Only the Aadhaar holder will be able to generate a VID and no other entity, including authentication user agencies (AUAs), can do it on their behalf. “While VID allows Aadhaar number holders to avoid sharing Aadhaar number, storage of Aadhaar number within various databases also needs to be further regulated,” the circular said.

To address the issue, the UIDAI has brought in the concept of limited KYC. It has categorised its AUAs into global AUAs and local AUAs wherein the latter will get access to only need- based or limited KYC details. The AUAs, which by law are required to use Aadhaar number in their KYCs, will be categorised as global AUAs and have access to full e-KYC and the ability to store Aadhaar numbers within their system.

“Once storage of Aadhaar number is restricted and since VID is temporary, agencies need a mechanism to uniquely identify their customers within their system,” the circular said. For this, a 72-character alphanumeric ‘UID Token’ will be generated for “system use”.

“UID token allows an agency to ensure uniqueness of its beneficiaries, customers etc. without having to store Aadhaar number in their databases,” the notification stated.