The digital era demands more than what traditional identity management systems can provide. These centralized models, while functional, are not equipped to address the evolving needs of security, scalability, and privacy in modern digital ecosystems. Enter “Distributed Identities”: a new concept that reimagines how identities are managed by leveraging principles of network segmentation, zero trust and dynamic user access control.
Introducing Distributed Identities
At its core, distributed identities replace centralized repositories with a more decentralized, security-focused approach. This model is designed to minimize risk by isolating access to sensitive information and ensuring that application systems or users on a network only interact with the data and systems they truly need.
The concept borrows heavily from advanced networking techniques like segmentation. Instead of viewing identity as a single, monolithic construct, distributed identities break it into smaller, manageable zones. These zones are tightly controlled, with access dynamically granted based on context and need. This approach transforms identity management into a more secure, flexible, and adaptable system.
How It Works
Distributed identities rest on three foundational pillars:
- Network Segmentation: Systems are divided into isolated segments, each containing a specific set of resources. Access to these segments is controlled through strict authentication and authorization policies, preventing unnecessary exposure to sensitive systems.
- Dynamic User Access Control: Permissions are not static but are adapted in real-time based on factors like an application’s inter or third-party dependencies, or a user’s role, location, and the device they are using. This ensures that application systems and users will only have access to the bare minimum they need at any given moment.
- Continuous Validation: Access is continuously monitored and revalidated, ensuring that any changes in a user’s or application’s context—such as leaving a secure location or removal of a dependency that’s no longer needed—will lead to automatic access revocation.
Why it matters?
Although not perfect, this new approach addresses many of the shortcomings of traditional identity systems:
- Improved Security: By isolating resources and dynamically managing access, distributed identities significantly reduce the risk of lateral movement and insider threats. Even if one segment is compromised, the impact is contained to that specific zone.
- Greater Flexibility: The dynamic nature of access control means that organizations can adapt permissions as needs change, ensuring a perfect balance between security and functionality.
- Application/User-Centric Control: Applications/Users will only interact with the systems and data they need, reducing overexposure to sensitive information and simplifying compliance with privacy regulations.
The Road Ahead
Distributed identities aren’t just an evolution of current systems—they’re a complete rethinking of how identity management should work in the modern era. Their potential shines brightest in environments like cloud computing, where systems are vast, dynamic, and interconnected. By integrating principles of segmentation and adaptive control, distributed identities are poised to become the backbone of secure digital interactions.
Looking forward, these concepts can seamlessly integrate into broader cybersecurity frameworks like Zero Trust Architecture (ZTA), which emphasizes continuous verification and minimized trust. This synergy could redefine not just identity management, but the overall security posture of digital ecosystems.
About the Author
Sina Ahmadi is a Cloud Platform Lead at ME Bank, one of Australia’s biggest online banks, with deep expertise in designing secure and scalable infrastructure. At ME Bank, he leads critical projects to enhance cloud platform security, including the development of a centralized architecture with advanced inspection capabilities for public traffic. Sina also spearheaded efforts to improve the bank’s overall cloud security, leveraging his experience in AWS and Kubernetes to create a flexible and secure foundation for modern financial services that an online bank like ME provides. These efforts led to Sina receiving ME bank’s “Keep ME Secure” prize in their annual security event.
