In a system and method for the distribution of identities and reputation on a network, identity and reputation information may be distributed among nodes on a network (e.g. nodes on a peer-to-peer network). Embodiments may allow nodes on the network to evaluate other nodes' reputation using the distributed reputation information. Embodiments may allow nodes to iteratively increase confidence in a determined reputation of a node by determining the reputation of nodes that provide reputation information corresponding to the node. Embodiments may allow nodes to adjust a reputation of other nodes using results of transactions and prior reputations. Determined or adjusted reputation information and/or transaction information may be distributed among the nodes on the network. In one embodiment, transaction information may be divided into segments and the segments may be distributed among the nodes on the network.