[svachalek]

Most transactions online use some kind of payment system, which is vulnerable to various forms of fraud and hackery but not "identity theft". "Identity theft" (and GP is right that this is a made up crime to discount corporate greed and laziness) occurs during an application for credit, which doesn't need to be a common and easy process.

[barbazoo]

And even that has been solved by more privacy forward societies. For instance PostIdent in Germany where you verify your identity with a trusted third party.