Microsoft today announced that they will be making use of public blockchains such as Bitcoin and Ethereum in their decentralized identity systems. The blockchain-based decentralized system will at its beginning be supported through the Microsoft Authenticator app.
A decentralized ID system means that no one single person or entity controls people’s personal information. The idea of a decentralized ID system removes the possibilities of censorship. This means that the individual identity owner is empowered to have control over their own bio-data and reputation.
Blockchain technology is disrupting many spheres of life from governance to industry, to finance, education, communication and even to how people interact with each other on many platforms including social media.
Microsoft came to the decision to make use of public blockchain after studying various decentralized identity systems. And since the company is inspired by the need for privacy, self-ownership and ease of information access, public blockchain offers the best solution. This is as stated in the announcement;
“After examining decentralized storage systems, consensus protocols, blockchains, and a variety of emerging standards we believe blockchain technology and protocols are well suited for enabling Decentralized IDs”
One of the most touted use cases for blockchain technology aside cryptocurrencies is the system of Identification. Due to the secure and trustless nature of public blockchain, it has been strongly recommended by many across industry divides for the purposes of reliable identification systems and records. In the post, Microsoft specifically states that Bitcoin, Ethereum and Litecoin are three notable platforms that are suitable for decentralized ID systems.