I can envision an offline, local-first P2P mesh network connecting NFC, Bluetooth, WiFi Direct, and LoRa, with Transport Bonding, built around assertion claims and attestations. Layered interoperability could ensure the user remains in control through distributed capabilities.
It might be a pipe dream, but I’d like to see a protocol of TEE enclaves using distributed Git checksum proofs, combined with Schema Negotiation between servers and clients. This would apply an orthogonal method for verifying trusted remote execution of an oblivious pseudo-random function exchange, one that maps up to a trust registry at the DNS level for maintaining NIP-05 usernames in a way that is distributed and private. Domains are currently subject to renewal issues so managing state changes with NIP-03 on OP_RETURN and an alternative routing mechanism might be an interesting approach. It would need to be managed by open-source developers of course.
These ideas have surfaced across several overlapping communities. After exploring Solid, Linked Data, OpenSocial, ActivityPub, FOAF, and Web5, I believe the simplicity of the Nostr protocol, with its relay model, is a step in the right direction. The openness of the community and the NIPs is a breath of fresh air.
The main question and fuzzy area that you mentioned is how to engage with some kind of presentation exchange with the current centralized system. Could there be interoperability bridges with mdoc/mDL, etc. https://docs.walt.id/community-stack/concepts/digital-credentials/mdoc-mdl-iso
Of course, the Verifiable Credentials community has been attempting it via DIF and other overlapping projects like OpenWallet etc. Do any of these communities have a chance?