Australian financial institutions are testing new identity verification software to support compliance with the country’s upcoming social media restrictions for users under 16 years old, set to take effect December 10, 2025. The legislation will prohibit users under 16 from maintaining accounts on major social platforms including Instagram, TikTok, Facebook, Snapchat, X, and YouTube, marking one of the world’s most stringent social media age verification requirements.
ConnectID, an identity verification tool owned by Australia’s major banks and already deployed by Telstra for mobile services, is being evaluated as a key component of the compliance framework. The system verifies age through bank account details and will work alongside other age estimation technologies, including solutions from Singapore-based providers. The expansion of ConnectID’s capabilities follows Australia’s broader push toward digital identity systems, which recently included the implementation of passkey authentication for government services.
Regulatory guidance from the Australian government requires social media companies to implement “reasonable steps” for compliance, including detecting and removing underage accounts, preventing re-registration attempts through VPNs, and establishing multi-step age verification processes. Platforms are not required to verify every user’s age or retain personal verification data, but must maintain system-level records demonstrating effectiveness.
The eSafety Commissioner has recommended that platforms implement multiple overlapping age assurance techniques rather than relying on single verification methods. The commissioner advocates for a layered or “waterfall” approach to manage potential age inference errors, while advising platforms to handle account removals of minors with sensitivity. The guidance follows earlier trials of blockchain-based age verification systems by the Australian government.
“Theoretically, if you pick a specific set of tools, and use them under carefully controlled conditions, you can do age assurance sometimes,” said Justin Warren, Founder and Principal Analyst of PivotNine.
“There is no excuse for social media platforms to fail to meet their obligations under the new laws,” said Communications Minister Anika Wells, adding, “We cannot control the ocean, but we can police the sharks and today we’re making clear to the rest of the world how we can do this.”
Non-compliant social media companies may face fines of up to AUD 49.5 million from the eSafety Commission. The regulations are part of broader child protection measures that include rules addressing online pornography and AI chatbots capable of explicit conversations, reflecting Australia’s comprehensive approach to online safety regulation.
Sources: DD News, DIG.watch, The Register, Economic Times
