Goodbye Traditional Passwords: Digital Identity Enters Its Third Wave

The digital age is ushering in a new era for personal identity, moving beyond the limitations of traditional passwords. Jon Ølnes, vice president of digital identity and regulation at Signicat, explains that while personal identity is complex and multifaceted, its digital representation is becoming increasingly crucial.

Historically, identity was localized. However, the digital realm allows for connections to global groups and subcultures, creating a "digital twin" for everyone. This twin comprises all information linked to a person, whether true or false, public or private. Personal devices like smartphones and computers act as the bridge between our physical selves and these digital identities.

Ølnes outlines three generations of identity verification. The first relied on separate usernames and passwords for each service. The current, second generation is familiar, often involving mobile signatures or apps. We are now entering the third generation, characterized by a user-centric approach and the rise of digital wallets.

This third generation promises greater user control. Individuals will be able to download information not only from identity providers but also from state registries into their digital wallets. Crucially, users will have the power to decide precisely which specific attributes of their identity they share with service providers, moving away from the current model where users are often the product.