The Decentralisation Paradox in Digital Identity: Centralising Decentralisation with Digital Wallets?

Fuente: arXiv
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Hauptverfasser: Konstantinidis, Ioannis, Mavridis, Ioannis, Markakis, Evangelos K.
Format: Preprint
Veröffentlicht: 2026
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author Konstantinidis, Ioannis
Mavridis, Ioannis
Markakis, Evangelos K.
author_facet Konstantinidis, Ioannis
Mavridis, Ioannis
Markakis, Evangelos K.
contents Digital identity is shifting from service- and network-centric approaches toward user-centric ones that promise users increased control over their data. Despite their decentralised design, such approaches often reintroduce centralised components in different forms. This research explores this tension, i.e., the decentralisation paradox, and argues that user-centric architectures tend to redistribute rather than eliminate centralisation. Based on Critical Systems Thinking (CST), digital identity is framed as a "wicked problem" that spans across the technical, legal, social and ethical dimensions. The paper argues that understanding all these interdependencies is essential for designing reliable architectures and ensuring the next generation of digital identity goes beyond superficial decentralisation.
format Preprint
id arxiv_https___arxiv_org_abs_2603_16403
institution arXiv
publishDate 2026
record_format arxiv
spellingShingle The Decentralisation Paradox in Digital Identity: Centralising Decentralisation with Digital Wallets?
Konstantinidis, Ioannis
Mavridis, Ioannis
Markakis, Evangelos K.
Cryptography and Security
Digital identity is shifting from service- and network-centric approaches toward user-centric ones that promise users increased control over their data. Despite their decentralised design, such approaches often reintroduce centralised components in different forms. This research explores this tension, i.e., the decentralisation paradox, and argues that user-centric architectures tend to redistribute rather than eliminate centralisation. Based on Critical Systems Thinking (CST), digital identity is framed as a "wicked problem" that spans across the technical, legal, social and ethical dimensions. The paper argues that understanding all these interdependencies is essential for designing reliable architectures and ensuring the next generation of digital identity goes beyond superficial decentralisation.
title The Decentralisation Paradox in Digital Identity: Centralising Decentralisation with Digital Wallets?
topic Cryptography and Security
url https://arxiv.org/abs/2603.16403