Our phones would become our keys and passwords, and I am assuming they would be the devices that read our biometric ID and then allow access to other devices and services.

Only problem, and one preventing this becoming a real solution is the fact that people lose and forget their phones. If I can't have access to my daily services and devices without my phone then I am stuck in a worse position than I was before passwords.

The solution to access and protection shouldn't come from a change in the key, but a change in the lock.