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Brownstone Institute

EU Digital Identity Wallet Pilots Roll Out Under the Radar

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From the Brownstone Institute

BY Stavroula PabstSTAVROULA PABST

As 2023 continues, the European Commission appears busy developing and running pilots for its EU Digital Identity Wallet (EUDI), which it intends to make available to all EU citizens in the near future. But while the European Commission (EC) boasts the prospective EUDI’s convenience, security, and wide range of prospective use cases in daily life, what’s less discussed is the tool’s potential for a bevy of ethical and surveillance-related issues.

What is the EU Digital Identity Wallet (EUDI)?

The EU Digital Wallet, often referred to as the EU Digital Identity Wallet (EUDI), is slated to be offered to the European public in the years ahead. According to the European Commission, “EU Digital Identity Wallets are personal digital wallets allowing citizens to digitally identify themselves, store and manage identity data and official documents in electronic format. These may include a driving licence, medical prescriptions or education qualifications.”

As legislation streamlining their slated use across Europe is finalized, the European Commission is advancing its efforts to roll out EUDIs amongst the general European public, where over 250 private corporations and public authorities are participating in four large-scale pilot projects. At the time of writing, the EU has invested €46 million into these pilots.

Indeed, a wide range of use cases are already being tested in the EUDI pilot projects. These include using the wallets to access government services, register, and activate SIM cards for mobile network services, sign contracts, facilitate travel, and present educational credentials. All together, these use cases suggest the Digital Identity Wallets’ prospective utilization across a wide range of services essential to daily life.

Convenience, But for Whom?

The European Commission frequently plays up the digital wallet’s convenience, with messaging boasting that users will be able to use the Wallets to check into hotels, file tax returns, rent cars, and securely open bank accounts. European Commission President Ursula von der Leyen highlighted the following in a 2020 State of the Union address, where she proposed the concept of a “secure European e-identity:”

Every time an App or website asks us to create a new digital identity or to easily log on via a big platform, we have no idea what happens to our data in reality. That is why the Commission will propose a secure European e-identity. One that we trust and that any citizen can use anywhere in Europe to do anything from paying your taxes to renting a bicycle. A technology where we can control ourselves what data is used and how.

Certainly, von der Leyen is correct that “we have no idea what happens to our data” when we create online accounts or log in to private services, positing that Digital ID can work to solve a core problem many people have when using the internet.

But critically, the European “e-identity,” and digital identification methods generally, pose a bevy of new issues for civilians in both the short and long term. Namely, while Digital ID can provide users access to services, a 2018 WEF report on Digital ID admits the tool’s propensity to exclude; “[f]or individuals, [verifiable IDs] open up (or close off) the digital world, with its jobs, political activities, education, financial services, healthcare and more.”

And indeed, within the control of a corrupted state or other governance structures, Digital ID’s propensity to “close off” the digital world appears ripe for misuse or abuse. Researcher Eve Hayes de Kalaf, for example, writes in the Conversation that “states can weaponise internationally sponsored ID systems” against vulnerable populations. She highlights an example from the Dominican Republic, where long-term discrimination against Haitian-descended persons manifested in the stripping of their Dominican nationality in 2013, rendering them stateless.

Meanwhile, it’s not difficult to imagine others falling through the digital “cracks” as Digital ID systems become mainstream and interconnected with, if not a prerequisite for, accessing critical social and financial services and supports.

As Jeremy Loffredo and Max Blumenthal elucidate in 2021 reporting for the Grayzone, for example, the 2017 introduction of Aadhaar, India’s biometric ID system, “which tracks users’ movements between cities,” led to a spate of deaths in rural India as difficulties accessing the Aadhaar system functionally blocked goods and benefits recipients from accessing the country’s ration stores, leaving them to even starve. India’s Scroll reported that, in a random sampling of 18 villages in India where biometric authentication had been mandated to access government-subsidized food rations, 37 percent of cardholders were unable to obtain their rations.

Despite the devastation it has caused, Aadhaar has ultimately been promoted as a success, and Rest of World reports that India’s setting up international partnerships to export its popular Unified Payments Interface (UPI), an instant payment system which uses the Aadhaar biometric ID system as its base, elsewhere.

