Distributed identity refers to a decentralized approach for establishing and managing identities within a blockchain network. Instead of relying on a central authority to verify identities, users maintain control over their own identity data.This system enables individuals to create digital identities linked to their cryptographic keys, ensuring privacy and security. By using smart contracts, users can selectively share portions of their identities with others while keeping the rest confidential. This is particularly valuable for online transactions and interactions where trust is essential.Distributed identity enhances security because it reduces the risks associated with centralized data breaches. Users retain sovereignty over their data, minimizing the chances of unauthorized access or misuse. Additionally, this approach can facilitate more efficient and transparent verifications, such as age or credit checks, without compromising personal information. Overall, distributed identity empowers users, fosters trust, and promotes a more secure online environment.