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The transition to a circular textile economy requires new forms of collaboration and, above all, reliable data along complex global value chains. Digital product passports are considered a central political instrument to improve transparency, traceability and recyclability of textiles. Based on empirical insights from European textile recycling, the strategy paper "Digital product passports: The golden thread through textile recycling?" by Pesco-Up ex-amines the potential that digital product and material passports can actually unleash, where their limits lie and what prerequisites must be met for them to become an effective enabler of data-based circularity.