Over the last two decades, our lives have become increasingly digital. Nearly everything is done online today – shopping for airline tickets, looking for houses, and even watching movies. Despite this digital integration of nearly every aspect of our life, there has not yet been a universal solution for the verification of a person\u2019s digital identity. <\/p>\n\n\n\n
This leaves people in a position where they have to enter repetitive information regarding driver\u2019s licenses and passports whenever they complete an identity-centered task like buying an airline ticket. When we apply to open a bank or investment account we often need to submit photos of ourselves and a government-issued ID to verify our identity. These photographs then need to be verified by a third party before we can begin to use the service, a process that can take several days. <\/p>\n\n\n\n
These are only a few situations where a universal digital identity would enhance our online experience, but it still begs the question: how can a digital identity be created on the blockchain? Rooted in key management and identity, Accumulate is a universal protocol that interoperates across various Web 2 and Web 3 platforms\u2013 from Layer 1 blockchains to enterprise tech stacks, to websites, to corporations. Accumulate is a potential decentralized solution for government-based digital identity.\u00a0<\/p>\n\n\n\n
Digital Identities would allow a person to store key information about themselves virtually. For instance, a Digital ID could speed up checkout processes by automatically providing information such as your name and address with the e-commerce site. This is common online with solutions like Google Autofill but has yet to be implemented in brick and mortar stores <\/p>\n\n\n\n
The benefits of authenticated Digital IDs go far beyond mere identification. A robust Digital ID could contain both credentialed data – such as a person\u2019s vaccination status, authenticated college degrees, deep-sea scuba certification- as well as the security features that would grant full ownership and disclosure of this data to the owner of the ID. Thus, someone could choose to share just their certified identity, college education, and employment history with a potential employer – and avoid filling out all that repetitive application information. For example, a person could choose to share only their vaccination status and scuba certification with the operator of a diving boat. This would allow that person to get in the water without carrying all those paper certifications around. <\/p>\n\n\n\n
A traditional ID only proves that you are who you say you are – and perhaps that you are certified to drive or cross over borders. These types of Identity were not designed for the digital world\u2026 and it shows. Aside from verification, a card ID provides very limited advantages. <\/p>\n\n\n\n
Traditional IDs create the opportunity for false certifications. Criminals can create fake IDs and use them to lease homes, do business, and cross over borders when they are on the run. With a digital ID that is provided by an enterprise or government, there would be nearly zero opportunities for false certifications. Digital IDs would all need to be issued through a certified and trusted technology platform with integrations into other applications. It would not be possible to create a fake identity on a secure platform.<\/p>\n\n\n\n
Currently, people have no control over who utilizes their private data online. With a certified digital ID, power over this information would be firmly in the hands of the person who owns it. The owner of a digital ID would be able to grant and revoke the security privileges of parties accessing information. <\/p>\n\n\n\n
Blockchain technology like what is being built on Accumulate is perfect for selective-based sharing of private data we spoke about in a previous blog post<\/a>. Beyond offering user control, other ways that Accumulate can potentially enhance private data include making data more: <\/p>\n\n\n\n Local and state governments would better be able to provide services to their people by consolidating a person\u2019s data. Right now, data is mostly siloed in data centers without much interoperably or coordination between service providers.<\/p>\n\n\n\n For instance, if a person\u2019s digital ID indicated they were receiving unemployment benefits and had a nursing certification, a blockchain-based digital ID system could be automatically created to alert them to new nursing positions in their area. It\u2019s also possible for an automatic application to the position if the correct data was stored in an identity. If someone wanted to opt-out of such a system, they would only need to change the permissions of their Identity.\u00a0<\/p>\n\n\n\n It would also be useful to provide new services and tax breaks to people who may be unaware of new legislation passed. If a person\u2019s digital ID indicated they were receiving disability, and a state passed a new program to provide meals to disabled citizens, normally a person would need to wade through bureaucracy to receive these services. With a digital ID, a person could be notified they qualify for such a benefit – or even be automatically opted into a meal program if they have configured their Identity correctly.\u00a0<\/p>\n\n\n\n Governments are also looking towards blockchain-based digital IDs with excitement because they are starting to see the potential it can help with. Organizations such as Sphereon<\/a> have made great strides within this field and will help usher in the next generation of GovTech solutions. <\/p>\n\n\n\n Estonia has one of the most developed digital IDs in the world (PricewaterhouseCoopers<\/a>). Every one of its citizens has a state-issued digital ID. The Estonian digital ID goes far beyond simply being a legal photo ID. It offers digital access to all of Estonia\u2019s e-services. This is not only in practice, but a blockchain-based digital ID has been added to Estonia\u2019s legislation that basically states that a qualified electronic signature is equivalent to a stamp, seal, or hand-written signature. This takes blockchain-based credentialing and IDs to the next level. As they say, if you want to immortalize a business, have the government create legislation around it. <\/p>\n\n\n\n One of the best technologies for digital ID is blockchain. Blockchains create a distributed ledger of information that cannot be changed once it has been approved and added to the chain – meaning that a person\u2019s data could not be altered by a malicious attacker. The entire blockchain is accessible to anyone who has a node where the blockchain is stored, however, all the data on the chain is encrypted, and it can only be accessed if a user has the proper key. This means that many different agencies and enterprises could use the same blockchain for digital verification, without any personal data on that chain being compromised. <\/p>\n\n\n\nGovernment Technology And Digital Identities <\/strong><\/h2>\n\n\n\n
Estonia isn\u2019t the only country making use of blockchain-based IDs:\u00a0<\/strong><\/p>\n\n\n\nBlockchain: The Natural Home for Digital IDs <\/strong><\/h2>\n\n\n\n