Global Decentralized Identity Market Report and Forecast 2024-2032

Global Decentralized Identity Market Outlook

The global decentralized identity market size attained approximately USD 548.39 million in 2023. The market is estimated to grow at a CAGR of 89.10% in the forecast period of 2024-2032, reaching a value of around USD 169556.03 million by 2032.

Key Trends in the Market

Decentralized identity, also referred to as self-sovereign identity, is a model or an approach to identify and authenticate users and entities without a central authority. It provides individuals control over their own identity data and enhances security and privacy.

• The growing trend  of digitalisation in various sectors such as BFSI, e-commerce, healthcare, manufacturing, and retail, among others,  is one of the crucial decentralized identity market trends. Digitalisation can elevate the risk of cyberattacks and identity threats, fuelling the demand for decentralized identity systems.

• A rise in the implementation of blockchain technology in decentralized identity systems of banks and other financial institutes for safeguarding the user data and allowing user control over data sharing also promotes the decentralized identity market growth.

• A surge in the integration of biometrics with decentralized identity systems to improve security and provide a verifiable credential that can be used across multiple platforms positively influences the market expansion.

• Strategic collaborations and agreements between providers and enterprises to reduce the risk of identity fraud and enhance overall security also promote the decentralized identity market demand.

Global Market Analysis

Based on identity type, the market is bifurcated into biometric and non-biometric. On the basis of enterprise size, the market is classified into large enterprises and small and medium enterprises. Based on application, the market is divided into individual and enterprises.

The decentralized identity market segmentation, on the basis of end use, includes BFSI, government, healthcare, media and entertainment, manufacturing, retail and e-commerce, and IT and telecom, among others. The major regional markets for decentralized identity are North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa.

The comprehensive EMR report provides an in-depth assessment of the market based on the Porter's five forces model along with giving a SWOT analysis. The report gives a detailed analysis of the following key players in the global decentralized identity market, covering their competitive landscape and latest developments like mergers, acquisitions, investments, and expansion plans.

• Microsoft Corporation 

• Wipro Limited  

• Civic Technologies, Inc.  

• Validated ID, SL  

• Dragonchain

• Nuggets Ltd.  

• Ping Identity Corp.  

• Finema Co., Ltd.  

• Datarella GmbH  

• NuID, Inc.  

• Others

Market Share by End Use

The BFSI sector occupies a significant portion of the global decentralized identity market share owing to the increased usage of decentralized identity by banks and financial institutions for new customer identity verification through KYC. It also supports customers by providing secure authentication during online transactions to mitigate the risks of security breaches.

Moreover, banks are also offering digital credit cards that follow the protocol of decentralized identity to strengthen their security. Additionally, decentralized identity offers users control over the amount of personal data they are willing to share with financial institutes.

Market Share by Region

As per the decentralized identity market analysis, North America accounts for a substantial share of the global market due to rising cases of identity thefts, which boosts the adoption of decentralized identity systems in the public and private sectors. Increased investment by federal governments to strengthen the security solution by implementing decentralized identity and related technologies also bolsters the market growth.

Additionally, the surging launch of new decentralized identity solutions that can improve user privacy also provides a positive outlook to the market in the region.

Competitive Landscape

Microsoft Corporation is a multinational technology company, established in 1975 and based in Washington, the United States. The company, best known for its operating system and Microsoft Office suite, also provides other software, personal computers, and consumer electronics.

Wipro Limited, founded in 1945, is an Indian multinational company, which has its headquarters in Bengaluru, Karnataka. The company provides services like cloud computing, artificial intelligence, computer security, robotics, and digital transformation, among others.

Civic Technologies, Inc., founded in 2015 with its headquarters in California, the United States, provides identity management tools. These tools provide security for user and business identity and offer them control over the data they share.

Other decentralized identity market players include Validated ID, SL, Dragonchain, Nuggets Ltd., Ping Identity Corp., Finema Co., Ltd., Datarella GmbH, and NuID, Inc., among others.

Key Highlights of the Report