Crypto-valley city Zug to use blockchain for digital identity
The Swiss city of Zug, known as Switzerland's crypto-valley, will offer its citizens a digital identity from September. This electronic identity, or digital passport, will be based on an application that stores personal data securely, using blockchain technology that is also linked to a crypto-address. Mayor of Zug, Dolfi Mueller, said the "single electronic identity" will "not be centralised with the city, but on blockchain". Zug start-up Ethereum is leading the way in the development of the digital identity, with the Institute of Financial Services in Zug and companies Ti&m and Consensys-Uport also on board.
Zug is being called Switzerland’s crypto-valley and rightly so: the city in the autumn will present a digital passport for its citizens based on the blockchain software.

Starting in September, the city of Zug will provide a digital identity to its citizens – the first community in the world to do so. The electronic identity will be based on an application which secures personal information with the help of the blockchain technology and linked to a crypto-address, Zug said in a statement.

Citizens will register their identity via the application, which is then being verified by the city administration.

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«We want a single electronic identity – a form of digital passport – for all sorts of purposes. And we want this digital identity not centralized with the city, but on blockchain. We only verify and confirm the identity of the person,» said Dolfi Mueller, Zug’s mayor.

Ethereum, the Zug-based startup, is the driving force behind the development of the digital identity. The Institute of Financial Services in Zug (IFZ) and the two companies Consensys-Uport and Ti&m are also part of the initiative.

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The region of Zug has a high density of startup firms specializing in the development of blockchain. Ethereum and Xapo are two of those companies.

Zug will gather more experience with blockchain in the third quarter in a bid to hold a non-binding e-referendum in spring of 2018. The software has come to be seen as a potential technology to revolutionize the Swiss voting system, which today still relies on ballot papers and hand counted results.