Zero Trust Security : Enabler of the Decentralised IAM
In this digital landscape, individuals and organisations' biggest concern is identity verification and data privacy. To give IT teams tighter control over security and data, Identity and Access Management is here, but the technology is not fully bulletproof.
To solve this problem, decentralised identity management is used. It is a transformative approach that gives users control over their information and data, offering a secure platform. In this blog, we will discuss decentralised identity in detail and how zero-trust security helps with decentralised identity management.
What is Decentralised Identity Management?
In decentralised identity management, access is divided across multiple environments. In simple words, users need to use different credentials for the applications they access. This helps fill the gaps in digital identity concerns without relying on centralised authorities.
Unlike traditional identity systems, decentralised identity utilises modern technologies such as digital ID wallets, verifiable credentials and blockchain to create secure and protective digital interactions.
Need for Decentralised Identity
Data Breaches
Organisations and businesses collect the personal information or data of their customers for authentication purposes. This data is stored in centralised locations, which enhances the risk of data breaches by crafty and sophisticated cyberattacker techniques.
Fragmented Online Experience
Another common issue businesses face with identity and access management is a fragmented online experience. Users are often required to authenticate separately across various digital platforms, including websites, mobile apps and third-party portals.
This lack of integration not only creates a frustrating user experience but also leads to inefficiencies in managing identities and enforcing security policies.
Increase Regulatory Pressure
With the increasing prevalence of identity theft and data loss, stringent data protection laws are essential for businesses.
Compliance with regulations such as the General Data Protection Regulation (GDPR) and other regional data protection laws is no longer optional; it is a legal obligation.
Key Components of Decentralised Identity
Decentralised identity allows individuals to manage and verify their digital identities. Here are some of the key components of the decentralised identity.
Verifiable Credentials
One of the key components of decentralised identity is verifiable credentials, which are cryptographically secured. It means the identity information can not be corrupted or modified.
Trusted organisations, such as businesses and financial institutions, issue these credentials. The information contained in the verifiable credentials allows organisations to verify the user identity with confidence.
Decentralised Digital ID wallets
Another crucial component of decentralised identity is digital ID wallets. The purpose of a wallet is to manage and store verifiable credentials. This offers users control over their identity information.
These wallets can be mobile-based, allowing users to manage their credentials in the cloud. It offers organisations flexibility depending on their business needs.
With digital wallets, users can securely store their information and access it across various platforms. This helps in smoothing the verification process while maintaining security and privacy.
Decentralised Identifiers
Decentralised identifiers are another crucial component of decentralised identity, allowing users to create and control their identifiers without relying on a central authority. These identifiers are generally stored on a blockchain, which ensures security.
In DIDs, personal information is not contained, but they point to the decentralised document, which refers to the DID user and provides the means to authenticate it.
How Does Decentralised Identity Work?
Like any identity and access management system, decentralised identity working is straightforward. Here is a step-by-step guide to how a decentralised identity system works.
1. Receive Credentials
In a decentralised identity system, users receive digital credentials from trusted issuers, such as governments, universities, or employers. Those credentials include information about oneself, qualifications, or evidence to support an identity claim.
2. Store Credentials
Once issued, the credentials are stored in a secure digital wallet that is entirely controlled by the user. Unlike traditional systems, the data is not kept in a centralised database, reducing the risk of mass data breaches.
3. Verify the Credentials
When a user needs to access a service or prove their identity, they can present the necessary credentials to a verifier, such as a business or service provider. Only the required information is shared, protecting the user's privacy.
4. Verification Process
The verifier checks the credentials against a blockchain or distributed ledger, which contains public keys or cryptographic proofs from the original issuer. This ensures that the credentials are valid and have not been tampered with.
5. Access Services
If the validation is successful, the credentials are considered genuine and are believed to belong to the correct person. This makes it easier for users to receive services securely without revealing too much about themselves or having to go through a central party.
Common Benefits of Decentralised Identity
A decentralised identity has reshaped how data is stored, offering various advantages to organisations, users and developers. Here are some of the common advantages of decentralised identity.
Enhanced Privacy
One of the advantages of using a decentralised identity is enhanced privacy. Unlike traditional systems where user data is stored and controlled by centralised authorities, decentralised identity allows users to share only the necessary information with service providers.
Reduced Liability
Organisations no longer need to store or manage large volumes of personal data, significantly lowering the risk of data breaches and the associated legal and financial consequences.
Since the user retains ownership of their credentials, businesses are less liable for the storage, protection and potential loss of sensitive information.
Greater Control
Users have full control over their digital identities. They can choose who to share their data with and what information to disclose, and can revoke access at any time.
This shift from an organisation-controlled identity to a user-controlled identity empowers individuals and increases trust in digital interactions.
Simplified Compliance
Decentralised identity makes it easier for organisations to comply with data protection regulations such as GDPR and CCPA.
By minimising data collection and enabling user consent and control, businesses align more naturally with privacy-by-design principles. This reduces the burden of compliance and audit requirements.
Future of Decentralised Identity: Zero Trust Security
Rooted in the principle of “never trust, always verify,” zero-trust abolishes the inherent trust that is assumed within an organisation’s network architecture. Zero-trust Security reduces risk by leveraging network subdivision, validating device compliance before granting access, preventing lateral movement, establishing strong verification and ensuring privileged access to authorised sources only.
With the increasing number of IoT-connected devices, the risk of hacking also rises. The key to reducing business risk is to ensure that hackers do not have access to attack vectors.
To do that, organisations need to adopt a trust-based security framework for authorising and verifying entry.
Conclusion
Decentralised identity is a game-changer in today’s world, where identity is controlled, fragile and fragmented. This has resulted in data breaches and a poor user experience.
To achieve full security control, a decentralised identity is the solution. It empowers businesses to control their data and allows for an interoperable and secure system.
While decentralised identity offers significant improvements in privacy, control and compliance, the future of decentralised Identity and Access Management (IAM) is closely aligned with zero-trust security.
When it comes to zero-trust and Identity and Access Management (IAM), InstaSafe offers security solutions such as Zero Trust Application Access and more. Book your free demo to learn more about the services.
Frequently Asked Questions
Can Zero-Trust and IAM work together?
Yes, zero-trust and IAM can work together seamlessly. IAM provides the foundation for verifying user identities and managing access, while Zero-Trust builds on it by enforcing continuous authentication, least-privilege access and strict verification.
What is the difference between centralised and decentralised IAM?
Centralised IAM stores and manages user identities through a central authority, giving organisations control but creating a single point of failure. In contrast, decentralised IAM allows users to control their own identities using digital wallets, thereby enhancing privacy and reducing security risks.
Is decentralised identity safe?
Yes, decentralised identity is considered safe when implemented correctly. It enhances security by eliminating centralised data storage, reducing the risk of mass data breaches and using blockchain technology and cryptographic proofs to ensure data integrity and authenticity.
Key Products
Zero Trust Application Access | Zero Trust Network Access | Multi Factor Authentication | IAM Identity And Access Management | Secure Enterprise Browser
Key Features
SSO Single Sign On | Endpoint Security | Contextual Based Access Controls | Always On VPN Connection |Clientless VPN | Device Binding | Device Posture Check | Domain Joining
Key Solutions
VPN Alternative Technology | Secure Remote Access Solutions | Cloud Application Security | DevOps Security | VoIP Security Solutions