DID by EU
Europe is cra new framework for digital identity, part of which is a creation of a digital identity wallet. They released Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL amending Regulation (EU) No 910/2014 as regards establishing a framework for a European Digital Identity.
OriginalThe EU announced its own DIGITAL WALLET!Government of the European Union recognizes the need for digital identity in the current age. Currently many states already have such systems, which save citizens time on bureaucratic procedures. By offering a European Digital Identity framework based on the revision of the current one, at least 80% of citizens should be able to use a digital ID solution to access key public services by 2030.
The idea is to create a digital system, which is interoperable across all countries of the Union
A harmonised approach will also strengthen the Single Market as it would allow citizens, other residents and businesses to identify online in a secure, convenient and uniform way across the EU to access both public and private services
EU Commission is acting with the best interest of citizens in mind and according to this actThe vast majority of the needs of electronic identity and remote authentication remain with the private sector, in particular in areas like banking, telecom and platform operators that are required by law to verify the identity of their customersWhat is wrong with eIDAS and how to develop a better system?
The problem with the current state of digital identity is that there are still centralized storages of data used. They are vulnerable to data breaches. (alternative of local storage of data) Additionally there are numerous trust service providers present and they are not sharing data of the users between each other. Trust service providers are working with many different businesses and provide authentication for users of their clients. Unfortunately this architecture doesn’t allow the system to be interoperable.
Still some governments make progress in leveraging digital identity and blockchain in solving day to day problems of the country. Here the example of introduction private blockchain in Georgia for the land registry
CASE STUDY: Blockchain Use in Land Registry in the Republic of GeorgiaIn India A short video on Block Chain based Property Registration Management System in Telangana
Even though governments still hesitate to move to public blockchains they still make progress in establishing processes of sharing data with the help of Merkel trees.
Roadmap for States
State/National Blockchain Roadmap Template [v.2 Remastered audio]
Trust service providers are still liable for mitigating cybersecurity risks according to EU regulations. They still manage the data of users.
76% of consumers are extremely or very concerned about the possibility of having their personal information stolen by using digital identities. This and more can be found in the report on user behavior in the context of digital identity
Half of customers using digital identity technologies have shown that while they are willing to sacrifice some level of security to reap greater rewards from their shared personal data, they are not willing to relinquish control over exactly what data is shared with businesses.
Consumers enjoy benefits and rewards, but still want control over what personally identifiable information they share with companies.
For that reason Self-Sovereign Identity (SSI) is a trend now. Thanks to Zero-Knowledge Proofs and Merkel trees.
Here are principles of SSI:
Existence — Users must have an independent existence.
Control — Users must control their identities.
Access — Users must have access to their own data
Transparency — Systems and algorithms must be transparent.
Persistence — Identities must be long-lived.
Portability — Information and services about identity must be transportable
Interoperability — Identities should be as widely usable as possible.
Consent — Users must agree to the use of their identity.
Minimization — Disclosure of claims must be minimized
Protection — The rights of users must be protected
Full article of SSI is here
After conducting high level research we decided to zoom in on the Estonian system.
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99% of Estonian residents have ID card
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1,1B Digital signatures given so far
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5 Days per year saved with digital signature
Three pillars of Estonian E-system are:
- eID
Usage:
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as a legal travel ID for Estonian citizens travelling within the EU
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as a national health insurance card
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as proof of identification when logging into bank accounts
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for digital signatures
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for i-Voting
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to check medical records, submit tax claims, etc.
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to use the e-Prescription service
Overview
eID ecosystem part 1 (ENG) - How Electronic Identity Makes Life Easier in Estonia
eID ecosystem part 2 (ENG) - Electronic Identity: How It Works in Estonia
- Crossroad data exchange system (open-source data exchange layer solution that enables interoperability between institutional organizations)
The Estonian Crossroad data exchange system is a platform that allows organizations and individuals in Estonia to securely exchange and access data online. It is unique because it is based on a decentralized architecture, which means that it does not rely on a central server or database to store and manage data. Instead, data is stored and managed on servers distributed across the network, which makes it more resilient to outages and cyber attacks.
One of the main features of the Estonian Crossroad data exchange system is its use of digital identities and electronic signatures to authenticate users and ensure the integrity of data. This allows individuals and organizations to conduct transactions and access services online with a high level of security and trust.
Another unique aspect of the Estonian Crossroad data exchange system is its integration with Estonia's e-government infrastructure. This allows citizens and businesses to access a wide range of services online, including tax filing, healthcare, and voting.
Overall, the Estonian Crossroad data exchange system has been a key component of Estonia's digital transformation and has helped the country become a leader in e-government and digital innovation. It is widely recognized as a model for other countries looking to improve their digital services and create a more efficient and transparent public sector.
- KSI Blockchain
Overview
https://e-estonia.com/wp-content/uploads/faq-ksi-blockchain-aug2022.pdf
Estonian KSI (Keyless Signature Infrastructure) blockchain is a distributed ledger technology (DLT) developed by Guardtime, a company based in Estonia. It is used by the Estonian government to secure the country's digital infrastructure, including its e-government services and digital records.
The KSI blockchain uses a unique cryptographic technique called a hash-based signature to secure data, rather than traditional public key infrastructure (PKI) or symmetric key cryptography. This allows for the creation of a tamper-evident log of events that can be audited and verified without the need for a central authority or trusted third party.
One of the main benefits of the KSI blockchain is its ability to scale to a large number of transactions without the need for expensive mining or consensus protocols. This makes it well-suited for use in high-volume applications, such as securing the records of a large government or enterprise.
The KSI blockchain is built on top of a distributed hash table (DHT), which allows for fast and efficient data storage and retrieval. It also includes a number of security features, such as advanced cryptographic techniques and network-level security measures, to ensure the integrity and confidentiality of data.
Overall, the Estonian KSI blockchain is a powerful and secure tool for securing digital infrastructure and records. It has been successfully deployed in a number of government and enterprise applications, and is likely to continue to be an important part of the digital landscape in the future.
Provider of X-road
https://cyber.ee/solutions/digital-identity
The only smartphone-based authentication and signing solution compliant with the highest regulatory standards and certification.
There is an interesting debate going regarding use of blockchain in government system
Overview of the history of estonian e-system
https://qz.com/1535549/living-on-the-blockchain-is-a-game-changer-for-estonian-citizens
Similar report from pwc
Some interesting points on technical infrastructure of estonian e-system
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For example, when a new public e-services are developed it is legally not permitted to design systems that store the same data in different repositories
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Estonia’s Public Information Act 3 prohibits to establish separate databases for the collection of the same data.
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If an institution, or a private company for that matter, wishes to develop an online application it can apply for joining the X-Road and thereby automatically get an access to any of the following services: client authentication (either by ID-card, mobileID or the internet banks authentication systems); authorization, registry services, query design services to various state managed data depositories and registries, data entry, secure data exchange, logging, query tracking, visualization environment, central and local monitoring, etc
Source:https://thedocs.worldbank.org/en/doc/165711456838073531-0050022016/original/WDR16BPEstonianeGovecosystemVassil.pdfHere is some fresh (2020) performance data of the e-system https://joinup.ec.europa.eu/sites/default/files/inline-files/DPA_Factsheets_2021_Estonia_vFinal.pdf
Plans for an AI assistant https://f98cc689-5814-47ec-86b3-db505a7c3978.filesusr.com/ugd/7df26f_19625e00a7b84900b99e952b1ce7d21a.pdf