Clearly, Digital ID poses significant possible societal harms if implemented hastily. Despite these possible harms, as I note for Unlimited Hangout, a near-universal adoption of Digital ID systems increasingly appears inevitable, with “Juniper Research [estimating] that governments will have issued about 5 billion digital ID credentials by 2024, and a 2019 Goode Intelligence report [suggesting] digital identity and verification will be a $15 billion market by 2024.”

Further, legislative strides have been made towards the digital wallet’s interoperability across the EU. In other words, key services are being hyper-centralized across borders and digitized in ways more traceable than paper counterparts could have been — all at the authorities’ fingertips.

Critically, the EUDI Wallet is apparently slated to connect with or otherwise include financial services, where EU citizens will be able to use their EUDI to open bank accounts and even apply for loans. Further, language from a European Central Bank policy brief on the European Digital Identity Framework suggests that the “EUDI wallet will bring benefits to all the stakeholders of the payment ecosystem” even including “foreseen support for the digital euro.”

While the European Commission’s keen to spotlight the EUDI’s alleged benefits for “the stakeholders of the payment ecosystem,” it appears less eager to discuss the dangers surrounding the plausible, if not likely, linkage of digital identity with money, and especially digital currencies, where elite capacities to track, or even manipulate or block civilians’ abilities to accept or make payments, could be unprecedented.

In short, EU Digital Identity Wallets are slated to be convenient for everyday civilian use. At the same time, these wallets, and other adjacent digital ID systems budding elsewhere, could also be convenient for governments and governance structures looking to surveil, monitor or otherwise manipulate or control critical aspects of citizens’ lives en masse.

The DIIA Connection

Despite its lack of EU member status and war on its hands to boot, Ukraine is involved in the EU Digital Wallet pilots. Namely, as I reported on my Substack, DIIA, Ukraine’s hyper-centralized state-in-a-smartphone app, is assisting the EU Digital Wallet’s rollout. In fact, Ukrainian Minister of Digital Transformation Mykhailo Fedorov highlighted in a Telegram post from July that DIIA representatives had even showed off the DIIA app’s capabilities at the POTENTIAL (Pilots for European Digital Identity Wallet) Consortium this summer.

Notably, many of the EU Digital Wallet’s use cases being tested in the pilots are already reality with Ukraine’s DIIA app. Indeed, Ukrainians use DIIA for a range of day-to-day activities, including to verify their identities to use banking services, hold a variety of digital IDs (such as drivers’ licenses and biometric passports) and even pay certain taxes and access social services for families. Ukraine’s Ministry of Digital Transformation has emphasized its intention to make all public services available online: DIIA is to be the “one-stop-shop” for these services.

And, as I’ve mentioned before in previous reporting for my Substack and Unlimited Hangout, DIIA’s scope creep continues as conflict deepens, with the app providing war-adjacent services. Ukrainian civilians affected by war have received stipendsthrough the app, for example, and can also verify their identities through DIIA to sign into e-Vorog (“e-enemy”), a chatbot that allows Ukrainian citizens to report information about Russian military whereabouts to the state.

All together, these conditions suggest DIIA may serve as a kind of blueprint for or precursor to Europe’s adjacent Digital Wallet, where the EU Digital Wallet, already a centralized application slated to assist citizens in a number of critical day-to-day services, could take on a growing number of government services across the European Union. While it remains to be seen what happens with the Digital Wallet rollouts in Europe, the wallet’s EU-wide implementation and smartphone app format, where features can be easily introduced, removed, or edited at will, means that scope creep on a comparable scale cannot be ruled out.

Conclusion

Many people are understandably interested in digital documents and other easy ways to access public services and complete tasks in a digital age. But these services and tools, when facilitated by states and adjacent governance structures, and unaccountable members of the private sector, come with significant ethical and surveillance concerns that should be extensively discussed and debated by the public. In this respect, it appears the prospective EU Digital Identity Wallet is no exception.

