Digital citizenship and its benefits

In the era of global digitalization and increased control over financial flows, many countries are implementing systems for the automatic exchange of information about citizens' foreign accounts.

For example, in 2024, Ukraine began receiving information about its citizens' foreign accounts; the status of accounts abroad is now available to the tax service.

In addition, journalists also gain access, but they do not always use the obtained data correctly in their publications.

In these circumstances, more and more people are looking for ways to maintain financial privacy. Digital citizenship is one such solution.

What is digital citizenship?

Digital citizenship is a status granted by a state or organization that allows an individual to obtain certain rights and privileges in the digital space without having to be physically present in the country.

It provides access to a variety of services, including financial, educational and business opportunities, while ensuring a high level of privacy.

Who can obtain digital citizenship?

Virtually anyone who meets the established requirements can apply for digital citizenship. The process typically involves registration, identity verification, and, in some cases, payment of a fee.

Benefits of digital citizenship:

• Privacy : Digital citizenship holders can protect their financial data from unnecessary monitoring.
• Access to services : Ability to use banking, educational and other services in digital format.
• Global mobility : Simplified access to international markets and the ability to conduct business without being tied to a specific jurisdiction.

Example: Dominica's Digital Citizenship

The Commonwealth of Dominica, in partnership with cryptocurrency exchange Huobi, has launched a digital citizenship program, providing foreigners with the opportunity to obtain a Dominica Digital Identity (DDID) and Dominica Digital Token (DDT).

Benefits of Dominica Digital Citizenship:

Dominica digital citizenship holders are entitled to use local banking services, including:

• Opening bank accounts in Dominica
• Obtaining loans on preferential terms.
• Registration as a digital service provider.

Steps to obtain Dominica digital citizenship:

Huobi Platform Registration: Create an account on the Huobi cryptocurrency exchange using a valid email address and phone number.

KYC Verification: Provide the necessary documents to verify your identity, such as your passport and proof of address.

Obtaining a DDID and DDT: Upon successful verification, you will receive a digital identity and Dominica tokens confirming your status as a digital citizen.

Besides Domenica, you can also obtain digital citizenship here:

• Estonia – provides e-Residency, allowing foreigners to do business and use digital services in the EU.

• El Salvador offers a "Freedom Visa" for Bitcoin investments, recognizing the cryptocurrency as an official means of payment.

• Vanuatu – offers citizenship by investment, allowing access to financial and legal privileges in an offshore jurisdiction.

• Liberland is a blockchain-based microstate that offers digital citizenship to its residents worldwide.

Digital citizenship is becoming increasingly relevant in today's world, offering unique opportunities to protect privacy and expand access to global services.