Government services minister Bill Shorten
Customer onboarding and know-your-customer practices may be greatly simplified for banks if an ambitious effort by the Australian government to overhaul digital identity protocols comes to pass.
Bill Shorten, the minister for government services, yesterday used a speech at the National Press Club to outline “a project that we have in development that we call Trust Exchange – or TEx.”
TEx, Shorten said, “will not duplicate Digital ID, but builds upon the investments already made in that system, including all the consultation and the digital ID infrastructure.
“TEx will use myGov and MyGovID to make the sharing of personal information more secure and trustworthy.”
Shorten contended that TEx “has the potential to give Australians control of their data that will rival the gold standard – the General Data Protection Regulation in Europe - but without the regulation and complexity.
“TEx is something brand new and world leading.
“It is not a wallet or app or ID.
“But rather, it is a secure means by which to exchange with a third party ‘who you are’ – your identity – or ‘what you can do’ – your credentials.”
Services Australia is partnering with other government agencies to develop TEx.
Commonwealth Bank is among a small number of large and iconic businesses that have all given in-principle support for TEx.
“CBA said TEx is the public digital infrastructure private industry needs” or so Shorten said.
Shorten stressed that TEx “is currently in proof of concept stage. By January 2025, the proof of concept will be complete and we’ll assess what our options are for pilots.”
“Consumer to business” was among a range of probable uses the minister outlined yesterday.