But debate or not, Digital Wallet pilot rollouts and EU member states’ respective Digital ID adoption is ongoing, with an EC press statement explaining that “everyone will have a right to have an EU Digital Identity” accepted in all EU Member States.

And while the European Commission communicates “there will be no obligation” to use an EU Digital ID Wallet, EC report Communication 2030 Digital Compass: The European Way for the Digital Decade elucidates that a 2030 target for the EU is for 80 percent of citizens to use an “electronic identification solution.” Ultimately, the mixed messaging leaves room for speculation that, even if Digital IDs are not obligatory when introduced, the general population could somehow be nudged or eventually even mandated into adopting Digital IDs to access key public services.

While Digital ID proponents emphasize the tools’ capacity for convenience and security in an increasingly online world, the ethical and privacy issues I’ve highlighted here signal that, if rolled out hastily, the EU Digital Identity Wallets could ultimately have disastrous and lasting consequences for privacy and civil liberties. And, once implemented, it seems Digital IDs could be difficult to roll back even if unpopular, ultimately nudging people into a technocratic nightmare they cannot easily escape.

In short, the dangers posed by emerging Digital ID systems like the EUDI Wallet cannot be discounted as Europe grows into its “digital decade.”

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  • Stavroula Pabst

    Stavroula Pabst is a writer, comedian, and media PhD student at the National and Kapodistrian University of Athens in Athens, Greece. Her writing has appeared in publications including Propaganda in Focus, Reductress, Unlimited Hangout and The Grayzone

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Brownstone Institute

The Predictable Wastes of Covid Relief

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From the Brownstone Institute

BY Daniel NuccioDANIEL NUCCIO  

As documented in a 2023 report from the Electronic Privacy Information Center, more than seventy local governments used ARPA funds to expand surveillance programs in their communities

If you ever had the vague sense that Covid relief funding worked in a manner akin to US aid packages in failed Middle Eastern dictatorships, your instincts weren’t wrong.

First off, there were cases of just outright fraud nearing the $200 billion mark with drug gangs and racketeers collecting Covid unemployment benefits from the US government, with some recipient fraudsters not even having the common decency of being honest American fraudsters.

Even worse, though, were some legitimate uses of Covid funds that actually counted as legitimate despite being laughably frivolous or clearly unrelated to nominal goals connected to public health or helping communities deal with the economic impact of the virus – or, more accurately, the lockdowns.

One of the most should-be-satirical-but-actually-real examples of a legitimate use of Covid cash was a researcher at North Dakota State University being awarded $300,000 by the National Science Foundation through a grant funded at least in part through the American Rescue Plan Act of 2021 to aid her in her 2023 efforts to reimagine grading in the name of equity. (If none of that makes sense, please don’t hurt yourself with mental pirouettes.)

Other more mundane projects pertained to prisons and law enforcement using Covid relief money for purposes that extended well-beyond simply paying salaries or keeping the lights on. In 2022 The Appeal and The Marshall Project  reported on how large sums of Covid money went to prison construction and expansion projects and to outfit police departments with new weaponry, vehicles, and canines. Regardless of how you feel about law enforcement or our prison system, these probably did little to stop the spread of Covid or keep out-of-work bartenders afloat while public health bureaucrats consulted horoscopes or goat entrails or their equally useful models to divine the proper time to let businesses reopen safely at half-capacity to diners willing to wear a mask between bites but too afraid to leave their homes.

Yet, of course, that didn’t stop people from trying to make the case that these expenditures absolutely were essential to slowing the spread. Often coming off like precocious children explaining to their parents how a new puppy would help teach them responsibility or an overpriced pair of sneakers would facilitate their social-emotional development by ensuring the cool kids would like them, local sheriffs and city managers were reported as claiming prison expansions could help prisoners social distance from each other, new tasers would help officers social distance from suspects, and new vehicles would allow officers to take their cars home with them rather than share one with another officer who might end up contaminating it with their Covid cooties.

But even worse than the funds that were outright plundered or just snatched up as part of a cash grab were those that were used on projects that helped further erode the freedoms of American citizens.

