Decentralized Reusable Identity Credentials Without Data Storage

C6/10March 3, 2026

WhatA user-held digital credential system where verification services issue cryptographic attestations to users' devices, proving identity or background checks without the verifier retaining any personal data.

SignalPeople are furious that third-party verification services act as honeypots — they hand over sensitive personal history for a one-time check, and then the service stores it indefinitely and eventually gets breached, leaking everything.

Why NowThe EU eIDAS 2.0 regulation mandates member states offer digital identity wallets by 2026, and W3C Verifiable Credentials are now a stable standard with growing browser and OS support.

MarketB2B SaaS sold to employers, landlords, studios, and any entity requiring background or identity checks. Competes with Persona, Checkr, Sterling — all of whom centrally store PII. TAM $5B+ in identity verification market.

MoatData network effect in reverse — the less data you store, the more trust you earn, creating a brand moat. Plus, once employers and platforms integrate the SDK, switching costs are high.

I'm reluctant to verify my identity or age for any online services View discussion ↗ · Article ↗ · 974 pts · March 3, 2026

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