USA: Lobbyists demand to build ID infrastructure
Source: (
https://bit.ly/3AZV4U5)
A group of 10 advocacy organizations, including the Identity Theft
Resource Center and the Better Identity Coalition, have called on
Congress to pass the Improving Digital Identity Act of 2022,
mandating the government to develop federal digital ID
infrastructure.
The bill has advanced through committees in both the House and
Senate, but it is yet to be put to a vote.
In the letter, the organizations noted that in 2021, 293 million
people were affected by data breaches, and that there has been
a 333% rise in losses from identity fraud since 2017.
The letter further notes that the FTC estimated that there was
a 3,000% increase in identity theft for public benefits from 2019
to 2020. And, the Treasury Departments Financial Crimes
Enforcement Network (FinCEN) has identified abuse of components
of digital identity, like personally identifiable information, as the
main cause of cybercrime and fraud in the country.
According to the Federal Reserve, synthetic identity fraud causes
losses of $20 billion annually.
"The lack of an easy, secure, reliable way for entities to verify
identities of people they are dealing with online creates friction
in commerce, leads to increased fraud and theft, degrades privacy
and hinders the availability of many services online," the
organizations wrote in the letter to Congress.
The organizations argue that digital identity infrastructure could
contribute 4% to the GDP by the year 2030. The National Institute
of Standards and Technology (NIST) said a digital identity
infrastructure could save one agency over $300 million annually.
"By prioritizing digital identity infrastructure, we will prevent
costly cybercrime, help ensure Americans never become identity
theft victims, give businesses and consumers new confidence, and
foster growth and innovation across the economy," the letter states.
