Anonymous Credentials are a type of digital identification that allows individuals to prove their identity or access services without revealing personal information. This technology ensures that users can authenticate themselves while maintaining their privacy, making it useful in various online transactions and interactions. These credentials work by using cryptographic techniques to verify a user's identity without disclosing sensitive data. For example, a user can access a service by proving they meet certain criteria, like age or membership, without sharing their name or other identifying details. This approach enhances privacy and security in the digital world.