It is true. If centralized by a government entity this can represent a potential abuse.
BUT
If the identification process is managed by a for-profit 3rd party, the abuse is most certain.
I am not saying that, because of this, the identification idea should be abandoned.
MAYBE if this is done at the social media service level and just for certification (that, for exemple, I am really who I am claiming to be), this could be useful.
I totally agree that if this is implemented at the ISP level, it could jeopardize everything for everyone.