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Digital self-sovereignty is the new “build” as legacy systems get swapped out in a sometimes violent, always exponential fashion. To be clear, we are positioning digital self-sovereignty as a solution to our current problem set that will “still stand” even if this current geopolitical, exponential technology-driven inflection point manifests – for a prolonged period – as dark age-esque global societal systemic failure (per The Ministry of the Future). Ironically, this same uncertainty, chaos, and violence are the primary drivers (and new incentive structure) behind this new system’s development. In this post, we “set levels” and offer working definitions for our forthcoming Q324 (going right into OODAcon 2024) series of posts as part of our Digital Self-Sovereignty Research Initiative.
Contents of this Post:
A transformative reorientation of the individual in relationship to society, the nation-state – and, for some, daily survival – is a clear and evolving and, in the end, definitive “Action” in the global collective “OODA Loop” response of the human species to many of the parallel challenges of the global polycrisis.
A broad, sociological, behavioral psychology, market-driven, organizational psychology, and technological response, the development of new systems and platforms will net a new, global ecosystem: varied, tactical, and strategic, with fits and starts, failure and success. It remains to be seen where global interoperability lies on this strategic development spectrum.
For now: from the involuntary displacement of climate refugees to women’s reproductive health issues, the disintermediation of warfare, the disintermediation of the nation-state, and various challenges to the traditional fiat currency system – the individual’s personal ownership of and portability of their global data identity and storage footprint is the web3/blockchain platform solution of the future.
The concepts of digital self sovereignty, self-sovereign identity (SSI), and related technologies – such as Decentralized Identifiers (DIDs), Verifiable Credentials, DID Communication, SSI Wallets, Autonomous Digital Relationships, Personal Data Ownership, and Personal Data Portability – are pivotal in the evolving landscape of digital identity and privacy. Let’s delve into each of these areas we will be exploring over the course of a series of posts in the weeks ahead:
This refers to the principle that individuals should have ownership and control over their personal data without reliance on external entities. It’s about empowering users to manage their digital identity and data autonomously
SSI is an approach to digital identity that gives individuals control over storing, managing, and sharing their personal information. It is decentralized and does not depend on any centralized authority for validation or control.
This concept refers to the ability of digital identities to interact and transact independently in a secure and trusted manner without the need for intermediaries.
A concept that is gaining traction in the digital identity space, are intimately connected to the principles of digital self-sovereignty and self-sovereign identity (SSI). These programs represent a forward-thinking approach to how we manage and interact with digital identities, offering a structured yet flexible framework that aligns with the autonomy and control promoted by SSI. At its core, a Digital Residency Program can be seen as a formalized system where individuals or entities are granted certain rights and privileges within a digital ecosystem, akin to how physical residency works within national borders. This concept extends the idea of self-sovereign identity by not only allowing individuals to control their personal data but also by providing them a recognized status in digital spaces that can come with specific rights, responsibilities, and benefits.
For example, consider a scenario where a Digital Residency Program in a smart city allows residents to access municipal services through a decentralized digital identity. This identity would be managed by the residents themselves through SSI principles, using technologies like DIDs and Verifiable Credentials. Residents could interact with various city services—like public transport, healthcare, and voting—seamlessly and securely, without the need for intermediaries. This setup enhances privacy and efficiency and reduces the risks associated with centralized data management.
Moreover, these programs can foster innovation in how services are delivered. By leveraging the autonomy provided by SSI, Digital Residency Programs can facilitate unique, user-centric service models that traditional residency systems constrained by geographical and bureaucratic boundaries cannot. This could lead to more personalized and accessible services, tailored to the needs and preferences of each resident.
However, the implementation of such programs is not without challenges. It requires robust technological infrastructure, clear regulatory frameworks, and a shift in how we perceive and value digital identities and residency. The success of these programs would largely depend on the interoperability of the technologies used, as well as the trust and participation of the residents.
