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Federations don't scale (was: Re: Centralization dangers of applying OpenID Connect to wallets protocols)

From: Manu Sporny <msporny@digitalbazaar.com>
Date: Sat, 19 Mar 2022 11:52:01 -0400
To: public-credentials@w3.org
Message-ID: <c22341e7-f95d-fcc9-876d-4df94582d97c@digitalbazaar.com>
On 3/18/22 1:41 PM, David Chadwick wrote:
> No actually. The latest version of OIDC4VPs describes how federations of 
> any size can be supported by VCs using OIDC4VPs. The method supports 
> different types of federations and utilises DIF PE.

The statement you're responding to was about how OIDC4VPs doesn't solve the
NASCAR problem, eliminates holder choice in digital wallets, and puts market
power in the hands of the existing IdPs or RPs (who have no choice but to pick
the large IdPs today).

Issuer federations are an orthogonal subject (with a much easier answer).

What's the solution that OpenID is bringing to the table that allows an open
wallet ecosystem? How are we not walking large enterprises and governments
into vendor lock in when it comes to digital wallets?

CHAPI and DIDCommv2 have always had answers to this question, not always the
most ideal answers, but answers nonetheless... it seems to continue to not be
solved in the OpenID ecosystem.

The closest thing I've heard is "scan a QR code", which is only a partial
solution (what if you just want to stay on the same device?), followed by "and
the wallet will probably need to be a registered OAuth2 client" which walks
right into the centralization trap that OpenID has always walked into.

I'll highlight that the large IdPs don't seem to see it as a trap, clearly,
because the current state of affairs (centralization) is garnering them a lot
of business these days.

How do the start ups compete in this space with OpenID? How are we protecting
innovation and holder choice?

-- manu

Manu Sporny - https://www.linkedin.com/in/manusporny/
Founder/CEO - Digital Bazaar, Inc.
News: Digital Bazaar Announces New Case Studies (2021)
Received on Saturday, 19 March 2022 15:52:17 UTC

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