The incentives driving decentralized identity adoption hinge on resolving issues of trust, privacy, and interoperability, which remain complex and require substantial coordination across sectors. While decentralized identity may become more prevalent, especially in niches where user autonomy and data sovereignty are paramount, widespread mainstream adoption will depend on regulatory clarity and user experience improvements. Traditional apps, deeply embedded within existing economic and social frameworks, will likely coexist with decentralized alternatives, creating a hybrid ecosystem that balances innovation with stability. The economic impact will be measured not just by technological adoption but by the ability of these systems to reduce transaction costs, enhance security, and foster new business models.