BSV:DID Method Specifications

This document outlines a method for the issuance, status updates, key rotation, and revocation of Decentralized Identifiers (DIDs) using a public, UTXO-based blockchain as a data registry. In this approach, DIDs are issued and managed through transactions recorded on the blockchain, leveraging its transparency and immutability. The blockchain allows a UTXO to be spent only once, which provides a double spend protection, resulting in a final spent state that is permanent and verified by the network. This characteristic makes the UTXO model ideal for reflecting the status of a DID, such as revocation, which, is irreversible once executed. DIDs can also be updated by linking a transaction chain to the DID Document, with a new version controlled solely by the DID Controller. Our approach supports both issuer-initiated and user-initiated status updates and revocation requests, ensuring secure and verifiable DID management within a distributed ecosystem. This document describes key rotation methods for DID recovery. We described a proposal to accomplish low latency for DID resolution and a governance mechanism to guide the implementation and deployment of DIDs, emphasizing the critical role of the blockchain in maintaining a reliable and transparent data registry.