In your context, integrating Digital Residency Programs with the concepts of digital self-sovereignty and self-sovereign identity could significantly impact how you design and manage digital interactions and services. It could provide a more structured yet flexible framework for user engagement and data management, aligning with broader trends towards decentralization and user control over personal data.
This is the principle that individuals own their personal data and should have the freedom to choose how it is used. It challenges the traditional models where organizations hold significant control over user data.
The challenges faced by Personal Data Ownership in the context of evolving digital identity frameworks, such as self-sovereign identity (SSI) and Digital Residency Programs, are multifaceted and deeply intertwined with ethical, legal, and technological considerations.
One of the primary challenges is the ethical implications of data commodification. As we move towards models where individuals have more control over their data, there’s a risk that personal data could be treated as a mere commodity. This shift could lead to scenarios where individuals feel compelled to trade personal data for services, potentially eroding the intrinsic value of privacy and personal autonomy. The notion that “you have to fight for your privacy or you will lose it,” as articulated by Eric Schmidt, underscores the proactive stance individuals must take in this evolving landscape.
Legally, establishing personal data ownership raises significant challenges in harmonizing laws across different jurisdictions. Data protection regulations like the GDPR have set precedents in terms of individual rights to data access and control, but global consistency remains elusive. This lack of uniformity can lead to legal ambiguities and conflicts, particularly as digital residency and SSI blur traditional geographic and jurisdictional boundaries.
Technologically, ensuring the security and integrity of personal data in an era of increased ownership is paramount. As data becomes more decentralized, the potential for breaches and unauthorized access escalates. The technical infrastructure required to support robust, secure personal data management systems is complex and costly, posing significant challenges, particularly for smaller entities or developing nations.
Moreover, the risk of creating new forms of digital divide is non-trivial. As personal data ownership becomes a cornerstone of digital interaction, those without the means or knowledge to manage their data effectively could be marginalized. This scenario raises concerns about social and economic inequality, as the benefits of digital services might accrue primarily to those who are already digitally literate and economically advantaged.
Addressing these challenges requires a concerted effort from technology developers, policymakers, and civil society to ensure that personal data ownership empowers individuals without compromising their privacy or security. It also necessitates innovative approaches to education and public awareness to ensure that all segments of society can navigate this new landscape effectively.
This involves the ability of individuals to retrieve their data from one service provider and transfer it to another. It is crucial for promoting competition and innovation in the digital economy.
Personal Data Portability, a concept closely tied to the broader principles of digital self-sovereignty and self-sovereign identity, is fundamentally about empowering individuals to take control of their personal data across different platforms and services. This right enables users to retrieve their data from one service provider and transfer it to another, facilitating a more competitive and dynamic digital ecosystem.
Under the General Data Protection Regulation (GDPR), the right to data portability allows individuals to receive their personal data in a structured, commonly used, and machine-readable format. It also includes the right to transmit this data to another controller without hindrance from the current data controller, provided the processing is based on consent or a contract and carried out by automated means.
This right is crucial for fostering innovation and competition, as it prevents lock-in effects where users stay with a service provider not because of satisfaction but due to the high costs—both in terms of time and effort—associated with transferring personal data to a competitor. For instance, consider a scenario where a user wishes to switch from one social media platform to another. The right to data portability would allow this user to easily transfer their profile information, photos, and friend lists to the new platform, thereby reducing barriers to switch and encouraging a more fluid online environment.
However, the implementation of this right is not without challenges. Technical feasibility is a significant hurdle, as data formats and standards may vary widely between services. The GDPR addresses this by urging controllers to develop technical tools and collaborate on interoperable standards to facilitate data portability.
Moreover, the ethical dimensions of data portability involve ensuring that the transfer of personal data does not lead to unintended privacy breaches. Maintaining its security and integrity is paramount as data moves across different platforms. This requires robust encryption methods and secure protocols for data transfer, ensuring that personal data remains protected throughout the process.
In your context, considering the portability of personal data is essential for maintaining a competitive edge and aligning with regulatory expectations. It also resonates with consumer expectations for transparency and control over their personal data. How do you currently manage the portability of your personal data across different platforms and services?
