It will not work in India. The whole problem is that the govt pissed off the operators and incentivized them to create fake aadhar. He whole investment to setup aadhar enrollment centre was marketed as a good business which will make people decent sum of money. But that was a very optimistic approximate. Reality turned out to be far more different. Almost all operators went into a loss. To recuperate the losses, they started creating fake aadhar. Money earned for genuine aadhar is Rs. 20, vs Rs. 500+ for a fake aadhar. It was stupid for operators to not exploit the opportunity.

In this scenario a hardware key is not going to help. It'll only limit the ubiquity of the hack, but not much else.