Understanding Digital Identity

In an increasingly digital world, governments are turning to digital identity solutions to streamline the delivery of citizen services, enhance the security of Government-to-citizen interactions, and reduce fraud. A well-designed digital identity system enables secure, seamless access to government programs, travel credentials, and other essential services.

This guide explores what digital identity is, how it works, and the key frameworks shaping its implementation globally.

What is digital identity?

Without context, it is very difficult to land on a single definition of digital identity that satisfies everyone. NIST Special Publication (SP) 800-63-3 describes it as the unique representation of a subject (such as a person or entity) engaged in an online transaction. 

More simply, a digital identity is a one-to-one representation of a person online. It reflects an individual’s or entity’s presence across digital systems, often including multiple data points, credentials, and attributes — also known as digital identifiers. However, it’s not to be confused with the terms “user” or “account.”

• A user is a person or entity that interacts with a specific system. They’re typically associated with a single set of credentials for that system.
• Account refers to a single instance of access or registration on a platform tied to the user and their digital identity. Critically, a digital identity can include multiple accounts.

Identity proofing establishes that the subject is who they claim to be, while authentication confirms whether a subject has one or more valid attributes associated with their digital identity. The latter process allows them to access a digital service.

The role of digital identity in government

Governments are increasingly recognizing the importance of digital identity and are working to define and implement secure, reliable, and user-friendly digital identity systems. For example, the European Union is developing a digital identity framework that will be available to all EU citizens, residents, and businesses who want to identify themselves or provide confirmation of certain personal information. The framework can be used for both online and offline public and private services across the EU.

Estonia (e-Resident digital ID), Singapore (SingPass), India (Aadhar), Germany (Personalausweis), and France (France Identité) are examples of countries that have made significant strides into digital identity, allowing for seamless access to digital services. As more public and private organizations make their resources available online, citizen identity solutions are accelerating the path to digital government.

Why is digital identity gaining importance?

Digital identity has existed for several decades, but there has been renewed global demand for digital identity. According to Gartner’s 2025 CIO Agenda: Top Priorities and Technology Plans for Government CIOs, over 98% of government CIOs have identified excelling in citizen experience as the most critical outcome for their digital transformation investments.

The leading reasons for this demand stem from a greater focus on elevating citizen experience when accessing government services and increasing operational efficiencies in governance.

According to an Entrust survey of >3000 citizens from size countries of the G20, a majority preferred to conduct their interactions digitally. Furthermore, 67% of respondents say prolonged wait times are their biggest pain point when interacting with the government. The citizens expect faster, more convenient service delivery with safe and frictionless identity verification.

Fortunately, modern digital identity solutions are enabling exactly that. Today’s electronic ID systems offer numerous benefits and advantages, including:

• Access to government services: Digital identity provides a secure and convenient way for citizens to engage with government services, pay taxes, and vote.
• Enhanced security: Digital identity can reduce the risk of fraud by enabling strong authentication.
• Improved efficiency: Digital IDs facilitate seamless access to public services by streamlining administrative duties and improving public service delivery by eliminating paperwork and manual processes.
• Cost savings: They also reduce the need for physical service delivery infrastructure, allowing governments to lower operating costs and save taxpayer money.
• Cross-border travel: Digital IDs make it easier for citizens to travel internationally. With a digital passport, they can cross borders quickly without as many restrictions, while governments can still securely verify their identities before they arrive at the border.

How does digital identity work?

Digital identity uses electronic methods to represent and verify an individual online, checking their digital identifiers against a database. It combines personal data and credentials to enable secure access to services and systems.

A digital identifier is a unique data element used to distinguish an individual or entity in a digital system. Examples include:

• Personal identifiers: Social Security, passport, national identity or driver’s license numbers
• Biometric identifiers: Fingerprints, face, and/or iris scans
• Behavioral identifiers: Patterns like typing speed or login locations

Digital identity systems authenticate these attributes using several verification methods, usually in combination. This provides the greatest level of assurance. For instance, two of the most common and effective techniques include:

• Document verification: Comparing uploaded IDs or official documents with database records
• Biometric verification: Matching live or captured biometric data (e.g., face scans) against stored templates

The process typically works like this:

1. Identity creation: Your digital identity begins when personal information (e.g., name, date of birth, or government-issued ID details) is collected and verified by a trusted authority, like a government or organization.
2. Credential issuance: Once verified, you receive a digital credential, such as a digital ID card, mobile ID app, or encrypted key, which is stored securely on a device like your smartphone or in a digital wallet.
3. Authentication: To use your digital identity, you authenticate yourself through secure methods — such as biometrics, PINs, or passwords — to confirm that you are the rightful owner of the credentials.
4. Verification: When accessing a service or system, your digital identity is verified in real-time by cross-referencing the credentials with the issuing authority, ensuring authenticity and validity.

National eID

A national electronic ID (or eID) is a government-issued digital identity credential that enables citizens to authenticate themselves for public and private sector services. It’s typically linked to a centralized national registry.

Take Estonia, for example. Established in 2002, the country’s eID system made it one of the first nations to implement digital government. It provides access to thousands of public services, including digital signatures and online voting.

Mobile driver’s license (mDL)

A mobile driver’s license is a digital version of its traditional counterpart, stored securely on a smartphone’s digital wallet. For instance, in the United States, California allows drivers to use an mDL stored on their phone when purchasing age-restricted products or passing through TSA checkpoints.