Decentralized Identifiers (DIDs): DIDs are a new type of identifier that enables verifiable, self-sovereign digital identities. DIDs are fully under the control of the DID subject, independent from any centralized registry, identity provider, or certificate authority.
Verifiable Credentials: These are digital claims that are tamper-evident and can be cryptographically verified. Verifiable Credentials can be used to prove the ownership of an identity or other personal attributes without revealing any additional information than what is necessary.
DID Communication: This involves the methods and protocols used for secure communication between decentralized identities. It ensures that the data exchanged between DIDs remains private and secure.
SSI Wallets: These digital wallets store DIDs and Verifiable Credentials. They help users manage their identities and personal data across different platforms and services securely and conveniently.
The research literature on these topics is vast and growing as these technologies develop. Key sources include academic journals focused on cybersecurity and privacy, industry reports on digital identity, and white papers from leading technology firms pioneering these innovations. For instance, the World Wide Web Consortium (W3C) provides extensive documentation on DIDs and Verifiable Credentials, which are foundational to understanding and implementing SSI. Moreover, projects like Hyperledger Indy, Sovrin, and uPort are at the forefront of developing practical applications and infrastructure for SSI and related technologies. These platforms offer rich resources for both theoretical and applied research in the field. We will be curating and framing this research with more of our usual applied research ethos – moving dramatically away from the theoretical – with an eye towards implementation and operational concerns and their implications for the global poly-crisis and potential geopolitical futures. This build is now.
“Out on the edge you see all kinds of things you can’t see from the center. Big, undreamed-of things—the people on the edge see them first.” – Kurt Vonnegut
The year 2024 will require a reorientation to new realities, largely driven by the acceleration of disruptive technologies grinding against the inertia of stale institutions that would rather we snack on the comfort food of the past than the buffet of the future. In past Almanacs we’ve talked about the rapid acceleration of technology and the power of exponentials and 2024 forward will mark the move from theoretical disruption to practical disruption. Those technologies we could not comprehend utilizing over the past five years will feel commonplace after the next five years.
Each year, the OODA Almanac is the edgiest piece we publish as we take the opportunity to not only provoke your thinking with disruptive ideas but also seek to peer out over the edge into the unknown. We hope the concepts discussed here help you reorient around what’s next, but also around what is possible.
Exploring future global frameworks, platforms, and scenarios for concepts like digital self-sovereignty, self-sovereign identity (SSI), and Digital Residency Programs requires a deep dive into the evolving dynamics of digital identity, privacy, and governance. These concepts are not just technological innovations; they represent a fundamental shift in how we perceive and manage identity in a hyper-connected world.
1. Global Frameworks for Digital Self-Sovereignty and SSI: We are likely to see the development of more robust global legal and regulatory frameworks that support the principles of digital self-sovereignty and SSI. These frameworks must balance individual rights with security and societal needs, creating a standardized approach that can be adopted internationally. The European Union’s General Data Protection Regulation (GDPR) has already set a precedent for how personal data should be handled, and similar regulations could be developed to specifically address the nuances of SSI and digital self-sovereignty.
2. Platforms for Decentralized Identity Management: Technological platforms that facilitate the management and verification of decentralized identities will become more sophisticated. Blockchain technology is currently at the forefront of this movement, providing a way to create immutable, secure records of identity and transactions. Future platforms may leverage advancements in quantum computing and AI to enhance the security and efficiency of these systems. Companies like IBM and Microsoft are already investing in blockchain services that could be adapted to support SSI systems on a large scale.
3. Scenarios Involving Digital Residency Programs: Digital Residency Programs could redefine how services are accessed in smart cities and digital nations. Estonia’s e-Residency program is a pioneering example, offering a government-issued digital identity that allows global citizens to start and manage businesses online under Estonian regulations. Looking ahead, we might see similar programs adopted by other nations, each offering different sets of rights, privileges, and services based on digital residency. These programs could lead to a new form of digital nationhood, where one’s rights and services are not solely tied to physical location but to chosen digital jurisdictions.
