vidos and cheqd to bring DID-linked Resources to decentralized identity solutions. Building on that success, we're now delving into the critical topic of DID interoperability and its importance in today's digital landscape.
In our connected world there is no one size fits all approach to digital identity. Different regulatory environments, different use cases and different security requirements mean we need adaptable digital identity infrastructure that can support many applications and allow for interoperability between systems and across borders.
Decentralised identity systems enable this flexibility through the use of multiple DID (decentralised identifier) methods. This approach caters to the diversity of user needs and regulatory requirements, allowing system implementers to choose the network that provides the greatest value for their specific use case.
The existence of multiple DID methods offers several key benefits:
For example, Bhutan's National Digital Identity (NDI) chose to create did:polygon for their nation’s identity system so they could meet their unique requirements whilst still adhering to core standards that ensure interoperability with other countries.
The European Blockchain Services Infrastructure (EBSI) is a pan-European blockchain initiative designed specifically for cross-border public services. Key features include:
cheqd is a public permissionless network focused on providing payment infrastructure and a trust layer for Trusted Data marketplaces. Notable aspects include:
The unique features and capabilities of different DID methods make each more advantageous in some use cases compared to others. For example, an EU government body may want to take advantage of EBSI’s restrictions on permissible node operators and so issue their state IDs using did:ebsi. Whereas a large private company in the same EU state may wish to create a feature-rich workforce ID system and take advantage of cheqd’s commercial models, so chooses to use did:cheqd for their employee credentials.
To illustrate the power of DID interoperability, let's consider a mortgage application scenario:
This use case demonstrates the value of interoperability across different DID methods, showcasing how public and private credentials can be seamlessly combined and verified. This is important because in the EUDI market, both public and private credentials will need to be supported in the same digital identity wallets, and relying parties should be able to seamlessly verify and trust them simultaneously.
Moreover, in an open market for digital credentials, relying parties should possess software that is able to validate the legitimacy of credentials anchored on different infrastructure, without the relying party needing to integrate multiple types of verification software.
To take advantage of multiple DID methods efficiently and cost-effectively, Vidos offers managed verification services:
Our shared responsibility model makes the process easy, secure, and simple. The same services and permissions can be reused for other digital identity workflows, such as creating a bank account, enrolling in a course, or sharing travel details, making it a cost-effective solution.
DID interoperability is key to a flexible, resilient and innovative digital identity ecosystem. By supporting multiple DID methods organisations can use the best of each network while maintaining seamless verification. The Vidos and cheqd partnership is an example of this, offering DID linked Resources and multi-network verification.
As we continue to navigate the complex world of digital identity, embracing interoperability will be key to unlocking new possibilities and ensuring that decentralized identity solutions can adapt to diverse needs and regulatory requirements.
So here’s to interoperability.
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