Unit 11: Implement and Manage Microsoft Entra Verified ID

1. Introduction to Verified ID

Microsoft Entra Verified ID is Microsoft’s decentralized identity solution that allows organizations to issue, present, and verify credentials securely. Instead of relying solely on centralized identity systems, it enables users to own and control their digital identity while still allowing organizations to validate authenticity.

Think of it as the digital equivalent of a driver’s license or diploma, where the holder stores and presents it when needed.

2. Why Verified ID Matters

Traditional identity models depend heavily on a central authority (like Entra ID) to authenticate users. Verified ID shifts this model by allowing verifiable credentials (VCs) that are:

• Issued by trusted authorities.
• Held by users in their own digital wallets.
• Verified by relying parties without needing constant central access.

This enhances privacy, trust, and interoperability.

3. Key Concepts

4. Example in Real Life

• A university (issuer) issues a “Verified Diploma” to a graduate (holder).
• The graduate stores it in their Microsoft Authenticator app.
• When applying for a job, the graduate shares the credential with the employer (verifier).
• The employer validates the signature using Microsoft Entra Verified ID — confirming authenticity without needing to contact the university.

5. Requirements for Deployment

To deploy Verified ID, you need:

• An Azure tenant with a valid subscription.
• A Microsoft Entra ID Premium license.
• Global Administrator rights.
• A configured Azure Key Vault (for secure key storage).

6. Deployment Steps

• Search for Verifiable Credentials in the Azure portal.
• Select Verifiable Credentials (Preview).
• Choose Getting Started → Configure your organization.
• Provide:
• Organization Name – internal reference.
• Domain – used to verify the DID link to your brand.
• Key Vault – used for cryptographic signing.
• Select Save and Create Credential.
• Customize schemas for your credential type (e.g., Employee ID, Training Certificate).

Once configured, Entra Verified ID integrates with your apps to issue or verify credentials.

7. Security and Privacy Benefits

• User Control: The user decides when and with whom to share credentials.
• Privacy by Design: No central repository of personal data.
• Tamper Proof: Digital signatures prevent credential forgery.
• Interoperability: Supports open standards like W3C Verifiable Credentials and DIDs.

8. Real-World Example

Scenario: Contoso HR uses Entra Verified ID to issue “Employee ID” credentials. Contractors and employees can use these credentials to access Contoso’s partner portals. Partners validate the credential through Entra Verified ID APIs — confirming identity without exposing internal HR systems.

9. Exam Tip

• Verified ID is decentralized — users hold their own identity data.
• Requires Key Vault, Premium license, and Entra tenant.
• Integrates with Microsoft Authenticator for credential storage.
• Supports issuance and verification APIs for integration with third-party apps.

Summary

Microsoft Entra Verified ID represents the future of secure, privacy-respecting digital identity. It decentralizes trust while keeping verification cryptographically strong and verifiable.