For those of you who do not know what an RFID is, it's a little microchip that stores data and when it gets near a reader, the reader can read that information. They are mostly being used for stores to keep track of thier products and as ID implants for pets.
Various entities, both governmental and non-governmental, want their use to be extended to our IDs (drivers license, passport, national ID and etc.) and to our credit cards and even other devices (like cell phones) to act as credit cards. All of these are INCREDIBLY BAD IDEAS because if someone wanted to steal your identity, card card number or etcetera all they would have to do is walk by you and read your RFID then, program their own with your number!
Anyway, here's the article with a better explanation:
You need not be paranoid to fear RFID
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