Except for the let's-replace-all-the-logins-part, we've been doing this since 2010. Everyone needs a DigiD to fill their taxes online (the Dutch IRS can fill out most forms for you that way), apply for student welfare or get a drivers license. You can even turn on two-factor authorization, so you'll also have to provide a code from your phone. The reason nobody's worried about this is a) it provides actual use: it makes filing taxes far more efficient & easier and b) there is an opt-out or alternative, paper way of filing those forms most of the time. I'm not opposed to governments providing a standardized login system per se, although this version looks particularly intimidating. As long as it is confined to government interactions it can be a good working system.
US-owned? I'd give even odds that the NSA has access. :)In July 2011, DigiNotar, the company that was providing the certificates used for DigiD under the PKI root-CA PKIoverheid. Although not directly linked to certificates used by DigiD the result of above hack was that the government lost its trust in certificates issued by the company, both under their own root CA as well as the certificates under the governments root PKIoverheid. Prosecutors said they would investigate the U.S.-owned, Netherlands-based DigiNotar.