What are decentralized identifiers?

We’re hearing this term more often with regards to Dorsey’s Web5 projects and initiatives within Block (formerly Square), but the idea of decentralized identifiers extends beyond Block’s current projects and road map and widely into Web3. The plan for Zion makes more sense when understood within the context of the W3C-influenced framework and model for the future of the decentralized web.

The W3C was founded in 1994 and operates as the main international standard organization for the web as we know it today.

As defined by WC3, "decentralized Identifiers are a new type of identifier that enables verifiable, decentralized digital identity."

Truly decentralized identification is something that both Web3 and Web5 initiatives aim to achieve, with many Ethereum blockchain-based projects looking to solve different parts of the issue.

Web5 and DID take this a step further by laying down the foundations of the core architecture, data model and the goals for operating within a sufficiently decentralized web. The key difference between Ethereum’s decentralized identity products and Web5 is planning and design. The Web5 components were built and vetted before products were built on top of them.

DIDs have been recognized as a new type of web-based identifier by the W3C, and the open standard is now recommended by the consortium after extensive technical review. That Block has W3C’s support for building Web5 and TbDEX may accelerate adoption of a decentralized web built on Bitcoin.

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