You may have heard about digital IDs but are wondering exactly what they are. Since you already have a physical ID, why would you need a digital copy?
In Canada, the onset of COVID-19 highlighted the need to make public services accessible online. People couldn’t visit government offices, and many civil servants were deemed “non-essential” workers. This fueled the demand for a digital solution, leading to changes in how services were delivered.
The Canadian digital identity system provides convenient, secure access to government services online. Here at Remitly, we strive to help you stay informed. We’ll break down all the facts so you understand Canada’s digital ID.
What is Canada’s digital identity system?
A digital ID is an electronic identification method that allows individuals and organizations to verify identities securely online. It provides an official digital copy of physical identification documents, such as your passport, driver’s licence, or permanent resident card.
History and development of Canada’s digital ID
Since the pandemic, Canada has been working to roll out a nationwide digital identification system to secure and streamline service delivery. Achieving this milestone goal was game-changing. The Canadian digital ID lets holders safely access healthcare, banking, and government services from a computer or mobile phone. It aims to enhance accessibility to federal and provincial services for all.
Data has become one of the hottest commodities in the digital economy. So, with the digitization of some of the nation’s most sensitive data, a digital ID isn’t without risk. That’s why Canada established strict policy frameworks to govern this scheme transparently from the start.
- Pan-Canadian Trust Framework (PCTF): A model used to verify the trustworthiness of digital IDs. The PCTF fosters collaboration between the public and private sectors to guarantee the security, privacy, and interoperability of digital identity solutions. While not an official government policy, it’s become the standard tool for assessing this service.
- Canada’s Digital Charter: Protects the privacy of Canadians’ personal information, prevents misuse of this data, and outlines measures to invest in innovation locally.
- Canada’s Digital Ambition 2022: A visionary, long-term strategy laying out the Canadian government’s plans on digital identity, online service delivery, data privacy, cybersecurity, and attracting skilled talent.
Provinces such as Ontario, Alberta, and British Columbia have already implemented digital ID programs for their residents. In cities like Québec, plans are underway to do the same. So, if you are searching for more convenient ways to access services, contact your regional authority.
Key stakeholders and organizations
Diverse Canadian stakeholders are behind the push to implement a nationwide digital ID. Let’s take a look:
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- Federal government: The Canadian government sets policies and a framework for how the digital ID will be used for service delivery at the federal level.
- Provincial governments: While the goal is to have a nationwide digital ID, provinces and territories are also taking steps to develop digital ID solutions based on their residents’ needs.
- Private sector: Private sector actors like banks and tech companies play a pivotal role by providing the infrastructure and authentication services needed to implement digital ID securely.
- Nonprofits: The Digital ID and Authentication Council of Canada (DIACC) champions a secure, interoperable digital ID for Canada. It aims to help citizens take advantage of the digital economy without sacrificing security or privacy.
- General public: Through public participation, Canadian citizens have a chance to have their voices heard during the policy development process.
How the Canada digital ID works
Generally, digital IDs work by storing your personal information on a smartphone or other digital device. You can then access and share your credentials digitally with authorized services, like your local government office.
Digital IDs let you control how your data is used and shared while providing a secure way to verify your identity online.
Technical frameworks and interoperability
Your digital ID isn’t just an app on the phone; it requires and relies on advanced technology to create secure authentication protocals. They use advanced technologies such as blockchain, encryption, and biometrics to improve security and facilitate safe data transmission.
On the technical side, Canada’s digital identity system boasts several key features:
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- Identity verification: Authorities must verify your government-issued documents officially when registering for the digital ID.
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- Biometric authentication: Confirms your identity by checking your live face scan against facial recognition technology.
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- Interoperability: Use the same verified credentials across different platforms.
- Secure storage: All personal and biometric data is encrypted and stored securely on your mobile or digital device. It can be accessed using a PIN, fingerprint scan, or other authentication method.
- Verified credentials: Only share verified personal information required for a particular service without revealing your full details.
