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United States: Senate Passes Digital Identity Bill

A Senate committee has validated the Improving Digital Identity Act, which is intended to enable the deployment of a “trusted and interoperable” identity verification solution

Digital identity & KYC - April 26, 2023

The US Senate Homeland Security and Governmental Affairs Committee passed a digital identity bill in late March 2023. The Improving Digital Identity Act was approved by 11 votes to 1 and must now be debated in the Senate plenary session.

If finally passed, this legislation will launch an interagency task force to establish “trusted, interoperable digital identity verification in the public and private sectors.”

The Improving Digital Identity Act does indeed point to the lack of a “simple and affordable” method to verify whether a person is who they claim to be online. This shortcoming makes it easier for cybercriminals to attack, especially when it comes to stealing personal data. This legislation, by the way, stems from a call from the bipartisan Commission on Enhancing National Cybersecurity.

The inadequacy of current digital identity solutions undermines the security and privacy of all United States citizens, and next-generation solutions are needed,” the bill reads.

The government is “uniquely positioned to provide critical components that fill gaps in the U.S. digital identity infrastructure and strengthen private sector digital identity and authentication solutions,” also states the legislation.

In February 2023, a draft executive order from the Biden administration on the subject had leaked. It proposed a nationwide expansion of the U.S. federal government’s digital identity service.

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