4. Interoperability and Standardization Challenges: As these technologies and frameworks develop, a major challenge will be ensuring interoperability between different systems and platforms. The success of global SSI frameworks will depend heavily on the ability to seamlessly verify identities and credentials across borders and platforms. Initiatives like the Decentralized Identity Foundation (DIF) and the World Wide Web Consortium (W3C) are working towards creating standards that ensure technologies like DIDs and Verifiable Credentials work universally.
5. Ethical and Social Implications: As we advance these technologies, ethical considerations must be at the forefront of development and implementation. The ability to control and monetize one’s data could lead to new economic models and opportunities, raising questions about inequality and access. Ensuring that these technologies are accessible and beneficial to all segments of society will be crucial.
Incorporating these concepts into your current projects or initiatives could position you at the cutting edge of digital identity and governance. It offers the opportunity to pioneer new business models and service delivery methods that are aligned with future trends in technology and regulation. How do you envision incorporating future global frameworks and platforms related to digital residency programs and self-sovereign identity into your current projects or initiatives?
The future of the nation-state in relation to concepts like digital self-sovereignty, self-sovereign identity (SSI), and Digital Residency Programs is a complex and multifaceted issue that intersects with technology, governance, and individual rights. As we navigate this evolving landscape, the role of the nation-state is both challenged and potentially redefined by these digital identity paradigms.
Firstly, digital self-sovereignty and SSI challenge the traditional role of the nation-state as the primary arbiter of identity and status. By empowering individuals to control their own identity data, these concepts reduce dependence on government-issued documents and the associated bureaucratic processes. This shift could lead to a more fluid and flexible notion of citizenship and residency, where individuals can engage with governments and businesses on their own terms, potentially across multiple jurisdictions.
Digital Residency Programs further complicate this picture by decoupling legal residency from a physical location. For example, Estonia’s e-Residency program allows global citizens to operate businesses under Estonian law, regardless of where they physically reside. Other nations could adopt this model, creating a competitive environment where countries offer digital residency as a service, attracting global entrepreneurs and digital nomads. This scenario suggests a future where nation-states may compete in a global marketplace for residents based on the services and legal advantages they can offer in the digital realm.
However, integrating these concepts into the fabric of national governance also presents significant challenges. Ensuring the security and integrity of digital identities is paramount, as is protecting the rights and privacy of individuals. Nation-states must develop new legal frameworks and collaborate internationally to address these challenges. The interoperability of different SSI systems across borders will be crucial to prevent fragmentation and ensure that digital identities are universally recognized and respected.
Moreover, the rise of digital self-sovereignty and SSI could influence global governance by shifting some aspects of regulatory power from nation-states to decentralized networks and technologies. This could lead to new forms of international cooperation and conflict as states adjust to a world where individual identity and data mobility transcend traditional borders.
In this context, the evolving role of nation-states could be seen as both a facilitator and a regulator of digital identity ecosystems. They might play a key role in establishing the trust frameworks necessary for these systems to function effectively while also ensuring that they do not infringe on individual freedoms or lead to new forms of inequality. The impact of these developments on global governance and citizenship paradigms is profound. As we continue to explore and implement these concepts, the dialogue between technology innovators, policymakers, and the public will be crucial in shaping a future that balances innovation with the rights and responsibilities of all stakeholders involved.
Global interoperability is poised to play a pivotal role in shaping the future scenarios of digital self sovereignty, self-sovereign identity (SSI), and Digital Residency Programs. The essence of these concepts hinges on the seamless and secure management of digital identities across diverse systems and international borders.
Interoperability, in this context, refers to the ability of different digital and technological systems to communicate, exchange data, and use the information that has been exchanged efficiently and effectively. For digital identities, this means that an identity verified in one country or system should be recognized and accepted in another without the need for redundant verifications or the risk of data inconsistencies.
