European Digital Identity

In 2011, the same year that NIST published its first revision of its Digital Identity Guidelines, the Obama administration took the next step toward establishing a national digital ID with its National Strategy for Trusted Identities in Cyberspace (NSTIC). The latest draft aims to respond to the ways in which the digital landscape has evolved since NIST’s most recent update in 2017, such as improved AIname24 blog reliability of biometrics, and address challenges related to equality, consumer choice, and fraud prevention. Originally published in 2004, the National Institute of Standards and Technology’s (NIST’s) Digital Identity Guidelines outline technical requirements for federal agencies to implement digital identity services. Despite opposition, the law has remained in effect, and as of May 7, 2025, the federal government, including the TSA, will no longer accept driver’s licenses that do not meet Real ID requirements.

Colleen’s accounts might include a cloud-based ERP she uses to check inventory, an HR app to log her time, and a CRM system to keep track of customers in her region. These identifiers are key components in digital authentication processes, determining how individuals or devices are recognized and verified across the internet. The SSO portal authenticates the user and generates a certificate or token that acts as a security key for various interconnected resources.

NIST Special Publication , Digital Identity Guidelines, Revision 4 has been published. Official websites use .gov A .gov website belongs to an official government organization in the United States. Biometric authentication using Face ID or Touch ID also ensures that only the owner of the Digital ID can present it. When users create a Digital ID, their passport data is stored on the device. Like all IDs in Apple Wallet, Digital ID takes advantage of the privacy and security features already built into iPhone and Apple Watch to help protect against tampering and theft. In the future, users will be able to present their Digital ID at additional select businesses and organizations for identity and age verification in person, in apps, and online.

What Are the Types of Digital IDs?

The internet and various digital platforms leverage these profiles to tailor user experiences uniquely. A person’s online activities generate a comprehensive set of data forming their digital identity—this encompasses usernames, passwords, browsing histories, birthdates, social security numbers, and transaction logs from online shopping. Computer systems hold digital identities, encompassing information tied to individuals, businesses, software, or hardware.

They would also simplify online transactions that require identity verification, including accessing age-restricted content, purchasing age-restricted products, securely signing legal documents digitally, and executing contracts. The increased convenience of digital IDs compared with their physical counterparts benefits governments as well as individuals. According to Pew Research Center, 90 percent of Americans owned a smartphone as of 2023, including 97 percent of Americans under 50.

Frequently asked questions about digital identity

The digital representation of an individual or entity, including their attributes, credentials, and behaviors in a digital environment. Managed through digital platforms and systems, including security measures and authentication protocols. Represents who a person is in a broad sense, including their personal and social identity.

Digital identity can be used to verify patients and doctors quickly before sending private healthcare data electronically. Rather than entering your place of business with an ID card, unlocking your phone using facial recognition, then opening your email with a username and password, digital identity can eventually fold all these activities into one common platform. Consumers and businesses have always had to adapt to many different identity verification systems to complete their transactions.

The centralization of data also creates bottlenecks for fulfilling Data Subject Access Requests (DSARs), as every request may require manual review of all stored records. Users also often need to create separate accounts for each service, leading to fragmented profiles that are hard to manage. While each organization keeps its own user directory, individuals don’t actually “own” their identifiers (e.g., email address, username, account number). While the approach of a centralized digital identity system can simplify setup and administration, it also creates structural weaknesses that impact security, privacy, compliance, user autonomy, and accessibility. As networked computing grew, these centralized systems became the practical way to govern who could access which systems and data.

Examples of proposals include the National Strategy for Trusted Identities in Cyberspace (NSTIC) and the Digital Identity Act of 2019. In 2021, the European Commission put forward the eIDAS 2.0 proposal, aiming to enable at least 80% of people to use a digital identity to access key public services across EU borders by 2030. Scandinavian countries – so-called digital first societies – increased their GDP by 3–13%. As experience shows, the economy benefits the most from the use of digital identities.

Creating a digital ID begins with verifying an individual’s personal information, such as their name, date of birth, and address. A Digital ID is an electronic representation of an individual’s identity used for online verification. Find out more on how to set up your myID on the myID website.

OfDIA has developed a set of rules called the UK digital identity and attributes trust framework to help achieve this. For example, some banks will check your identity digitally when you want to open an account. Just like when a physical document (such as a passport) is checked, someone checking your digital identity must have a way to know that it is genuine and that it belongs to you.

Technical aspects

PII helps banks, websites, and applications verify a person’s identity through a digital identity verification process. A digital identity encapsulates online activity, biometric and behavioral data, and other key attributes that enable people to log in, verify their identity, and interact in the digital space. Though adoption may be gradual, many countries in Europe, the Middle East, Africa, Asia, and Latin America have rolled out national ID programs valid in both the physical and digital domains.

Let’s talk about what happens when lending and financing workflows go fully digital, including notarization. Proof provides the human identity layer of the wallet through verifiable credentials for both individuals and businesses. Today Proof announces a partnership with Superfluid Finance in their launch of Superfluid Wallet, a wallet that a person and their AI agents use together.

Home Blog What Is Digital Identity, and How Can Businesses Verify It? This process ensures the integrity, relevance, and value of our content for our readers. Tools like facial recognition or analyzing how you behave online are boosting security while cutting down on annoying login hurdles. It’s a more secure and private way to manage personal data. Keep an eye on your financial statements and online accounts for any unauthorized activity.