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Why is a smart card the ideal alternative for privacy-sensitive secure personal ID system?

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Why is a smart card the ideal alternative for privacy-sensitive secure personal ID system?

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A smart card is the only alternative that can securely combine several applications and technologies onto one card, providing both convenience and security while minimizing the need to present personal, private information. With a smart card-based system, there is no technical requirement to have a central database system that observes all requests for services. Because the smart card is an active device (a small computer), the card is able to give only that information that is required for the specific services at the time the card is presented.

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