To kick off the collaboration between Palau, Cryptic Labs and the sovereign-backed digital residency program, Palau President Surangel S. Whipps Jr. signed an agreement to grant “all global users” through the RNS under the country’s digital residency law Digital residency.
The Republic of Palau is located in the Western Pacific Ocean and consists of about 340 islands with 18,221 inhabitants. President Whipps said: Our digital residency program will have the capability of internationally recognized identity verification standards to ensure Palau upholds the rule of law and the integrity of our reputation. We welcome applications from all global citizens to participate in Palau's digital residency program.
The digital residency program provides a blockchain-based legal identity, digital residency to democratize access to global business opportunities, and geography-agnostic governance to help remote companies form and operate. It also allows users to obtain an address, shipping service and digital signature verification.
By using RNS, the digital residency program has end-to-end encryption, giving users control over what location and identity data they want to share with others. Once approved, users will receive a physical ID card and an ID as a non-fungible token (NFT). This will be used to facilitate “secure ID verification and access KYC functions and form the basis for on-chain legal ID and verification”.
Cryptic Labs CEO Bril Wang said in a statement:
Partnering with the Republic of Palau will revolutionize the economic development of Palau and the world. The world is starting to realize the utility, versatility, and truly transformative power of digital identities—a swift step into the future.
Digital residency applicants can apply by creating an account and paying with a credit card or cryptocurrency.
The digital residency program marks Palau's second major foray into blockchain adoption. In November 2021, the Western Pacific island nation announced a partnership with financial technology company Ripple (XRP) to develop an environmentally friendly digital currency to facilitate cross-border payments.