Italy's digital ID (SPID) works by having multiple trusted providers that can attest your identity. You can sign up with multiple of them, and if one is not available you could use another one. Not perfect (it's still centralized in the hand of 10-20 providers) but better than nothing. Unfortunately most people only ever signed up with one provider, and the government is now pushing for a more centralized digital ID istead (CieID).

All of these IDs in the EEA are based on a common set of EU requirements, and in theory that means multiple providers, but in practice in many countries the set of providers is small and with feature gaps. E.g. Norway has several providers, but they provide different levels of security and features, which means in practice most people rely on BankID...

10-20 is fantastic in comparison. Even if people don't have more than one it at least reduces the blast radius..