Measuring the Value of Digital Credentials: The Shared Benefits of Microcredentialing (via The EvoLLLution)

"With their increased granularity, transparency and portability, digital credentials are quickly supplanting the paper certificate as a means of non-degree skills verification in leading-edge continuing and professional education units. They enable a greater understanding of academic accomplishment and provide academic leaders with a means of unbundling degree requirements; however, as Jonathan Lehrich notes, their use on a broader institutional level is slow in the making."—Source: The EvoLLLution

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When you boil it all down, microcredentials are about recognizing achievements in a granular way. Shorter-form courses offer students a level of ease, and recognizing their completion via a badge or certificate gives them a way to show their accomplishments in a way that isn't on the same plane as a degree, but is  still formally recognized by an institution.