An electronic ID will soon become the equivalent of a paper document (passport, ID cards). Only state has the required access to information to ensure identity and its requirements.
The state can alwasy keep a siupervising role (e.g. validate the identity) while the practical/logistic aspects to a sub-contractor.
1. Only the state has the required data that allow to validate the correctness of data (with-date, residence,..)
2. Only the state has the authorithy to prevent or limit the usage of electronic-ID for criminals.
Rejecting the premises
1. A sub-contractor can always request a state organization to validate the data.
2. The state can always exercise a veto for legal/public security reasons.