China is planning to embed personal identity information into SIM cards to better protect citizens’ private information, according to the country’s Ministry of Public Security (MPS).

Personal information leakage has become a serious problem in the era of Internet. According to incomplete statistics, some 6.5 billion pieces of personal information of Chinese citizens were leaked in 2016.

Electronic identification, or eID for short, is a secure form of online identity that is embedded in a smart security chip. The identity information cannot leak but can be accessed remotely.

The eIDs have begun to be used in banking cards.

When making transactions with SIM eIDs, citizens will no longer need to provide personal information, such as their names, address, phone number, and ID number, because online platforms will be able to verify the authenticity and validity of the eID.

The technology will greatly lower the risk of identity theft, protecting citizens’ rights to privacy, online transactions, and virtual property.

According to the Third Research Institute of the MPS, SIM eID technology is just getting started, and electronic identities will be of great use in the future in the self-service areas of immovable assets and food and drug inspection.

The technology will be applied to a real estate registration program in October in Haikou, capital city of southern China’s Hainan province.