Identity recognition is one of the core functions of smart cards, and it has become a widely accepted technology since the introduction of China's second-generation ID card in 2004. As a result, smart cards have gradually replaced traditional paper documents in various industries, gaining widespread acceptance and support. From paper-based to electronic identification systems, smart cards offer significant advantages in anti-counterfeiting, data integrity, and efficient information retrieval. This article explores the recent development and future trends of smart card-based identity recognition from both technological and industry application perspectives, providing an overview of its growing applications.

**Four Key Development Trends in Smart Card-Based Identity Applications**
As smart card technology continues to evolve, the integration of identity verification with industry-specific applications has become a major trend. With the increasing use of multiple cards, smart cards are now being used across different sectors, incorporating diverse security technologies based on the specific needs of each industry. Below are four key trends shaping the development of smart card-based identity solutions in China.
**First, the National Network.** The concept of "one card for the whole country" and cross-regional usage is becoming a central focus in the smart card industry. Given China’s large population and high mobility, the establishment of a national network for identity systems is essential. This will help address challenges such as card replacement and streamline the overall identification process, making nationwide integration a necessary step forward.
**Second, Financial IC Cards.** With the ongoing migration to EMV standards in China, financial IC cards are expanding into new areas. Dual-interface CPU cards, in particular, have enabled greater collaboration between financial and non-financial sectors. For example, volunteer certificates, residence permits, disability cards, and youth league membership cards in cities like Zhengzhou and Zhongshan are all based on financial IC cards, combining identity verification with financial services. Guangdong is also planning to expand financial features in its new residence permits.
**Third, Video Card Technology.** Although video card technology has been available in China for over a decade, its high cost has limited its adoption. However, its benefits are clear. From pilot programs for city residence permits to the nationwide use of e-passports for travel to Hong Kong and Macao, video card technology has made significant progress in smart card-based identity systems. More cities are adopting this technology for their residence permits.
**Fourth, QR Codes Are Here to Stay.** With the popularity of smartphones, QR code technology has become increasingly prevalent. In recent years, many industries have started using QR codes for electronic identity management. For instance, the Zhengzhou residence permit, Zhongshan electronic membership certificate, and e-travel documents for Hong Kong and Macao all feature QR codes, offering a fast and convenient alternative to RFID-based identification.
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