The main object of this paper is to explore the feasibility of chip-based National ID cards and related issues. The paper first listed the benefits of the chipbased ID card system listed in the paper, such as powerful calculation, complicate logic control, large storage abilities, security mechanism, and multiple functionality cost saving. Besides, some controversial issues are thoroughly discussed to clarify the cons of chip-based national ID cards, such as database problems, invasion of privacy and anonymity, information management and inside threat, technological challenges, crime issues, biometrics, and problems of multi-purposed card. In addition, the paper conducts a case study to explore the implementation status of chip-based national ID system in Asian countries and various challenges in the process. The last part of the paper includes some suggestions and potential solutions for issuing the chip-based national ID cards.