On July 15, 2025, China officially introduced digital identities (digital IDs) – a centralized, state-controlled system for authenticating individuals online. The National Cyber ID Authentication consists of a combination of numbers and letters and is mandatory for using many online services. To register, citizens must upload their identity documents, have their face scanned, and provide their phone number.
They register once with the authorities, e.g., the police, and disclose comprehensive personal information, including biometric data. In return, they receive a digital identity that they can use to log in to other services in the future. Third-party providers will only be able to see encrypted ID codes – not the user’s real name or phone number. This centralized identity verification is intended to eliminate many technical interfaces and offer greater data security.
Critics fear that the system will serve less to protect citizens than to expand government surveillance. With a central ID, it is easy to track which websites and apps a user visits, with whom they communicate, and what content they consume. This would allow authorities to create a detailed digital profile of every citizen with minimal technical effort.
The digital ID is not an isolated project, but part of a larger trend: the government is seeking central control over all data flows in the country. This includes measures such as government-mandated data sharing between ministries, state-controlled data marketplaces for companies, and harsh penalties for misconduct in handling data. Beijing is pursuing two main goals with this approach: promoting the domestic AI industry through large amounts of data and protecting sensitive information from foreign access.
China Intellectual Property Blog 