The clearest end point for this is some government issued digital ID that just asserts who you are, acts as a login etc.
You can see this as a stepping stone to there. if you squint.
Is it the idealism of the 70s coke to life? No. Is it some sane compromise - I think so.
What if we cannot trust our government ? Sorry it is pretty sure that no internet is going to solve that. That's on the real world.
Already exists in a bunch of countries. Works better in some than in others.
The issue is that you don't want everything tied to that ID. In a less than ideal world, ideally the ID would just attest that some random pseudo-ID is real. Like Webauthn, kinda.
It's kinda silly to start discussing implementation details of something that doesn't exist. Not to mention considering the alternative which is quite a bit more invasive than having an attested private pseodoidentity would be.
What is stopping them from recording the value returned to you that is then passed to the site you tried to visit? Does the data provided to the integrity checker allow for identification? Could the original vendor pass some value to use in the integrity check to prevent replay attacks, and could that value itself encode your personal information?