Digital ID in New Zealand, Austria and Japan – Why online ID matters


Controlling information leaks is one of the key benefits of digital ID for people’s privacy. It is also known as “selective disclosure” and is something that all digital ID adapters consider essential for user privacy. However, closer examination reveals that such a system could result in a digital trail of where and when a license is posted, potentially allowing governments or companies to track people or their transactions.

Digital IDs should operate in a way that allows authentication while maintaining confidentiality, for example by relying on the exchange of cryptographic keys that establish the trustworthiness of credentials.

To make a dent in identity theft fueled by personal information obtained online, a unified effort to digitize credentials is needed.

The adoption of a digital ID trend has also become mainstream only in in-person use cases, such as banks or airports, where a real ID can be replaced with a digital card. Proponents of digital identities advocate for credentials that can be used online to access health data and government services such as unemployment benefits.

What it doesn’t yet do is allow you to authenticate your identity in the digital realm. Another ISO standard is being created for the online use of digital ID. When this standard is issued, the user’s identity on the internet becomes much more trusted and the person on the other side of that screen is also verified, such as in a metaverse, crypto exchanges, or any other use case where secure transactions or valuables are being exchanged.

Digital IDs such as driver’s licenses, Aadhaar, PAN cards and even vaccination certificates are revolutionizing document privacy as a way to keep personal information more private and secure, but widespread adoption will depend on agreement on a common standard for how ID cards are constructed and used.

Mobile driving licenses are meant to be more secure and private than traditional cards. As permits have moved beyond simply granting driving privileges to becoming a fundamental means of certifying a person’s identity, digital IDs provide frictionless ease.

Identity documents are issued for many non-driving related requests, such as opening a bank account or visiting a doctor. Individuals have no choice whether their license data is duplicated or retained, potentially exposing their personal information.

With a digital ID, you can regulate the information sent and limit it to what is necessary for that transaction. A person trying to enter a bar, for example, could establish their age without revealing their date of birth, as well as other facts such as their name and address, by providing a QR code to scan. Airport security checkpoints, which are beginning to test the use of mobile driver’s licenses in select locations in the United States, also only require a few data points from a person’s license.

Austria Digital ID

Digital ID in Austria has not only created state-of-the-art identification evidence, but it is also a necessary goal to advance cybersecurity in Austria. Digital ID is supposed to help prevent identity theft and cybercrime. The digital driver’s license, Austria’s first digital ID, represents a watershed moment in the country’s digitization journey.

Citizens and residents are encouraged to download the free eID (eAusweise) smartphone app, register for a digital ID and upload their current Austrian physical (plastic) driver’s license. Biometric verification during registration requires either facial recognition or fingerprint recognition.

Austria intends to convert as many ID cards and papers available on mobile phones into digital IDs, giving users discretion over what information is displayed, meaning credentials can be used with more privacy and perhaps for non-driving applications such as proof of age. Even when used for driving, the user can create a QR code that can be read to confirm the eligibility of the holder. If the user needs to provide additional information, for example when renting a car, the user can do so.

Apple’s digital ID

Apple’s contribution to developing standards for Mobile Driver’s Licenses (mDLs) has allowed IDs to join the Apple Wallet with enhanced functionality in iOS 16. They can now communicate with other apps on the same device to validate parts of the user ID. As new jurisdictions join, the usability and logic of the system will undoubtedly encourage the use of digital (or at least digitized) IDs.

Apple ID will enable the presentation of identity papers via iPhone or Apple Watch at specific Transportation Security Administration (TSA) checkpoints at airports, according to new features in iOS 16.

Paying in person is similar to using Apple Pay. The user places their device in front of an NFC reader. This displays a notification box informing the user of the parts of their identity profile that the service requests, such as their name, date of birth, and address. If the user accepts, the same biometric verification mechanism as for payment, such as Face match or fingerprint authentication, is used.

Operation within the app is much easier, requiring only a single click to approve the permission request that appears when purchasing a plane ticket or ordering alcohol. To communicate the specified identification attributes, biometric verification is required once again.

Registration for this digital ID requires the submission of documents as well as biometric data. The user scans the front and back of their physical ID (there is no indication that the DMV is issuing a digital ID to a device), after which they are subjected to video selfie verification and a liveness test .

This is comparable to IDcentral’s digital onboarding method for identity verification, which uses AI-based OCR recognition algorithms to collect, extract and validate the identity document. IDcentral also supports AML CTF screening and KYC compliance checks for PEPs and money launderers. This digital ID transaction is secure and takes place immediately between the smartphone and the ID scanner, eliminating the need for consumers to unlock or hand over their devices, like with Apple Pay.

Digital Identity Bill NZ – New Zealand

The New Zealand government has pledged to conduct a two-year investigation into the need for a new and improved approach to digital identity in 2018.

Since then, the digital ID environment has undergone tremendous changes over the years. Digital identity services have evolved globally and in New Zealand, providing new ways for people to access and share their information.

New Zealand’s proposed Digital Identity Services Trust Framework would provide individuals with more options and innovation in delivering trusted and secure digital identity services.

As noted earlier, digital identity skills are required to access public and private sector services such as social benefits and doctor’s appointments.

The New Zealand Digital Identity Program aims to:

  • develop resilience in the face of unforeseen events and circumstances
  • enabling digital trade and other cross-border activities to help New Zealand’s long-term economic recovery and growth
  • enable the development of a credible, consistent and sustainable digital ID system based on agreed norms and standards, which will increase access to digital services in New Zealand

The benefits of digital IDs are limitless, and the key benefits of developing an accessible and functional digital ID system will open up a wide range of opportunities across all sectors of society.

The benefits of digital IDs are many, and the fundamental benefits of building an accessible and effective digital ID system will unlock a plethora of potentials in all areas of society.

People can expect:

  • trust and confidence that their information is secure and private
  • reduced risk of identity theft and privacy breaches
  • more choice and control over when and how they disclose their information
  • and easier digital access to services

Companies and organizations will benefit from:

  • increased confidence to invest
  • better ability to meet regulatory obligations
  • greater confidence in the veracity of information, greater confidence and less risk.

The government will see:

  • improved detection and deterrence of security and privacy breaches
  • easier choices for sharing information with people’s permission
  • strengthening international cohesion

Japan’s digital ID

The Japanese government is converting its popular “My Number cards” into digital IDs. The government is asking individuals to apply for plastic My Number cards with microchips and photographs. The cards are linked to driving licenses as well as public health insurance policies. Health insurance cards without a photograph, which are currently in use, will be phased out by the end of 2024. Instead, My Number cards will be required.

This new provision comes after the widespread adoption of digitizing identity documents to form a single citizen profile for all government services.


With the growing list of digitized documents and records, fraudsters and their schemes are becoming more and more complicated. Identity and access management solutions play an increasingly essential role in stopping fraud right from the registration process and securing the platform for users.

The expansion of digital ID to more industries and usage scenarios is creating a vacuum for fraudsters who can only be checked using robust identity verification procedures that utilize the latest technologies such such as AI-enabled liveness detection, biometrics such as face matching, regulatory compliance screening for money launderers and defaulters, and video verification.

IDcentral offers all this and more, request a demo to learn more.

Learn more about IDcentral’s AI-powered digital identity verification solution

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*** This is a syndicated blog from IDcentral’s Security Bloggers Network written by Sumanth Kumar. Read the original post at:


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