In this post, Daniel Flowe, Head of Digital Identity at LSEG Risk Intelligence, explains how digital IDs are transforming interactions with various services through 3 different places around the world.
Digital IDs are quietly transforming how we interact with governments and services, making everyday tasks smoother and more secure. Countries like India and Singapore are at the forefront of this transformation, leveraging digital IDs to enhance public service delivery and foster economic growth.
They can have a significant impact on convenience, security, and efficiency in public service delivery in the future. As more nations turn to these systems, the potential for improved governance and citizen engagement continues to grow.
For example, in India, the Aadhaar system has become a fundamental part of the nation’s digital infrastructure. As of October 2024, over 1.38 billion residents have been issued Aadhaar numbers, covering approximately 97% of the population. In January 2025 alone, more than 2.84 billion Aadhaar authentication transactions were conducted, which is a 32% increase compared to the same month in the previous year.
Today, we’ll take a look at three distinct yet illustrative cases—India, Singapore, and the state of Louisiana—to understand how digital ID systems are shaping real-world outcomes. While these places differ vastly in geography, governance, and scale, they each offer a compelling glimpse into how digital identity can improve everyday life.
Suggested read: Digital Identity in 2025: The Complete Guide
India’s Aadhaar program is more than just the world’s largest biometric ID system—it’s become an essential part of life for millions. Designed to assign a unique 12-digit identity number to each resident, Aadhaar uses biometric data like fingerprints and iris scans to verify identities. This might sound technical, but its real power lies in what it enables: targeted support for those who need it most.
Before Aadhaar, India struggled with massive inefficiencies and fraud in welfare distribution. Subsidies meant for low-income families were often siphoned off by intermediaries or claimed using fake identities. Aadhaar helped turn the tide. By connecting people’s digital IDs to government benefit systems, the state could transfer subsidies directly into individuals’ bank accounts, cutting out middlemen and reducing leakages.
The impact has been dramatic. According to the World Bank estimates, extreme poverty in India dropped from 16.2% in 2011–12 to just 2.3% in 2022–23. That’s roughly 171 million people lifted above the poverty line—a shift that would have been much more challenging without digital infrastructure to back it up.
Fraud has also taken a serious hit. One of the most visible changes has come in India’s public distribution system. Aadhaar-based authentication helped the government eliminate 58 million fake ration cards, freeing up vital resources to feed real families instead of ghost beneficiaries.
And the ripple effects go beyond welfare. As of July 2023, more than 788 million Aadhaar numbers were linked to bank accounts, helping bring people into the financial system for the first time. For many, Aadhaar has meant not only access to public aid but also the ability to save, borrow, and build a more stable future.
Singpass has become a huge part of Singapore’s digital environment, allowing citizens to securely access more than 2,000 services from both the government and the private sector. With features like biometric authentication and real-time fraud detection, Singpass has significantly improved the safety of digital transactions.
To fight the rise in phishing scams, the government introduced facial verification for high-risk transactions, particularly in services like the Central Provident Fund (CPF). This measure has strengthened identity verification processes, making it more challenging for cybercriminals to exploit stolen credentials. Additionally, initiatives like the SMS Sender ID Registry have led to a 70% decrease in scam SMS cases over just three months, demonstrating how well integrated digital security measures can work.
In the United States, Louisiana’s LA Wallet app offers residents a digital version of their driver’s license or state ID. The app gained national attention when the state enacted a law requiring age verification for accessing adult content online. The day after the law went into effect, new signups for the digital ID increased from approximately 1,200–1,500 to over 5,000—a more than 300% rise. Under this law, users must verify their age through LA Wallet in order to stay compliant with age restrictions and protect minors from inappropriate content.
Beyond age verification, LA Wallet has been used for disaster response and fraud prevention. Following hurricanes Ida and Laura, nearly 210,000 Disaster Supplemental Nutrition Assistance Program (DSNAP) recipients used LA Wallet to remotely verify their identities in order to receive benefits without fraud.
Digital identity systems are no longer experimental tools confined to a few tech-forward nations. They’re rapidly becoming foundational infrastructure for governments and societies worldwide.
This shift is driven by a shared recognition: without a trusted form of digital identity, individuals—especially in vulnerable or remote communities—are often excluded from essential services like healthcare, education, and financial support. In Sub-Saharan Africa alone, approximately 470 million people lack official identification, limiting their ability to participate fully in the digital economy and society.
Countries like Morocco are stepping up with innovative digital ID systems aimed at transforming social protection programs. On the other hand, Somalia is rolling out basic ID initiatives to boost access to financial services, such as international remittances. Additionally, the World Economic Forum’s EDISON Alliance is on a mission to enhance digital inclusion for 1 billion people by the end of 2025. So far, their efforts have already made a positive impact on the lives of 784 million people in 127 countries.
Emerging technologies are also shaping the future of digital identity. Decentralized ID models, which give individuals greater control over their personal data, are gaining traction. As digital identity systems continue to evolve, they promise to strengthen service delivery and reduce fraud while promoting social equity and empowering individuals worldwide.