As documented in a 2023 report from the Electronic Privacy Information Center, more than seventy local governments used ARPA funds to expand surveillance programs in their communities, purchasing or licensing gunshot detection systems, automatic license plate readers, drones, social media monitoring tools, and equipment to hack smartphones and other connected devices.

Sometimes EPIC reported that this was done with little, if any, public debate over the civil liberties and privacy concerns inherent to these tools. In one case from a town in Ohio, approval for ARPA-funded ALPRs – cameras that can create a searchable, time-stamped history for the movements of passing vehicles – came after only a 12-minute presentation by their police chief.

Similarly, schools also likely used money from ARPA, as well as the 2020 Coronavirus Aid, Relief, and Economic Security Act, for their own surveillance purposes, although documentation of how schools used their Covid money is said to be somewhat spotty at best.

Vice News in 2021 reported how Ed Tech and surveillance vendors such as Motorola SolutionsVerkada, and  SchoolPass marketed their products as tools to help reduce the spread of Covid and allow schools to reopen safely.

Some attempts such as Vice’s description of SchoolPass presenting ALPRs as a means to assist with social distancing come off like police departments explaining the social distancing benefits of tasers.

Others, however, such as Motorola plying schools with lists of behavioral analysis programs that “monitor social distancing violations” and room occupancy while “automat[ing] the detection of students who are not wearing face masks,” seem to offer a glimpse of the dystopian future into which we are heading – as do the other surveillance tools bought with Covid cash.

Maybe at some point Disease X, about which our ruling class has been warning us, will hit and the additional drones, ALPRs, and social media monitoring tools bought by the law enforcement agencies reported on by EPIC will be used to monitor adults for social distancing violations and automatically detect who isn’t wearing a mask. Maybe those tools will just be used to keep a digital notebook of the daily activities of everyone while police reassure us that they promise only to look at it when they really really need to.

In either case, though, if you currently have the vague sense that post-Covid America is a little more like a Chinese surveillance state than in the Before Times, your instincts are dead-on.

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  • Daniel Nuccio

    Daniel Nuccio holds master’s degrees in both psychology and biology. Currently, he is pursuing a PhD in biology at Northern Illinois University studying host-microbe relationships. He is also a regular contributor to The College Fix where he writes about COVID, mental health, and other topics.

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Brownstone Institute

Book Burning Goes Digital

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From the Brownstone Institute

BY Brownstone InstituteBROWNSTONE INSTITUTE

In March 2021, the Biden White House initiated a brazenly unconstitutional censorship campaign to prevent Americans from buying politically unfavorable books from Amazon.

The effort, spearheaded by White House censors including Andy Slavitt and Rob Flaherty, began on March 2, 2021, when Slavitt emailed Amazon demanding to speak to an executive about the site’s “high levels of propaganda and misinformation and disinformation.”

Their subsequent discussions remain unknown, but recently released emails from the House Judiciary Committee reveal that the censors achieved their intended result. Within a week, Amazon adopted a shadow ban policy.

Company officials wrote in internal emails, “The impetus for this request is criticism from the Biden administration about sensitive books we’re giving prominent placement to, and should be handled urgently.” They further clarified that the policy was “due to criticism from the Biden people,” presumably meaning Slavitt and Flaherty.

At the time, “vaccine misinformation” was parlance for inconvenient truths. Five months after the Amazon censorship crusade, Twitter banned Alex Berenson at the Government’s behest for noting that the shots do not prevent infection or transmission. Senator Elizabeth Warren (D-MA) favorably cited his Twitter ban in a September 2021 letter to Amazon  calling for increased censorship of books.

A similar process occurred at Facebook. Mark Zuckerberg wrote in internal emails that the platform decided to ban claims related to the lab-leak theory in February 2021 after “tense conversations with the new Administration.” Facebook executive Nick Clegg similarly wrote that the censorship was due to “pressure from the [Biden] administration and others to do more.” Another internal Facebook email from August 2021 wrote that the company had implemented new “misinformation” policies “stemming from the continued criticism of our approach from the [Biden] administration.”

Not only does the Biden regime’s call for de facto book bans lead to the suppression of true information regarding lockdowns, vaccine injuries, and the lab-leak theory; it was also a clear violation of the First Amendment.

