South Korean citizens will be able to use blockchain-based physical cards until 2024, but after that, they will have to get their own digital cards as the technology is increasingly adopted in South Korea.
According to a report published by Bloomberg on October 17, a plan by the country’s government shows that digital IDs will be installed as an app on mobile phones and will work exactly like a physical residence registration card. It is predicted that these digital IDs will be launched by 2024, and about 45 million South Korean citizens will be able to use them after two years.
Hwang Seogwon, an economist at the South Korea Institute of Science and Technology Policy, said that these digital IDs are widely used in finance, healthcare, taxation and transportation, while Soh Bo-ram, director general of the Digital Government Office. South Korea said the technology could help businesses that are not yet fully online. Also, this program will make the government of this country use a decentralized identity system, but this means that the government will not have access to the information on the phones, their digital ID, how they are used and their location.
The Portolans Institute, which is an American think tank, said in this process that such technology is not very new in a country that has access to all kinds of new technologies and ranks first in life, business and government. Nor would this be the first version of a blockchain-based digital ID implemented in South Korea. As of August 2020, more than one million South Koreans have received their blockchain-based driver’s licenses. It should be mentioned that this program worked through South Korea’s PASS smartphone application.
A little later in September 2020, the Korea Internet and Security Agency (KISA) began its pilot program on a similar system. South Korea ranks first in blockchain and metaverse, so we expect other countries to join this ranking.
According to the research conducted by the market research company ReportLinker in June 2021, it is estimated that the blockchain identity market will increase by 3.58 billion dollars by 2025; It should be noted that the annual compound growth rate is 71%. However, blockchain consultant and CEO of Bundlesbets.com, Brenda Gentry, recently stated that no matter how capable an ID management system is, we still need identification from government officials or companies:
If the government doesn’t issue the validity of a blockchain ID, we can’t use it for most public services, which I think is one of the biggest limitations in this area.