I think there are usecases for this.

Some countries switched to identity apps instead of plastic identity cards. You could make sensitive data non-screenshottable and non-photographable.

A modern variant to the passport anti identity fraud cover: https://merk.anwb.nl/transform/a9b4e52a-9ba1-414b-b199-29085...

The hotel you are checking in doesn't need to know your DOB, length, SSN, birth place, validity and document number. But they will demand a photo of the ID anyway.