The impact of global interoperability on these concepts can be dissected into several key areas:
1. Enhanced User Experience: Interoperability ensures a smoother, more intuitive user experience by reducing the friction involved in managing digital identities across different platforms and jurisdictions. This user-centric approach is crucial for the widespread adoption of SSI and Digital Residency Programs, as it directly affects the ease with which individuals can control their personal data and interact with digital services globally.
2. Increased Trust and Security: By fostering standards and protocols that enable interoperability, we can enhance the security and reliability of digital identities. This is vital in preventing identity theft, fraud, and other cyber threats. A globally interoperable framework supports the creation of a trusted digital environment where transactions and interactions are secured and validated across borders.
3. Economic and Social Inclusion: Interoperability facilitates greater economic and social inclusion by allowing people from different regions and backgrounds to participate in the global digital economy. For instance, a small business owner in a developing country can access international markets and services that were previously unreachable, thanks to the recognition of their digital identity and credentials globally.
4. Regulatory Compliance and Standardization: As digital identity systems become more prevalent, the role of global interoperability in meeting regulatory compliance cannot be overstated. It ensures that digital identity solutions adhere to international laws and standards, thus avoiding legal and operational risks associated with non-compliance.
5. Innovation and Collaboration: Finally, interoperability encourages innovation and collaboration by enabling different systems to work together. This can lead to the development of new services and solutions that leverage the strengths of various digital identity technologies, driving forward the digital economy.
The challenges to achieving global interoperability include technical diversity, political and economic interests, and varying legal frameworks. However, initiatives like the work of the Decentralized Identity Foundation (DIF) and the World Wide Web Consortium (W3C) are crucial in addressing these challenges by developing standards that ensure technologies like DIDs and Verifiable Credentials work universally 1 2 .
In conclusion, global interoperability is not just a technical requirement but a strategic enabler that will define the success and utility of digital self-sovereignty, SSI, and Digital Residency Programs in the future. It will impact the adoption and effectiveness of these systems on a global scale, shaping how we perceive and interact with digital identities in the coming years.
For our News Briefs and Original Analysis research efforts to date on this topic, go to OODA Loop | Digital Self-Sovereignty
Related topics include: OODA Loop | Blockchain OODA Loop | Trust OODA Loop | Zero Trust OODA Loop | Trustworthy AI
Digital Self-Sovereignty: Securing and Developing a National Strategy for Web3: Last year, OODA CTO Bob Gourley spoke with MITRE Futurist Charles Clancy on our Quantum Enabled Future. During that conversation, Clancy also shared some MITRE research efforts on Web3 and the Future of the Internet, which dovetailed into our Digital Self-sovereignty thematic research efforts. Following is another valuable contribution from the MITRE reseach team germaine to the theme.
The Future of the Internet, Trust and Web3: Data and Digital Sovereignty Versus Digital Self-Sovereignty: Charles Clancy, Chief Futurist at MITRE, and his co-authors of a recent report – “Democratizing Technology: Web3 and the Future of the Internet” – provide the best framing of a “robust and decentralized, democratized alternative to the existing technology stack” and “the establishment and advancement of alternative technological paradigms to protect the public interest by making authoritarian misuse difficult or impossible.”
Blockchain-enabled Digital Self-Sovereignty – Patients will be Able to Sell Healthcare Data via Blockchain-based Exchange: We recently took a look at a plan to build a SaaS-based marketplace where patient information is structured for sale to researchers by way of a blockchain exchange. Our reporting and analysis are based on an initial report by Lucas Mearian over at Computerworld, as well as direct announcements and project details from the companies that have partnered on the project.
Maintaining Societal Trust During Technological Disruption: How do we maintain societal trust as individuals migrate from platform to platform, identities get impersonated, and technologies like ChatGPT and Midjourney produce conversations and images indistinguishable from the truth through malicious prompts or hallucinations? This topic was examined at length OODAcon 2023, exploring the trust threats and emerging trust wars and looking to identify solutions that help alleviate these risks. The following captures insights from a discussion between Heather McMahon, UMD Applied Research Lab for Intelligence and Security and SJ Terp, Cognitive Security Expert. For the program description for this session, see OODAcon 2023 – Zero Trust Societies and Disruptive Technologies.
