The Future of Digital Identification Wallet
Digital identification wallets, while still a proposal, will allow Canada Citizens to store official documents and educational credentials such as Passport and driving licenses. The European Union proposed the digital identity framework to update the existing European identity framework.
The digital identity will allow a European citizen, resident, or business entity to identify themselves to access public or private services. The government stores the data online through a digital wallet.
The digital identification wallet concept is not new, and it’s what drives authentication on blockchains and digital currencies transactions. The significant difference is that the former lacks legal acceptance.
Current State of Digital Wallets and ID
After the eIADS 2.0 framework implementation, the EU’s 27 member states, Canada, among other states, will enjoy cross-border transactions. A citizen will easily enroll at the university, rent an apartment or conduct business transactions without existing bottlenecks.
The eIADS 2.0 (electronic IDentification, Authentic, and trust Service) is an advanced version of the eIADS established in 2014. In blockchain use cases, the digital wallet is at the core of storing the credentials and sharing them when used in public or private services.
One use case of the digital ID is paster passenger processing at the airport. Since you would have provided your credentials digitally, the queues would subside.
What are The Pitfalls
Poor digital identity implementation could lead to intricate privacy and trust issues. Currently, there exist different identification systems provided by member states.
Some of these systems are not efficient while veering off the initially intended purpose. Again, the issue of interoperability crops in since the new proposal may be riding on existing identification systems.
How Do We Know Its Safe
It isn’t easy to ascertain the safety measures in their current state. Still, if everything goes as planned, the digital identity will be a safe bet for users. Safety is enhanced by borrowing from the safety nets in blockchain-based digital wallets.
Bad actors have brought down entire networks and stored personal data through data breaches. Drawing from the lessons and existing frameworks, the European commission might establish a new frontier for digital identification.
The idea of a digital ID is progressive and something worth pursuing. Once fully implemented, it will be easier to gauge its widespread success. When each country adopts the new framework, it will be easier to improve the system.
Overall, this is an excellent initiative because it will streamline the identification process in the EU and shorten the time spent processing identification credentials.