Decentralized identity Europe – standards, use cases and 2026 outlook
Decentralized identity Europe – what it means and why adoption is accelerating
Europe is moving quickly toward decentralized identity as the foundation for secure and trusted digital services. Driven by the EUDI Regulation, updates to eIDAS 2.0, and increasing demand for privacy-preserving solutions, decentralized identity is emerging as a cornerstone of how citizens, companies, and public authorities interact online.Why decentralized identity is gaining momentum in Europe
Decentralized identity gives users control over their personal and organizational data. Instead of storing identity attributes in central databases, credentials are issued to the user and verified through cryptographic proofs. This aligns with European values around privacy, proportionality, and data minimization.- The EU’s shift toward user-controlled data under eIDAS 2.0
- Security weaknesses in centralized ID systems and identity silos
- Cross-border digital service expansion
- The need for strong assurance without oversharing personal data
How decentralized identity works in the European ecosystem
Decentralized identity in Europe is built on a set of shared standards and trust frameworks:Verifiable credentials
Identity attributes – from age to professional licenses – are issued directly to the user in a tamper-proof format.Decentralized identifiers (DIDs)
These identifiers allow trusted interactions without revealing unnecessary personal information.Selective disclosure
Users share only what is needed. A service may check age verification without learning a full birthdate.Cryptographic verification
Credentials are verified using signatures, not centralized queries, reducing risk and increasing reliability.The role of the EUDI Regulation and eIDAS 2.0
Europe is standardizing decentralized identity through legislation. The EUDI framework sets rules for wallet issuance, trust services, and credential interoperability. Under eIDAS 2.0, member states must ensure: at least one approved digital identity wallet support for verifiable credentials across borders full alignment with GDPR strong assurances against tampering and identity fraud This regulatory clarity makes Europe the most advanced region globally in large-scale decentralized identity deployment.Use cases accelerating adoption across Europe
Access to public services
Citizens can authenticate without central identity checks.Financial onboarding
Banks can verify identity attributes using cryptographic proofs rather than document uploads.Travel and mobility
Digital travel credentials and driving licenses fit naturally into a decentralized wallet.Workforce identity
Employers can issue verifiable credentials for qualifications and roles.Business identity
Legal entities can authenticate themselves securely across the EU – a stepping stone to the European Business Wallet and trusted B2B transactions.Reusable ID is coming. Here’s how to prepare and lead with privacy.
A forward-looking guide on how reusable digital identities, powered by decentralized infrastructure, can enable trusted transactions across sectors. The report covers key concepts behind eIDAS 2.0, decentralized identity (DID), and how to prepare for the future of consent-based access.
What's inside?
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A shift in digital identity
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What’s driving the change
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What reusable identity enables
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eIDAS 2.0: the moment to move
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Use cases that are already live
and more...
How decentralized identity supports privacy and compliance
Decentralized identity reduces exposure to breaches because: personal data stays with the user verification does not require database queries institutions never store more information than needed This supports GDPR principles such as minimization, purpose limitation, and data sovereignty. It also improves auditability and reduces risks linked to traditional identity systems.Challenges Europe still needs to address
Cross-border differences in implementation Integration complexity for relying parties Recovery processes for lost or compromised wallets Legacy systems that assume centralized identity storage Despite these challenges, the regulatory direction is clear and the benefits substantial.Where Partisia fits into Europe’s decentralized identity ecosystem
Partisia strengthens decentralized identity with privacy-preserving computation, secure credential workflows, and cross-border compliance capabilities.Its technology supports verifiable credential issuance, selective disclosure, and identity verification without exposing sensitive data.
- confidential computation for secure identity verification
- strong cryptography for credential integrity
- scalable support for enterprise and public-sector use cases
- technology aligned with EUDI and future European wallet standards
Summary – decentralized identity is Europe’s next digital infrastructure
Europe is leading the global shift toward decentralized identity. With strong regulation, aligned standards, and clear privacy requirements, the region is building a trusted digital ecosystem where citizens and businesses control their data. For organizations, now is the time to align tech stacks, update workflows, and prepare for widespread adoption of decentralized identity tools and wallets.
