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Difference between Electronic Signature and Digital Signature

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1. Electronic Signature : 

Electronic Signature is a digital form of a wet ink signature which is legally binding and secure but it does not incorporate any coding or standards. It can be a symbol, image, process attached to the message or document to recognize the identity and to give consent on it. When we need to only verify the document we use electronic signature. The validation of electronic signature is not performed by any trusted certificate authorities or trust service providers so it is not usually authorized. Electronic signature is very easy to use than digital signature but it is less secured and less authentic than digital signature. 

Advantages:

  • Convenience: Electronic signatures can be signed remotely from any location, making it easier for individuals and businesses to sign documents without having to be physically present.
  • Time-saving: Electronic signatures can be signed instantly, saving time compared to traditional paper signatures that require mailing, scanning, or faxing.
  • Cost-effective: Electronic signatures can save businesses money on paper, ink, postage, and storage costs.
  • Security: Electronic signatures can be secured using encryption and authentication protocols, making it difficult for unauthorized persons to access the signature.

Disadvantages:

  • Legal recognition: Electronic signatures may not be legally recognized in all countries, making it important to check the laws and regulations in the relevant jurisdiction.
  • Technical issues: Electronic signatures can be vulnerable to technical issues, such as system failures, power outages, and hacking attacks.
  • Dependence on technology: Electronic signatures require the use of technology, such as computers and internet connections, which can be a disadvantage in areas with limited technological infrastructure.

2. Digital Signature : 

Digital Signature is a secured signature which works with Electronic signature and rely on Public key infrastructure means it comes with encryption standards. It can be visualized as an electronic finger print which encrypts and identifies a person’s identity. When we need to secure a document we use digital signature. The validation of digital signature is performed by trusted certificate authorities or trust service providers so it is usually authorized. Digital signature is preferred over electronic signature as it is more secured and more authentic than the electronic signature. 

Advantages:

  • Legal recognition: Digital signatures are legally recognized in many countries, providing greater assurance and validity to signed documents.
  • Security: Digital signatures use advanced cryptographic techniques to secure the signature, making it difficult for unauthorized persons to access or alter the signature.
  • Non-repudiation: Digital signatures provide non-repudiation, meaning the signer cannot deny their signature.
  • Time-stamping: Digital signatures can include a time-stamp, providing a record of the date and time of signing.

Disadvantages:

  • Complexity: Digital signatures can be more complex to create and use compared to electronic signatures, requiring specialized software and knowledge.
  • Cost: Digital signatures can be more expensive than electronic signatures due to the need for specialized software and hardware.
  • Dependence on technology: Digital signatures require the use of technology, which can be a disadvantage in areas with limited technological infrastructure.
  • Legal requirements: Digital signatures may require additional legal requirements, such as the use of specific certificates or compliance with certain regulations.

Similarities:

  • Both are used to sign electronic documents and authenticate the identity of the signer.
  • Both are alternatives to traditional ink signatures on paper documents.
  • Both can be used for remote signing, allowing individuals and businesses to sign documents from any location.
  • Both can save time and money compared to traditional paper-based signatures.
  • Both can be secured using encryption and authentication protocols, providing a level of security to the signature.
  • Both can be used to comply with legal requirements for signing documents in various jurisdictions.
  • Both can be used for a wide range of applications, including business contracts, financial transactions, and legal documents.
  • Both have become increasingly popular in the digital age, as more and more transactions and communications are conducted online.
  • Both can be used to verify the integrity and authenticity of the signed document.
  • Both can help to reduce the risk of fraud and unauthorized access to signed documents.

Difference between Electronic Signature and Digital Signature :

S.

No. 

ELECTRONIC SIGNATURE DIGITAL SIGNATURE
01. An electronic signature is a digital form of a wet link signature that is legally binding and secure.  Digital Signature is a secured signature that works with an electronic signature and relies on public key infrastructure.
02. It can be a symbol, image, or process attached to the message or document to recognize the identity and to give consent to it.  It can be visualized as an electronic fingerprint that encrypts and identifies a person’s identity.
03. It is used for verifying a document.  It is used for securing a document.
04. The validation of electronic signatures is not performed by any trusted certificate authorities or trust service providers.  While the validation of digital signature is performed by trusted certificate authorities or trust service providers.
05. It is vulnerable to tampering. While it is highly secure.
06. Electronic signature is not usually authorized. Digital signature is usually authorized.
07. Electronic signatures cannot be verified.  A digital signature can be verified.
08. Fewer security features are involved in electronic signatures.  While Digital signature is comprised of more security features.
09. Verbal, electronic ticks, or scanned signatures are the common types of e-signatures.  Types of digital signatures include Adobe and Microsoft.
10. It does not incorporate any coding or standards.  While digital signature comes with encryption standards.
11. It is simple to use, but it has a lesser level of evidential value. It is generally preferred because of more authenticity.
12.

When to use?

Electronic signatures are widely used in contracts and agreements by many businesses. For example, your company may require clients to electronically sign loan applications and other financial commitments. Y

When to use?

A digital signature uses a digital certificate to verify the signer’s identity, making it a good, safe tool for sensitive data like financial records, HIPAA-compliant paperwork, and other private papers or contracts.

Conclusion :

Electronic signature and digital signature are two different methods of signing electronic documents. While electronic signatures are simpler and more accessible, digital signatures are more secure and provide a higher level of assurance that the signature is genuine and has not been tampered with. Understanding the differences between these two methods is important for businesses and individuals who need to sign electronic documents and want to ensure the highest level of security and legal enforceability.


Last Updated : 15 May, 2023
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