ID system should be based on commercial bank. If you need to prove your identity or whatever about yourself just tell them to ask your bank and bank will ask you which information about yourself you are willing to share with whoever requested to confirm something about you.

When ID is tied to your bank account you guard it like you guard your bank account. Because it is the same thing. This will drastically lower the incentives to "share" your identity with anyone.

What's more this system is already operational in many countries.