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- Integrated digital wallet: In Canada, you can store your digital ID in a mobile money app for safer, faster transactions.
Role of government and private sector
The Canadian government and private sector companies, such as banks, work in tandem to regulate and enforce digital ID policies.
The role of the government includes:
- Setting standards for privacy, security, and identification authentication.
- Ensuring consistent enforcement among various public and private service providers.
On the other hand, the private sector has a part to play, too:
- Validates identities.
- Provides authentication keys, like log-in credentials.
- Develops technologies to improve Canada’s digital ID system.
By maintaining high standards of accountability and transparency, these players ensure your digital identity’s security so you can meet everyday needs.
Pros and cons of the Canadian digital ID
For many citizens, Canada’s digital identity system unlocks a world of convenience. But many believe the risks can’t be understated.
Advantages of digital IDs
If you have ever misplaced an important document, then you know the stress it can cause, especially when working under time constraints. A digital ID offers many advantages.
- Convenience: Need to renew your passport quickly? Don’t have time to drive down to the government office and wait in line? With a digital ID, you can access government services online faster and easier.
- Security: The digital ID aims to reduce fraud so that everyone can access services safely.
- Economic benefits: In this new digital economy, a secure digital ID system can spark innovation, create jobs, and support economic growth nationwide.
- Environmental impact: Less paper, less waste. Digital IDs create a landscape where paper-based documentation is no longer the only option.
Privacy concerns and challenges
Of course, implementing something as new as a digital ID always raises concerns and challenges. That is why the Canadian government has remained committed to ensuring safety and mitigating security risks. These risks fall under several categories:
- Data protection: Risk of hacking, breaches, and misuse of personal information.
- Government surveillance: Fear of increased tracking and monitoring.
- Exclusion risks: Immigrants and marginalized groups may face barriers to access.
However, policymakers have already started to address these issues in several ways:
- Personal Information Protection and Electronic Documents Act (PIPEDA) gives you the power to consent to how organizations collect, use, or store your data.
- Provincial and territorial privacy laws govern data protection in the public, private, and healthcare sectors.
- The Canadian Digital Service (CDS) works behind the scenes to monitor strange activity, such as log-ins from unknown devices.
The Canadian government continues to utilize these frameworks to enhance and protect you and your personal information.
Where can you use Canada’s digital ID?
Securing your digital ID means easier access to services like banking, tax filing, passport renewal, and even transactions on e-commerce sites.
As we move further into the digital age, service delivery will continue to be streamlined. This makes it easier for Canadians to access healthcare, education, and online money transfer services.
Everyday applications and use cases
- Banking and financial services, like opening a bank account
- Government services, such as applying for residency or filing taxes
- Travel and border security, improved through digital passports and biometric screening
- E-commerce and online transactions
- Healthcare
- Education
- Retail and payments:
Do I need a digital identity?
Concerns have been raised about potential data misuse and lack of access for those who don’t have smartphones or computers. Elderly individuals may also struggle with new technologies like the digital ID. However, the government is working on solutions to ensure that Canada’s digital ID is inclusive for everyone.
The country continues to digitize many services, but having a digital ID remains optional
However, understanding the benefits of a digital identity is important, too. Not only will it save you time, but it will also enhance your security online. You’ll be able to access critical government services, all while reducing the risk of fraud and identity theft.
FAQs
What is the purpose of a digital ID?
A digital ID is an electronic identification method that allows individuals and organizations to verify identities securely online. It provides an official digital copy of physical ID documents. With your digital ID, you can manage everyday needs like banking, online purchases, or even renewing your passport.
Is Canada going to have a digital ID?
Yes, Canada is working to develop a secure, nationwide digital ID that allows access to many services from your phone or computer. Currently, digital IDs are only available in certain provinces, such as Ontario, Alberta, and British Columbia.
What is the downside of digital ID?
Though the digital ID is secure and can reduce fraud and identity theft, there are still risks. Government overreach and the risk of hacking are some of the concerns Canadian policymakers are working to resolve.