PayPal is gearing up to play a part in a new US identity initiative which seeks to replace multiple password and user name log-ins with an interoperable set of commercially-supplied digital identities for consumers transacting online.
The Obama administration's National Strategy on Trusted Identities in Cyberspace (NSTIC) released preliminary proposals for the creation of a federated 'ID ecosystem' late Friday, following a year of intense consultation and collaboration with public and private sector stakeholders.
The NSTIC strategy aims to improve upon the passwords currently used to log-in online by encouraging the creation of a digital ID marketplace where users can shop among multiple identity providers. Consumers who want to participate will be able to obtain a single credential - such as a unique piece of software on a smart phone, a smart card, or a token that generates a one-time digital password - that may then be applied across the Web, whether for shopping, banking, or connecting with Government services.
PayPal's chief information security officer Michael Barrett has welcomed the initiative and says the company intends to play a role in any emerging ID marketplace.
"We've deployed some experimental services, and over the coming months, will be offering more services directly to our customers, merchants, and other relying parties," he says. "We intend to directly support the NSTIC, which we expect will result in many new benefits to our customers, perhaps the most immediate benefit being the use of PayPal and eBay identities within the e-government context."
Read the full NSTIC strategy paper:» Download the document now 2.4 mb (PDF File)