Over 214 million Brazilians will soon be using blockchain technology for digital identity, the government recently announced.
Rio de Janeiro, Goiás and Paraná will be the first states to issue identification documents on-chain through a private blockchain developed by Serpro, Brazil’s national data processing service. The entire country should be able to issue identity documents through blockchain technology by Nov. 6, reads a decree on Sept. 25.
According to Alexandre Amorim, president of Serpro, the immutability and decentralization of blockchain made it an ideal technology for the country’s digital identification project:
“Blockchain technology plays a critical role in protecting personal data and preventing fraud, offering a more secure digital experience for Brazilian citizens. Utilizing the b-Cadastros blockchain platform significantly enhances the security and reliability of the National Identity Card project.“
As per the local government, the national ID project is crucial in targeting organized crime, allowing government sectors to work together, offering a simpler way to access services and streamlining administrative records. The city of Buenos Aires, Argentina, recently disclosed a similar initiative, allowing residents to access identity documents via a digital wallet.
Over the past few years, Brazil has been working to unify identity issuance across its almost 30 states. The newly adopted technology will allow a more secure data exchange between the Federal Revenue and government departments, said the announcement.
Emissão da Carteira de Identidade Nacional (CIN) conta agora com a segurança do Blockchain. Saiba o que muda no documento e confira todos os detalhes que tornam a nova carteira de identidade dos brasileiros mais segura do que nunca!https://t.co/G2MigNkG1J— Serpro (@SERPRO) September 25, 2023
Another significant development in the country is an upcoming central bank digital currency. The government released more information about the project in August, rebranding the digital currency to Drex.
According to previous reports, the central bank plans to expand business access to capital through a tokenization system associated with the Drex. The Drex code was discovered to allow a central authority to freeze funds or reduce balances, according to a local developer.