Did you hear about the new European regulation? eIDAS 2.0, also known as “Electronic Identification, Authentication, and Trust Services Regulation” is coming into force this month and will change the way businesses operate online. 

The EU's recently enacted regulation is poised to reshape online business operations. This framework steps towards a more secure and streamlined experience for both businesses and consumers.  

But what exactly does eIDAS 2.0 entail, and how will it impact your company? Buckle up, as we delve into the intricacies of this regulation and its potential influence on your business. 

What is eIDAS 2.0? 

Building upon the foundation laid in 2014, eIDAS 2.0 is an updated regulation that establishes a robust framework for online authentication, in an effort to achieve seamless and secure digital interactions across all EU member states. By creating a standardized approach to digital identity, eIDAS 2.0 aims to boost trust and reliability in online transactions, benefiting both businesses and citizens. 

The original eIDAS regulation took a significant step forward by recognizing the legal validity of electronic signatures, making them the equivalent of handwritten signatures within the EU. However, a key challenge remained. 

As the directives at the European level were interpretable for each Member State, the recognition and validity of electronic signatures between different countries and their courts was a complication.  

eIDAS 2.0 tackles the challenge of inconsistent electronic signature recognition across the EU by establishing a common framework for all member states. This framework encompasses electronic identification, electronic signatures, and trust services, aiming to streamline and secure cross-border transactions.  

Additionally, eIDAS 2.0 mandates strong user authentication for online identification by private service providers. It also paves the way for European Digital Identity Wallets (EUDIs), allowing users to manage their credentials and simplifying online identification processes across the EU. This combined approach fosters a more secure and user-friendly digital environment for both businesses and citizens within the European Union. 

A major innovation within the framework of eIDAS 2.0 is the introduction of the European Union Digital Identity Wallet, also known as EUDI wallet, that empowers users to manage their digital identity in a secure and convenient way.  

This digital wallet empowers EU citizens to manage their own data while securely accessing online services and transactions. Key benefits include: 

• Enhanced security: It introduces stricter standards for data protection and verification, preventing identity theft and fraud while ensuring the safe handling of personal data. 
• Unified digital identity: This wallet allows individuals to use their digital IDs across different services and geographies, making identification and authentication seamless throughout the EU. 
• User-controlled data sharing: Users decide what information they want to share and when, with clear consent mechanisms. 
• Enhanced security and privacy: Benefit from robust safeguards to protect personal data. 

What eIDAS 2.0 and EUDI wallet will change for businesses 

The arrival of eIDAS 2.0 marks a major step forward in managing digital identities across the EU, and it will fundamentally change how businesses function online. The EUDI Wallet has a vast array of use cases, including: 

• Accessing public services. 
• Securely open bank accounts or manage existing ones. 
• Age verification for online services. 
• Remotely check-in for hotels and accommodations.  
• Access online subscriptions effortlessly. 

While there will be initial challenges, the long-term benefits of the European Digital Wallet are substantial and can be overcome with smart solutions. Compliance with eIDAS 2 is essential – it ensures your electronic transactions and identity management practices meet the legal requirements.  Businesses simply cannot afford to fall short. 

Mandatory for all EU members, this framework will have a relatively urgent implementation timeline, making it utterly crucial for business to start working on their identity management strategies. By 2026, all EU organizations must comply with eIDAS 2.0 requirements, including accepting and facilitating the use of digital wallets. This may at first seem a long time but, being a complex technology that requires a sophisticated degree of digital transition, it is in fact just around the corner. 

How can Youverse help? 

The EUDI wallet is on the horizon, and businesses need to act fast.  Youverse can help you prepare for this new reality with secure, private-by-design digital identity management strategies that comply with the latest eIDAS regulations. 

Youverse offers secure, private-by-design digital identity management that puts users in control, all while adhering to eIDAS compliance requirements. We’re already collaborating with financial institutions and governmental entities and we’re ready to help your organization get started on digital identities, too. 

Book a conversation with our digital identity experts today.