Difference Between Digital Signatures & Aadhar Based e-Sign

Digital signatures are used to validate the authenticity and integrity of a message or document sent via a digital medium. It is a digital form of a physical handwritten signature, but with added security and acquired legal stature.

Digital signatures are a better alternative to handwritten signatures on physical documents because they can trace the origin of the document, verify the sender of the document and also the location and time of signing. This unique feature enables a high level of security to personal and important data transferred through any digital medium.

What is an Aadhar based e-Sign?

Aadhar is a legal identity proof, a 12-digit unique identification (UID) number provided to Indian citizens under the Indian Government’s initiative to bring transparency in the subsidy target. With this nation-wide drive, new doors opened for greater opportunities. The Aadhar based e-Sign technology is a recent initiative of the Indian Government enabling Indian citizens to electronically sign online documents without the issuance of a DSC. With a valid Aadhar card and its registered mobile number, Indian citizens can now e-Sign digital documents from anywhere and at any time.

Difference between Digital Signatures and Aadhar based e-Sign

Digital signatures require a Digital Signature Certificate (DSC) issued by the Government of India and authorized by a Certifying Authority to a signer. The DSC comes in the form of a USB e-token consisting of a set of two asymmetric keys called the public key and the private key. These keys are used to encrypt and decrypt a message or a document sent over an electronic platform. This PKI-based mechanism ensures that the data is sent securely and that the signer is a verified person. Everytime the signer needs to e-Sign a document, the USB e-token needs to be connected to a laptop or a PC from which the document can be signed and sent by entering the DSC password.

For an Aadhar based e-Sign, a signer needs a valid Aadhar Card along with its registered mobile number. The signer can view the particulars of a document while signing where the 12-digit Aadhar number needs to be entered. An OTP is sent to the registered mobile number using which the document is electronically signed. Aadhar e-Signing has proved to be a very easy and secure alternative to physical handwritten signatures. With this initiative of the Indian Government, a lot of time and costs are saved. People can easily e-Sign documents from any location and any time of their convenience.

Uses of Digital Signatures and Aadhar based e-Sign

Applying for a DSC to digitally sign documents is a great investment for individuals who need to sign documents like invoices, Form 16, contracts, agreements, PO’s, etc. regularly or in bulk on a day-to-day basis. Individuals from professional organizations, like, Charter Accountants, Company Secretaries, Corporate professionals, etc. need to e-Sign documents on a daily basis, hence, issuance of a DSC proves to be profitable for them.

Ideally an Aadhar based e-Sign suits best for people who occasionally need to sign a document digitally where registering for a DSC does not make sense. In situations where a person needs to e-Sign a document instantly, for once in a while, like signing an account opening form, application forms, acceptance letters etc. use of an Aadhar based e-Sign is ideal.

Key Takeaways

• Digital signatures and Aadhar based e-Signs are both government sanctified.
• Digital signatures are backed by the security of PKI technology.
• Aadhar based electronic signatures require only two things : a valid Aadhar Card and the registered mobile number.
• Digital signatures are ideal for persons who need to e-Sign documents on a daily basis.
• Aadhar e-Sign is ideal for individuals who need to sign digital documents once in a while.