Today, the key word for online transactions is trust and security, which have become very sensitive. The European Union (EU) has responded to this need through the establishment of eIDAS Regulation (electronic identification and trust services for electronic transactions in the internal market). This Regulation, which shall apply from 2016, establishes a common framework for electronic identification (eID) and trust services in the Union.
What are the Key Ingredients of eIDAS?
Electronic Identification (eID):
The eIDAS sets the legal framework for electronic identification schemes. This will allow European Union (EU) citizens and businesses to use electronic identification means (eID) to identify themselves securely, safely, and easily when doing a range of things online—almost no need for physical documents.
Trust Services:
eIDAS defines and regulates the provision of different kinds of important and very often indispensable trust services for ensuring security in online transactions. They include:
Electronic Signatures: eIDAS defines electronic signatures with the same legal effect as handwritten signatures under specific conditions:.
Electronic seals: Are intended to represent a function similar to an electronic signature, in order to guarantee the authenticity and source of the respective electronic documents.
Time Stamping Services: Time-Stamps are defined as providing a verifiable existence of a file in a data environment at some particular point of time. Registered Delivery Services: This ensures that the sender will receive an electronic proof of delivery to the recipient.
Benefits of eIDAS
Increased Security: With the sole aim of ensuring secure online transactions, eIDAS provides increased security. This sets standards and regulatory security policies for eID and Trust Service providers, therefore minimizing the risks of fraud and identity theft.
Simplified Cross-Border Transactions: eIDAS has simplified cross-border electronic transactions for private and business entities through harmonizing EU regulation, which will increase economic growth in the EU through innovation. eIDAS brings enhanced user convenience because the process of using identification for online services can be done very easily by any user.
Impact of eIDAS
Thus, eIDAS has very severe and broad-reaching implications for the European digital environment. Its application is done in different sectors as follows:
Health care: eIDAS makes it possible for the health care provider to securely access medical records online, thus facilitating the transfer of information between health care providers and hence contributing to bettering the health care provided to the patients. Cross-border flow of electronic prescriptions and physicians' notes signed with eIDAS.
Finance: eIDAS opens the way to secure online banking, investment platforms, and tax filing. Moreover, it is used in the loan application, contract, and other financial documents for efficiency at the same time promoting less reliance on paper.
Public Services: It allows citizens to electronically access the different services availed by their governments, such as social security applications, business registration, and filing returns. This raises the efficiency levels and increases convenience among citizens upon secure authentication.
The Role of eIDAS in Relation to Other EU Regulations:
General Data Protection Regulation (GDPR): Where eIDAS focuses on secure and trustful electronic transactions, GDPR is concerned with the protection of data in relation to privacy. However, the two do complement each other: eIDAS regards the identification and communication channels to be secure, which GDPR considers when regulating the handling and protection of personal data collected through these channels.
Understanding eIDAS can empower human individuals and businesses functioning within the EU to take full benefit of a secure and easily flowing online environment. It is expected that eIDAS will evolve with the advancement of technology and the arising challenges to ensure a Digital ecosystem of the European Union can have a system it can trust and believe in for its safety.