The Supreme Court weighed in on a nearly identical case over sixty years ago.

In 1956, the Rhode Island legislature created a “Rhode Island Commission to Encourage Morality in Youth.” Like “public health” or “inclusivity,” the innocuous language was a Trojan Horse for censorship.

The Commission sent notices to bookshops and book dealers that potentially violated Rhode Island’s obscenity laws. The book dealers challenged the constitutionality of the Commission, and the case made its way to the Supreme Court in Bantam Books v. Sullivan.

The New York Times’ description of the case from 1962 could be transposed to a modern article on the Amazon Files, but The Gray Lady has deemed the news unfit to print and has ignored the revelations entirely.

The challengers argued that the Commission acted “as a censor” while the Government “contended that its purpose was only to educate people,” the Times explained. The Government, desperate to maintain its benevolent facade, insisted its “hope [was] that the dealer would ‘cooperate’ by not selling the branded books and magazines.”

But the Government’s call for “cooperation” was a thinly veiled threat. The Commission did not just notify the booksellers; they also sent copies of the notices to the local police, who “always called dealers within 10 days of the notice to see whether the offending items had been withdrawn,” according to the book dealers.

“This procedure produced the desired effect of frightening off sale of the books deemed objectionable,” a book dealer told The Times. They complied, “not wanting to tangle with the law.”

The Supreme Court ruled 8-1 that the Committee’s reports violated the Constitutional rights of the book dealers. Justice William O. Douglas wrote in a concurring opinion: “This is censorship in the raw; and in my view the censor and First Amendment rights are incompatible.”

Here, we again see censorship in the raw; bureaucratic thugs, using the power of the US federal government, call for the suppression of information that they find politically inconvenient. They hide behind the innocuous language of “public health” and “public-private partnerships,” but the Leviathan’s “requests” carry an implicit threat.

As we wrote in “The Censors’ Henchmen,” the censorship demands from White House lackeys Rob Flaherty and Andy Slavitt are like mobsters’ interrogations. Just months after the Amazon demands, Flaherty wrote to Facebook, “We are gravely concerned that your service is one of the top drivers of vaccine hesitancy – period.” Then came the demands: “We want to know that you’re trying, we want to know how we can help, and we want to know that you’re not playing a shell game…This would all be a lot easier if you would just be straight with us.”

In other words, we can do this the easy way or the hard way. Nice company you have here – it would be a shame if something happened to it.

When companies refused to comply, Biden’s henchmen responded with scorn. Facebook ignored one censorship request, and Flaherty exploded: “Are you guys fucking serious? I want an answer on what happened here and I want it today.”

Failure to comply would threaten Amazon’s substantial government contracting operations. In April 2022, Amazon received a $10 billion contract from the NSA. Later that year, the US Navy granted Amazon a $724 million cloud computing contract, and the Pentagon awarded Amazon an additional $9 billion in contracts. Amazon also has ongoing contracts with the CIA that could be worth “tens of billions” of dollars.

“Cooperation” is a prerequisite for these lucrative agreements. Sixty years ago, the Court recognized the threat that Government demands for “cooperation” posed to liberty in Bantam Books. Ten years later, the Court held in Norwood v. Harrison that it is “axiomatic that a state may not induce, encourage or promote private persons to accomplish what it is constitutionally forbidden to accomplish.”

Since then, skyrocketing government spending and public-private partnerships have further blurred the line between state and private persons at the cost of our liberties.

The recent Amazon revelations add to the censors’ parade of horribles that have been uncovered in recent years. The Supreme Court will rule on the crux of the battle between free speech and Biden’s cosa nostra next month in Murthy v. Missouri.

Meanwhile, the revelations keep pouring in, adding to what we know but still concealing the fullness of what might actually have been happening. Adding to the difficulty is that the revelations themselves are not being widely reported, raising serious questions concerning just how much in the way of independent media remains following this brutal crackdown on free speech that took place with no legislation and no public oversight.

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  • Brownstone Institute

    Brownstone Institute is a nonprofit organization conceived of in May 2021 in support of a society that minimizes the role of violence in public life.

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