This article comes from “naturalnews.com”
- Critics warn the EU’s digital wallet could lead to excessive data collection (“over-identification”), eroding anonymity and enabling surveillance by governments or corporations.
- Even with user control, experts like Henk Marsman argue people can be nudged into sharing more data than necessary through design tricks, discounts or opaque consent mechanisms.
- “Relying parties” (e.g., banks, services) may exploit the system to demand extra personal data, driven by profit motives rather than necessity.
- Storing sensitive data (IDs, medical records, etc.) in one place increases risks of breaches, identity theft and loss of access if devices are compromised or lost.
- Despite objections from civil society and experts about unconstitutional risks (e.g., in Germany, Austria) and surveillance concerns, the EU proceeded with deployment.
As the European Union (EU) prepares for the full-scale deployment of its Digital Identity (EUDI) Wallet this fall, privacy advocates and experts are sounding the alarm over potential overreach in data collection and user manipulation.
The EUDI Wallet, currently in its testing phase, is designed to give EU citizens a single, secure platform to store and share digital credentials – from driver’s licenses to medical records. This wallet will store digital versions of national ID cards, driving licenses, academic credentials and medical records, allowing users to authenticate themselves online and offline. The system, currently voluntary, is marketed as a way to reduce bureaucracy and enhance cross-border digital services. (Related: U.K. set to launch controversial DIGITAL ID system in 2025, sparking privacy concerns.)
However, Henk Marsman, a researcher at Delft University of Technology and consultant at SonicBee, argued that without stringent safeguards, the initiative risks enabling excessive data harvesting by businesses and governments, undermining the very privacy it claims to protect. Henk warned that user control alone does not ensure privacy, as people can be easily manipulated by design tricks, dark patterns, or financial incentives—even when they believe they are making informed decisions.
“Even though I think I’m an autonomous being and I make informed decisions, I can be quite easily manipulated and influenced by nudging techniques, by dark patterns, or just by a five percent discount,” Marsman said during the European Identity and Cloud Conference (EIC) in Berlin.
The issue, Marsman explained, lies in the incentives of “relying parties” – businesses and services that request identity verification. Many operate on data-driven models, creating a built-in motivation to demand more data than strictly needed.
“If the relying party wouldn’t ask too much, we wouldn’t have this risk. One of the challenges with relying parties is that they have a data-driven business model or at least some of them have, and that is the incentive to get more data off their users,” Marsman continued.
Dangers of centralizing sensitive data
Digital rights groups and lawmakers raised alarms earlier in March before its testing phase. Critics argue that the wallet could lead to “over-identification,” forcing users to disclose excessive personal information for routine transactions, eroding online anonymity.
According to civil society groups, the centralization of sensitive data in a single digital wallet also poses serious threats, including security breaches that could expose personal IDs, financial details and medical records. Compromised wallets could facilitate identity theft and fraudulent activities, while heavy reliance on devices means losing a smartphone could result in losing access to critical documents – or worse, unauthorized access if security measures fail.
“The implementation of unique and persistent identifiers within the EUDI Wallet could facilitate extensive tracking of individuals’ online behaviors. This raises concerns about the potential for pervasive surveillance and profiling by both governmental bodies and private entities, infringing upon personal freedoms and privacy rights,” Ken Macon wrote for Reclaim the Net.
But despite all these warnings and debates over safeguards, transparency and user control, the EU still rolled out the EUDI Wallet.
Follow PrivacyWatch.news for more news about the digital ID system.
Watch the video below to learn how digital IDs signify the end of freedom in Australia and other countries across the globe.
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