[REPORT] Digital Identity in Latin America
Why Decentralized Identity Is Emerging as the Next Public Infrastructure
Introduction
The digitalization of public and private services in Latin America has accelerated the adoption of digital identity platforms across several countries. Today, Chile, Uruguay, Mexico, Argentina, Colombia, and Peru have systems that allow citizens to authenticate their identity and access government services online.
These developments represent progress in administrative modernization, cost reduction, and accessibility. However, most have been built on centralized or federated models that concentrate sensitive data in single repositories—creating risks around security, privacy, and technological dependency.
To address these limitations, this report examines Self-Sovereign Identity (SSI) as a new paradigm for digital public infrastructure. In this model, citizens manage their credentials directly, while governments act as trusted issuers within a decentralized and interoperable framework.
About the Report
This report is intended as a concrete input for the design and implementation of digital innovation policies in the region.
The result is a resource designed for high-level decision-making, useful both for the formulation of national strategies and for international cooperation.
Key Findings
Current models create systemic fragility: large data repositories act as “honeypots” that attract mass attacks in a region critically short of cybersecurity specialists.
Privacy is compromised: Single Sign-On (SSO) schemes allow the tracking of citizens’ activity across multiple services.
SSI removes the single point of failure: data resides in the citizen’s wallet, under their full control, with selective disclosure capabilities.
Pioneering cases such as QuarkID in Buenos Aires show that governments can remain trusted issuers, but within a decentralized model that restores sovereignty to the citizen.
Regional interoperability is possible through open standards from W3C and governance frameworks like Trust over IP, enabling credentials valid beyond national borders.
Why It Matters Now
Accelerated digital transformation: the pandemic and technological advances have reshaped the relationship between government, citizens, and markets.
New risks: the growth of cybercrime, the vulnerability of critical infrastructure, and the impact of artificial intelligence demand coordinated responses.
Regional opportunity: Latin America can position itself as a hub for sovereign innovation and digital cooperation—provided there are clear, shared guidelines.v
Invitation to Read
This report is designed for ministers of innovation, digital government secretariats, multilateral organizations, and institutional leaders seeking to design evidence-based policies with international scope.
We trust it can serve as:
A discussion base in multilateral spaces and regional forums.
Supporting material for the design of national digital innovation agendas.
A reference document for cooperation between governments and the private sector.
Closing
The future of innovation in Latin America will depend on our ability to build trust, design inclusive policies, and develop digital infrastructures aligned with global standards. This report aims to contribute in that direction.