Biochips are miniaturized test sites arranged on a solid substrate that allow thousands of biological reactions to occur simultaneously. They consist of a transponder implanted beneath the skin containing a microchip, antenna coil, and capacitor that transmits an identification number when activated by a reader's electromagnetic field. Biochips have applications in tracing individuals, storing medical/financial data, and monitoring health conditions. While they provide benefits like rescue and identification, issues around privacy and control also exist. Future uses may include combining ID functions and enhancing mental abilities.