Digital Travel Credential (DTC)

A DTC is an electronic version of a physical passport that streamlines border control processes while enhancing security. DTCs are popular in the European Union (EU), where 68% of Europeans are in favor of using them.

Digital identity frameworks: How countries approach digital ID

Digital identity frameworks are standardized models or sets of guidelines that help implement secure and interoperable digital identity systems. These frameworks define technical, operational, and governance aspects of digital identity.

They help governments enhance national security, streamline citizen access to public services, and reduce identity fraud. Moreover, they help enable economic growth through secure e-commerce and digital trade.

Let’s explore a few examples of such standards and frameworks and how different countries have integrated them in their digital identity approach:

NIST SP 800-63: Digital Identity Guidelines

The United States’ NIST released its Digital Identity Guidelines in 2023. They provide a structured approach for ensuring secure identity proofing, authentication, and credential lifecycle management for both public and private sector systems.

The guidelines also introduce assurance levels, allowing organizations to tailor their digital identity management processes based on risk assessments. They address the integration of emerging technologies, like digital wallets, and provide updated risk management procedures to enhance the implementation of digital identity solutions.

eIDAS 2.0

The Electronic Identification, Authentication, and Trust Services (eIDAS) 2.0 is an EU regulation that mandates cross-border interoperability for digital identities across all 27 member states. It expands the original eIDAS framework by introducing a European Digital Identity Wallet for seamless access to both public and private services throughout the EU.

ISO/IEC 18013-5 & 23220-3

The key global standards for secure and interoperable identity management over mobile devices are the ISO/IEC 18013-5 (and -7) and the ISO/IEC 23220 standards.

The ISO/IEC 18013-5 is part of a larger series of standards for driver’s licenses. It sets the rules for storingtransmitting and validating driving licenses using a mobile device, and to presen. Part -7 augments this functionality by standardizing how an mDL can be used to authenticate an individual’s identity online. This is relevant in scenarios where remote identity verification is preferable over in-person and ensures global interoperability.

ISO/IEC 23220 standard series (currently in development) seeks to define how mobile documents (or mDocs) can be used for remote identity proofing and the secure presentation of digital credentials for close proximity ad remote verification scenarios.

ICAO’s DTC Standard

The International Civil Aviation Organization (ICAO) DTC Standard is a global framework for digitalizing passports and travel documents. It aims to enhance border security, reduce fraud, and speed up airport processing. The standard includes guidelines for: 

• Converting passport data into a digital format stored on a mobile device and government database.
• Using biometric authentication for travelers at e-gates and immigration checkpoints.
• Ensuring compliance and compatibility with existing passport and visa systems worldwide.

Components of a robust digital identity system

At Entrust, our Citizen Identity Orchestration solution provides all the essential technological building blocks to operationalize secure digital identities. These core components include:

Digital onboarding and identity verification

Digital onboarding ensures a secure and seamless registration process for users by verifying their identity remotely or in person. This involves:

• Document verification: Users submit official ID documents, which are cross-checked against government databases.
• Biometric authentication: AI-powered facial recognition and fingerprint scanning confirm identity.
• Fraud detection: Advanced AI models detect spoofing attempts and anomalies.
• Multiple onboarding options: Governments can choose remote, in-person, hybrid, or API-based onboarding methods depending on security requirements.

Credential issuance

Once an identity is verified, a secure digital or physical credential is issued. These credentials can include:

• Mobile digital IDs stored on smartphones
• Smart credentials embedded in secure chips (e.g., ePassports, eID cards)
• Decentralized verifiable credentials, offering user-controlled identity management (W3C e.g., Verifiable Credentials)
• Digital certificates and tokens for authentication and electronic transactions

Credential issuance provides secure, globally compliant identity verification methods that can be used for government services, financial transactions, and travel.

Digital identity lifecycle management

You can’t set and forget digital identity. It must be continuously managed, updated, and revoked when necessary. With Citizen Identity Orchestration, you can simplify this process and efficiently oversee updates, revocations, and renewals while maintaining rigorous governance and audit protocols.

Roots of Trust

Roots of trust ensure that all digital identities and transactions are anchored in a secure infrastructure, providing guarantees about their validity. These are essential foundational security elements that establish trust across digital services, including cryptographic services, certification authorities, and hardware security modules.

Authentication

Government services necessitate high-assurance safeguards to protect against identity fraud. That’s why Entrust integrates advanced multi-factor authentication to dynamically assess and adjust to the risk level of each access request.

Digital Signing

Digital signing is an essential component that enhances trust in electronic transactions by ensuring the authenticity of the signer and the integrity of the signed document, enabling legally binding digital transactions and streamlining paperless processes. 

Digital Service Channels

A complete identity orchestration system should provide for interfaces that allow citizens to access government services securely and conveniently across different platforms, ensuring a consistent experience across devices. Digital service channels are designed to support seamless user interaction across desktop portals, mobile applications, or integration points with third-party services. 

Enable digital identity

A robust digital identity system is essential for secure, efficient, and user-friendly government services. Entrust’s Citizen Identity Orchestration solution provides end-to-end identity management, from onboarding and credential issuance to authentication and lifecycle management.

The composable, microservices-based solution allows for easy customization and scalability, supporting the transformation of public services into a streamlined, secure, and citizen-centric digital ecosystem. It also allows for the integration of future services and technologies, ensuring the platform remains adaptable and resilient in an ever-changing digital landscape.