The Rise of Reusable Identity: Transforming Transactions and Privacy
In the not-so-distant past, verifying our identities for online transactions involved cumbersome steps: entering information, snapping photos of our IDs, and taking selfies. These digital-first methods became commonplace, allowing businesses to remotely verify users while maintaining security. However, as technology advanced, so did the challenges associated with repetitive identity verification for every transaction. Enter the era of shareable, reusable identity—a game-changer that promises to revolutionise our interactions across various industries and services (forbes.com).
The Old Way: Repetitive Verification
Traditional identity verification systems demanded separate verifications for each service or platform. Whether opening a bank account, selling property, investing in a fund, or using professional services, users had to repeatedly provide their identity details. This process incurred costs, created liability concerns, and introduced friction for end-customers. Moreover, the storage and handling of personal data raised privacy issues.
The Future: Reusable Identity
Reusable identity streamlines the user experience by offering a single set of credentials that can be accessed or shared across multiple service providers or platforms without repetitive verification. Here’s why it’s the future:
Cost-Effective and Efficient:
Reusable identity eliminates the need for businesses to store users’ data centrally. There’s no vulnerable repository of sensitive information.
Users verify their identity once, and that verification becomes a digital asset they can use repeatedly.
Beyond personal identity, users can also share information related to trusts, companies, SMSFs, and more.
Privacy and Control:
Data can be compartmentalised—identity tokens separate from the documents needed for verification.
Users retain control, choosing what to share and when to revoke access. It’s a user-centric solution.
Those wary of exposing personal information can now navigate transactions confidently.
Global Adoption:
Countries like Sweden and Estonia have already embraced reusable identity.
In Australia, the Digital ID bill paves the way for further development.
Mass Adoption and Market Growth:
Private companies are creating unified digital identity frameworks and mobile wallets.
Governments adjust legislation to facilitate orderly markets and set accreditation levels.
Advanced Technology Enablers:
Biometrics, identity proofing, and AI fraud detection propel mass adoption.
The promise: “Verify once, share anywhere.”
Client rules and zero-knowledge proofs enable risk management of verified states.
Solving the Privacy Problem
As identity fraud rates rise, people increasingly worry about data storage and usage. A trusted, reusable, and shareable identity platform addresses these concerns. It’s a future where users regain control, businesses reduce costs, and transactions become seamless—from investing to engaging an accountant to online services. Welcome to the era of reusable identity!
For more information reach out to us today.