Buenos Aires Government Launches Decentralized ID

Buenos Aires has become the first major capital to start integrating blockchain and zero-knowledge cryptography so its residents can opt-in to self-sovereign digital IDs. The system, christened QuarkID and running on ZKsync, is now available to more than 3.6 million users of Buenos Aires’ mobile app miBA.

“By giving 3.6 million residents more control over their personal information, the city establishes a new standard in privacy and security for digital identities,” reported local news outlet ámbito. The initiative, claims the government, “positions Buenos Aires as a pioneer in the transformation of government services.”

Effective Oct. 1, 2024, all active users of miBA, a digital platform in Buenos Aires that residents use to access government services and documents, will receive their decentralized digital identity (DID). Users can access these DIDs through their QuarkID mobile apps.

QuarkID is the digital trust framework developed by the Government of the City of Buenos Aires. It creates a DID with a security anchor through blockchain. Essentially, cryptographic keys are used to authenticate users when they sign in, with users signing into websites with their Decentralized Identifier data instead of a user name. Underlying the tool is ZKsync, an Ethereum-based Layer 2 blockchain.

During a month-long crypto pop-up city dubbed Aleph, hundreds of users tried the system to pay at local merchants, sign in to the hub (or co-working spot) and sign up for different activities with their QuarkID.

Blockchain Valley in Buenos Aires

Argentina is quickly becoming a crypto country – and not only because of its unique yet unfortunate history with hyperinflation and bank runs.

A group of crypto enthusiasts and founders are banding together to build out Crecimiento, a grassroots movement with cryptocurrency at the center. Crecimiento has a lofty three-pillared vision that aims to attract 10 million people on-chain. The goal is to coordinate with Argentina’s new business-friendly government to provide incentives for the crypto industry, along with offering an incentivized tax structure and providing regulatory certainty for companies looking to set up in the country.

During August, Aleph took place, sparking what participants saw as the inflection point for the industry in Buenos Aires. Not only did the event have the presence of some of the nation’s top regulators, who claimed “this technology cannot be stopped,” but organizers also experimented with a special economic zone for local businesses and builders.

All in all, Aleph was considered wildly successful, with supporters of the movement touting the start of a new beginning for the industry.