How the Proposed Trusted Identity System Might Affect Online Privacy

Can “Trusted Identities” Ensure Greater Online Privacy?

Technology is moving at light speed, and the World Wide Web is moving with it. During the Holiday 2010 season, online retailers raked in more than 30 billion dollars from online shoppers. This figure is up significantly from the year before, which suggests that people are putting their money online now more than ever. Given the trust that people are putting into the Web, its no wonder that digital privacy is one of the most problematic issues facing those who work, socialize, and shop online.

The issue of privacy protection on the World Wide Web is a hot topic.  The news is peppered with features regarding protecting privacy while using Facebook or how to protect your personal information when blogging online.

In California, Senate Bill 1411 recently passed, making malicious online impersonation a punishable crime. Given the saturation of privacy news in the media, it’s no surprise that the Federal Government has stepped in with a strategy to enhance electronic privacy. The National Strategy for Trusted Identities in Cyberspace (NSTIC) program was created as part of a cyber security review on behalf of the Obama Administration. It was recently announced that the main focus of the NSTIC would be to implement a new program called the National “Trusted Identities” plan. This article will focus on the National Trusted Identities plan and its potential impact on your digital privacy.

A future that focuses on cybercrime

The Trusted Identities Plan is being heralded as an “Identity Ecosystem” by the White House and Department of Commerce. For the first time, Government verified digital ID’s would be put into place on the Web. The ID will work on partnered websites and will verify the users identity by providing confirmed personal information. For example, if you wish to purchase an item online that requires you to be of a certain age, the digital ID will verify your age and allow you to make the required purchase.

It is the hope of the Obama administration that the Trusted Identity Plan will diminish the growing problem of cybercrime, while at the same time creating a system that will ease the use of the Web for its users. Among the many proposed benefits are:

- Eliminating the need for multiple passwords and reducing the distribution of your personal data across the Web
- Diminishing the instances of identity theft and online fraud

In order to protect your website privacy, you are instructed to change your passwords often and to use random passwords on different websites. The average Web user has accounts on multiple websites, and keeping track of user names and passwords can be a daunting task. The Trusted Identity Plan would create a central system in which you would only need one password for all websites. In addition, by having a central digital ID, your personal information would not have to be entered on multiple websites when you need an account to login.

The Trusted Identity Plan would create a central system in which you would only need one password for all websites.
A digital ID will diminish the instances of identity theft and fraud. The Web is basically an anonymous environment, where it is difficult to tell if someone who is posting online is really who they say they are. The implementation of a verified digital ID will provide reassurance to website owners as well as Web users, decreasing criminals ability to use your identity online.

The potential cost of privacy control

Although there are many benefits to the concept of digital ID’s, the Trusted Identity Plan has come under scrutiny by U.S. privacy activists. The main concern seems to be that digital IDs would be similar to a National ID card for all US citizens, therefore eliminating the possibility of browsing anonymously online. Although focusing on protecting your electronic privacy is a step in the right direction; a Government controlled protection of privacy may come at a cost.

When you create accounts on various websites, your personal data is spread in many different directions. At the same time, the type of personal information that you are asked to provide is generally the same across the board. Based on the proposed centralized system, your personal information will be kept in a central database. One of the problems that may arise from such a system is that, in order to facilitate use of digital IDs by all websites, highly detailed personal data must be entered on each user. You may be required to enter your fingerprints, eye color, or banking information. Although the Trusted Identity Plan is being created to ensure your digital privacy, simply creating the digital ID may leave you feeling as though your electronic privacy is being compromised.

For many, the fact that a department of the Government is behind the Trusted Identity Plan may actually be detrimental to online security. Hackers are notorious for targeting large governmental agencies in order to gain access to classified data or personal information. As recently as Christmas of 2010, the staff of several Governmental agencies downloaded a fake Christmas e-card that contained the Zeus Trojan virus. When the virus was on the computer system, it was able to access Word and PDF documents containing classified information. A centralized system would be a highly targeted system, and it’s unclear as to whether or not security could be tight enough to guarantee the safety of your personal data from hackers.

It remains to be seen exactly how the Trusted Identity Plan will affect your digital privacy or whether such a system can ensure your website privacy when surfing the World Wide Web. You can take control of your own privacy protection by utilizing the MyPrivacy package from Reputation.com. MyPrivacy keeps up with ever changing technology and protects your digital privacy on a day-to-day basis.