In a groundbreaking move that has captured the attention of the world, Bhutan is set to become the first nation to introduce a self-sovereign national digital ID for all its citizens. With a population of less than 800,000 people, Bhutan is proving that innovation knows no boundaries, and that even small nations can lead the way in the digital age.
The driving force behind this ambitious endeavor is none other than Druk Holding and Investments, the commercial and investment arm of the Bhutanese government, which has developed this cutting-edge national digital identity system. According to Ujjwal Deep Dahal, the CEO of Druk Holding and Investments, the new system promises to be the cornerstone upon which the entire digitization of the nation’s services will rest. “National digital ID is the platform on which digitization and online services of banks to hospitals to taxation to universities, everything can come online with 100% assurance,” Dahal emphasized.
What makes Bhutan’s approach unique is the utilization of blockchain technology. This choice ensures that each citizen’s digital identity remains under their complete control, adhering to the principles of self-sovereignty. Similar to how cryptocurrencies operate, this means that only the individual can dictate how their identity is used or disclosed, offering an unprecedented level of control and privacy.
The initiative has already gained royal approval, with Bhutan’s 7-year-old crown prince, Jigme Namgyel Wangchuck, being the first to enroll in the new system. The rollout is expected to encompass the entire population within the year, making Bhutan a pioneer in the field of digital identity.
Dahal elaborated on the user-friendly nature of the onboarding process, which takes just around 5 seconds. “In our system, you will not visit any booth to register yourself. You’ll just download an app, share your details, selfie, and national ID card; and in the back end, the AI algorithm will run and say, ‘Okay, I can give you a verified credential.’” While this streamlined process benefits smartphone users, adjustments will be made for those who lack smartphones or require assistance.
Addressing concerns regarding privacy and data security, Dahal underscored the self-sovereign nature of the identity. “That’s the whole philosophy of being self-sovereign. Now, it’s up to me if I don’t want service from the bank, I won’t share my credentials. If I do share it, it’s with my consent,” he reassured. Furthermore, in case a mobile device is lost, there’s a protocol in place to recover the ID from a cloud, but the right to initiate this process rests solely with the individual.
As Bhutan embarks on this groundbreaking journey towards a self-sovereign national digital ID, it not only reiterates its commitment to embracing technological advancements but also showcases to the world that innovation is not bound by geographical size. In doing so, Bhutan sets a remarkable precedent for other nations to follow, highlighting the importance of digital identity systems that prioritize individual control and data privacy in an increasingly interconnected world.