The Potential of Blockchain Technology for Creating Decentralized Identity Systems: Technical Capabilities and Legal Regulation
DOI:
https://doi.org/10.59022/ijlp.170Keywords:
Decentralized Identity, Blockchain, Self-sovereign Identity, Verifiable Credentials, Identity Management, Privacy, Security, Digital IdentityAbstract
Decentralized identity systems based on blockchain technology have emerged as a promising solution to the limitations and challenges of traditional centralized identity management. This research explores the potential of blockchain for creating secure, transparent, and user-centric identity systems, focusing on the technical capabilities and legal implications. Through a comprehensive literature review and expert interviews, the study examines the core components of decentralized identity, such as self-sovereign identity and verifiable credentials, and compares them with centralized approaches. The research highlights the benefits of decentralized identity, including enhanced privacy, user control, and efficiency, while also identifying the regulatory gaps and proposing ways to address them. The study concludes that the successful implementation of decentralized identity systems requires a collaborative effort among stakeholders, considering both technical and legal aspects. The findings contribute to the advancement of knowledge in the field of identity management and provide practical recommendations for organizations seeking to adopt decentralized identity solutions.
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