What is digital signature and how do you get it?
Unlock the potential of electronic signatures with our comprehensive guide. Whether you're a seasoned user or new to e-signing, discover the pros and cons of each method for secure, efficient, and legally binding digital document management.
1. What are digital signatures?
Digital signatures serve as electronic "fingerprints," constituting a specific category within electronic signatures (e-signatures). These signatures encode a signer's association with a document in a recorded transaction through a coded message. To ensure utmost security and universal acceptance, digital signatures adhere to the Public Key Infrastructure (PKI) standard. PKI involves the use of a digital certificate for identity verification.
2. What’s the difference between a digital signature and an electronic signature?
Digital signatures represent a more stringent form of electronic signature, necessitating a higher level of identity assurance through digital certificates. Electronic signatures, as a broader category, encompass various types, including digital signatures. While both digital signatures and other e-signature solutions facilitate document signing and signer authentication, differences exist in their purposes, technical implementations, geographic usage, and legal and cultural acceptance.
Notably, the application of digital signature technology for e-signatures varies among countries. Nations adhering to open, technology-neutral e-signature laws, such as the United States, United Kingdom, Canada, and Australia, differ from those following tiered eSignature models based on locally defined standards tied to digital signature technology. For example, in the European Union under eIDAS regulation, two levels of digital signatures exist: Advanced Electronic Signature (AES) and Qualified Electronic Signature (QES).
Additionally, certain industries endorse specific standards rooted in digital signature technology.
3. How do digital signatures operate?
Similar to handwritten signatures, digital signatures are unique to each signer. Providers of digital signature solutions, like DocuSign, adhere to the Public Key Infrastructure (PKI) protocol. PKI involves using a mathematical algorithm to generate two keys—public and private. The signer employs their private key, securely held, to electronically sign a document. The algorithm acts as a cipher, creating a hash (matching the signed document) and encrypting it. The resulting encrypted data constitutes the digital signature, time-stamped for reference. Any alterations to the document after signing invalidate the digital signature.
Consider Jane signing an agreement to sell a timeshare using her private key. The buyer receives the document and a copy of Jane's public key. If the public key cannot decrypt the signature, indicating potential tampering, the signature is deemed invalid.
To uphold signature integrity, PKI mandates secure key creation, management, and storage, often involving a trusted Certificate Authority (CA).