EU Adopts Technical Standards for Digital Identity Wallets: A Major Step Towards Digital Integration
The European Commission has taken a significant stride in digital identity by adopting technical standards for the European Digital Identity (eID) Wallets. This move, announced on November 28, 2024, paves the way for member states to develop and implement digital wallets by the end of 2026.
Key Features of the eID Wallets
The eID Wallets offer a universal, trustworthy, and secure method for EU citizens, residents, and businesses to identify themselves online and offline across borders. Some of the primary features include:
- Local Data Storage: All personal information will be stored locally on the user’s device, giving individuals complete control over their data.
- Privacy Dashboard: A built-in feature that provides complete transparency on how and where the user’s information has been shared.
- No Tracking or Profiling: The wallets are designed without tracking or profiling capabilities, ensuring user privacy.
- Cross-Border Functionality: The wallets will be interoperable and accepted across the EU, allowing seamless access to services in different member states.
Practical Applications
The eID Wallets will revolutionize how EU citizens interact with various services. Some practical applications include:
- Opening bank accounts
- Age verification
- Renewing medical prescriptions
- Renting cars
- Displaying flight tickets
Technical Standards and Regulations
The European Commission has adopted five implementing regulations to ensure the smooth functioning of the eID Wallets:
- Four regulations outlining specifications for core functionalities, including data formats for cross-border use and security measures.
- One regulation establishes a framework for eID Wallet certification, ensuring compliance with security and data protection requirements.
These regulations will be published in the EU’s Official Journal and take effect 20 days after publication.
Impact and Future Outlook
Adopting these technical standards is crucial in the EU’s digital integration efforts. By providing a standardized digital identification method, the eID Wallets aim to enhance user experiences while maintaining high privacy and data security standards.
As member states begin the development phase, the EU is working towards having the eID Wallets ready for release by 2026. This initiative underscores the EU’s commitment to upgrading digital infrastructure, fostering trust, and promoting interoperability in a digital single market.
However, challenges remain. Discussions on the implementing acts have seen disagreements among stakeholders, including central EU member states such as Germany, France, the Netherlands, and Spain. Additionally, questions about private sector adoption and integration with existing payment ecosystems persist.
Despite these challenges, adopting technical standards for the eID Wallets represents a significant milestone in the EU’s digital identity journey. As the 2026 deadline approaches, addressing remaining concerns and ensuring smooth implementation across all member states will be crucial.