Traditional mobility management architectures are a centralized structure which has several problems and limitations, such as a single point of failure, scalability problem, triangle routing, and tunneling overhead thereby node which is fixed or in idle mode. Distributed Mobility Management (DMM) focuses on solving those problems caused by centralized mobility management. There are several PMIP-based schemes for DMM proposed in IETF DMM WG. However, they do not satisfy all key requirements of DMM. In this paper, we propose a new DMM scheme, Dynamic Distributed PMIPv6 (DYD-PMIP), which satisfies all key requirements and additionally supports routing optimization with the help of new procedures and messages about ongoing sessions or new sessions. We compare with other DMM schemes based on PMIP.