What would happen anyway if the identity was stolen and used for illegal things? First of all, you would certainly get a new identity card. But would the data of the stolen ID card be stored somewhere centrally, so that fraudsters could no longer open a bank account, for example?
ID card is just a part of authentication process, so it does not effect to your life if you lost it( just take a little time to make a new one). But in crypto world, they can use Id cards to create a lot of accounts to get airdrop or refs to get reward.