Practical Advice for Fixing Informed Consent

Organizations that meet the ethical and legal responsibilities that come with managing personal data will ultimately build more transparent, trustworthy, and profitable digital relationships with their stakeholders.

Rohan Pinto, CTO, 1Kosmos

November 12, 2024

4 Min Read
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Stepan Popov via Alamy Stock

Informed consent is a cornerstone of ethical practices, whether in healthcare, research, or, increasingly, in the digital realm. As organizations continue to collect, process, and store vast amounts of personal data, ensuring that users understand and agree to how their data will be used has become a top legal and regulatory concern.  

At its core, informed consent was created to make sure individuals are fully aware of the terms they agree to before they share their personal data. In the context of digital identity, users need to understand not only what data they are sharing but also how that data will be used, who will have access to it, and what potential risks are involved. 

Since digital identity systems often link online and offline activities -- including sensitive personal information like biometric data -- informed consent is even more important for maintaining user privacy.  

Ensuring that users are informed and in control of their data is not just an ethical obligation but also a practical one. In a world where trust can make or break a brand, informed consent serves as a vital component of building and maintaining that trust. 

Informed consent is not just a best practice; it's increasingly being mandated by law. Regulatory frameworks like the European Union’s General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) have set strict standards for obtaining and managing user consent. Under GDPR, consent must be freely given, specific, informed, and unambiguous. Users also have the right to withdraw their consent at any time, and organizations are required to make that process easy and transparent. 

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The challenge for organizations operating in multiple jurisdictions is that these frameworks are not universal. The United States, for instance, lacks a comprehensive federal privacy law, which means that businesses have to navigate a patchwork of state laws and industry regulations. India’s Personal Data Protection Bill (PDPB) introduces its own set of consent requirements, which vary from those found in Europe or North America. As regulations continue to evolve, companies must remain adaptable to ensure compliance across different regions. 

While the legal frameworks are clear in intent, obtaining meaningful informed consent in practice can be tricky. One major challenge is “consent fatigue”. Users are often inundated with requests for permission across various platforms, and they frequently click "Accept" without fully understanding the terms. Long, dense legal agreements make it even harder for users to understand what they're consenting to. 

Related:The Difference Between Governance and Compliance

Another issue is that of power imbalance. In many cases, users don’t feel they have a real choice. Software updates on digital devices are a good example. In most cases, it’s a simple matter of “accept or lose access,” which compromises the principle of voluntary consent. 

Additionally, as technology advances, we’re facing new challenges with data repurposing, where data collected for one purpose is reused for another without explicit user approval. This undermines the spirit of informed consent and erodes user trust. 

Better informed consent starts with simplifying the process. Organizations should strive for transparency by making consent forms shorter, clearer and more user-friendly. Avoiding legal jargon and using visuals or straightforward explanations can help ensure users understand consent decrees. 

One promising approach is granular consent, where users can opt in or out of specific types of data sharing rather than giving blanket consent. This empowers individuals to make informed decisions about how their data is used, providing them with more control and flexibility. 

Related:Who Owns Me: Data Monetization, Data Privacy, and Data Ownership

As data management becomes more complex, users need to be made aware of the implications of sharing their personal information. Clear communication about the risks and benefits associated with data sharing can build trust and foster a more ethical data environment. 

Finally, privacy-enhancing technologies like anonymization or blockchain to manage user data securely can mitigate risks while maintaining the integrity of the consent process. 

The Road Ahead

The landscape of informed consent will continue to evolve, driven by technological advances and regulatory developments. Self-sovereign identity (SSI) systems, where individuals own and control their personal data without relying on a centralized authority, are gaining traction. These systems empower users to control precisely what data they want to share and with whom, enhancing privacy and autonomy. 

Emerging innovations like zero-knowledge proofs enable users to verify certain information, like their age or identity, without revealing any underlying data. This level of privacy-preserving verification has the potential to revolutionize how consent works, allowing users to protect their data while still accessing the services they need. 

Moving forward, regulatory bodies likely will strengthen consent requirements, pushing for more transparent and user-friendly data practices. And, while the rise of artificial intelligence and machine learning in identity verification will introduce new complexities, it also promises to create more dynamic and adaptive consent models. 

Informed consent in digital identity is more than just a regulatory checkbox; it’s about respecting individuals' autonomy and fostering trust. Organizations that meet the ethical and legal responsibilities that come with managing personal data will ultimately build more transparent, trustworthy and profitable digital relationships with their stakeholders.  

About the Author

Rohan Pinto

CTO, 1Kosmos

Rohan Pinto is CTO of 1Kosmos. He previously architected security infrastructure for the Government of Ontario and the Health Information Access Layer for the Province of British Columbia and is involved in establishing the United States Department of Defense’s Security Access Layer using Common Access Cards (CAC). Pinto is also an active member of the Decentralized Identity Foundation and the FIDO (Fast Identity Online) Alliance. 

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