A Literature Review on the Digicred:Decentralized Identity and Credential System for D-Apps

The paradigm of digital identity is rapidly shifting from centralized monopolistic control toward decentralized user- centric frameworks to meet the demands of Web3, immer- sive computing and trustless interactions. Traditional identity systems expose users to privacy breaches, vendor lock-in and cross-platform incompatibilities, creating barriers for seamless adoption. To overcome these challenges DIGICRED introduces a decentralized identity and credential system built on Self- Sovereign Identity (SSI) principles leveraging Decentralized Iden- tifiers (DIDs) and blockchain-based cryptographic proofs as the foundation for trust. A verifiable credential layer enables selective disclosure of tamper-proof claims ranging from aca- demic certifications to government-issued IDs preserving privacy while ensuring interoperability. Complementing this a multi- dimensional reputation system fosters trust in anonymous en- vironments, mitigates Sybil attacks and incentivizes meaningful participation across decentralized applications. By integrating privacy-preserving technologies, compliance-aware architectures and scalable trust mechanisms DIGICRED redefines identity management for Web3. This shift marks the emergence of secure portable and user-controlled digital identities laying the groundwork for the future of decentralized applications and cross-platform digital ecosystems.