What happens when you try to fake being an Estonian who holds a national ID card that utilizes cryptographic primitives? Along those same lines, this infrastructure is the very same needed for business to transact (think document/agreement execution, bank accounts, brokerage accounts, payment processing, real estate ownership record systems, etc).
If I can't prove who I am, that's a gap to be solved for by government (and many have already solved for this, it is a well worn path [1]). If you require me to attest to my identity, that's a regulatory, governance, and oversight issue. As glib as is sounds, fight misinformation/disinformation with trust (infra). Make trust the default, not the exception.
EDIT: Login.gov [2] provides authentication services for DHS' Global Entry. Why can we not use that to attest identity facts elsewhere? Why can't any citizen get a CAC [3] to use with this system? (I frequently see Login.gov is hiring for SREs, but no internal advocates/champions; why?) Why can I pay with Apple Pay but can't prove my identity without a paper birth certificate and social security card (or a passport if you're among the well heeled)?
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[1] https://en.wikipedia.org/wiki/List_of_national_identity_card... [2] https://login.gov [3] https://www.cac.mil/common-access-card/