Building Trust Into Blockchain: What is the future of blockchain innovation? And how might blockchain technologies enable new models for business and governance? The topic of building trust back into the blockchain was examined at length at OODAcon 2023. The following captures insights from a discussion between Angela Dalton, CEO and Founder, Signum Growth; David Ackerman, CCO MobileCoin; and Mohsan Farid, Co-Founder, LedgerOps. For the program description for this session, see Building Trust Back into Blockchain.
Blockchain Security: National Security, Cybersecurity, and Health Security: The OODA Loop Blockchain Series includes case studies of blockchain security initiatives and cybersecurity incidents. We tracked down the best-in-class research efforts and subject matter experts to explore how they are “framing and naming” the formative issues around blockchain security, including the national security, cybersecurity, and health security promise and peril.
Innovative Blockchain Technology Case Studies (by Industry Sector): Over the course of 2022 and 2023, The OODA Loop Blockchain Series has explored blockchain disruption in the market and new opportunities created by blockchain technologies in both the public and private sectors. Innovative blockchain technology efforts (by industry sector) – with a focus on how the blockchain enables new business models, opportunities for innovative value proposition design, and decentralized governance – are listed here. Industry sectors include: The Financial Sector and Monetary System; The Technology Sector (Semiconductor Subsector); The Automotive Sector and the Future of Mobility; and The Bioeconomy, Biotechnology, and Healthcare.
On Trust and Zero Trust: New Paradigms of Trust, Designing Trust into Systems, and Trustworthy AI: The future of trust is a broad research theme at OODA Loop, overlapping with topics like the future of money (ie. the creation of new value exchange mechanisms, value creation and value storage systems – and the role trust will play in the design of these new monetary systems). Likewise, notions of trust (or lack thereof) will impact the future of Generative AI, AI governance (i.e. Trustworthy AI) and the future of autonomous systems and exponential technologies generally. This post is a compilation of OODA Loop Original Analysis and OODAcast conversations concerned with trust, zero trust and trustworthy AI.
Embracing Corporate Intelligence and Scenario Planning in an Uncertain Age: Businesses also confront unpredictable external threats besides traditional competitive challenges. This environment amplifies the significance of Scenario Planning. It enables leaders to envision varied futures, thereby identifying potential risks and opportunities. Regardless of size, all organizations should allocate time to refine their understanding of the current risk landscape and adapt their strategies. See: Scenario Planning
Bitcoin’s Momentum: Bitcoin seems unstoppable due to solid mathematical foundations and widespread societal acceptance. Other cryptocurrencies like Ethereum also gain prominence. The Metaverse’s rise is closely tied to Ethereum’s universal trust layer. See: Guide to Crypto Revolution
Geopolitical-Cyber Risk Nexus: The interconnectivity brought by the Internet has made regional issues affect global cyberspace. Now, every significant event has cyber implications, making it imperative for leaders to recognize and act upon the symbiosis between geopolitical and cyber risks. See The Cyber Threat
Track Technology Driven Disruption: Businesses should examine technological drivers and future customer demands. A multi-disciplinary knowledge of tech domains is essential for effective foresight. See: Disruptive and Exponential Technologies.
Networked Extremism: The digital era enables extremists worldwide to collaborate, share strategies, and self-radicalize. Meanwhile, advanced technologies empower criminals, making corruption and crime interwoven challenges for global societies. See: Converging Insurgency, Crime and Corruption
About the Author
Daniel Pereira is research director at OODA. He is a foresight strategist, creative technologist, and an information communication technology (ICT) and digital media researcher with 20+ years of experience directing public/private partnerships and strategic innovation initiatives.
Informing your decisions with actionable intelligence
Informing your decisions with actionable intelligence