2026: The Year Digital Identity Becomes European
2026 will mark a decisive turning point for digital identity in Europe. With the official launch of the European Digital Identity Wallet (EUDI), citizens, businesses, and public entities will gain access to a secure, interoperable, and fully EU-compliant tool.
But what does this mean for regulated sectors such as banking, insurance, utilities, and public administration?
With EUDI, every EU resident will have a verified digital wallet to authenticate identity, sign documents, and access public and private services — from banks and insurers to utilities and government agencies.
For regulated industries, this is more than a compliance milestone. It is an opportunity to rethink onboarding, reduce fraud risks, and enhance the overall customer experience.
What Is EUDI?
EUDI is a European Union initiative that allows citizens across Member States to manage digital credentials securely and centrally, accessing both public and private services throughout the EU.
The European Digital Identity Wallet (EUDI) is part of the eIDAS 2.0 regulation update (Electronic Identification, Authentication and Trust Services).
Its goal is ambitious yet clear: to give every European citizen the ability to prove their identity online — without relying on third-party platforms or nationally restricted systems.
In practice, EUDI is an app or equivalent digital service that users can install on their smartphone or device to store and manage their verified digital identity — including ID documents, certificates, driver’s licenses, and other verified personal data such as:
- Name and date of birth
- Address and nationality
- Academic and professional qualifications
- Social security or tax ID number
- Bank account details
- Vehicle insurance information
- Digital signatures, and more
- EUDI leverages high-security identity verification, supported by certified governmental or private authorities. It is fully interoperable: a citizen from any EU Member State — for example, an English, German, or Italian resident — can use their EUDI wallet to open a bank account in another EU country or apply for a driver’s license abroad, securely, instantly, and without creating multiple accounts.
Why Frictionless Onboarding Matters — Especially in Regulated Sectors
Onboarding — the process of verifying and granting access to new users — is far more than the first step of a digital journey.
In regulated sectors such as finance, insurance, energy, and public services, it is a critical compliance touchpoint (KYC, AML, GDPR, eIDAS) and a moment to build trust and minimize abandonment rates.
- Traditional onboarding, however, is often manual — slow, complex, and prone to errors:
- Users must upload documents, fill out lengthy forms, or wait days for approval.
- Organizations must verify identity data, check databases, and store sensitive information.
- The process remains vulnerable to fraud, inconsistencies, and customer churn.
In highly regulated markets such as banking, nearly one in two potential customers abandons onboarding due to poor user experience. This is where EUDI brings change.
How EUDI Enables Secure and Simplified Onboarding
EUDI simplifies identity verification by allowing users to share only the necessary, already verified data via a secure digital wallet.
Banking
A customer opening a new account authenticates via EUDI and shares verified identity, residency, and tax information. The bank completes onboarding within minutes — no manual verification needed.
Insurance
A customer buying car insurance provides identity, driving history, and vehicle registration data directly from verified sources. Policy issuance becomes instantaneous.
Energy and Utilities
A service provider can confirm a customer’s name and address via EUDI — no paper bills or contracts required — and immediately trigger personalized, compliant communications.
Public Administration
Citizens accessing healthcare, pension, or education services can log in securely and verify eligibility using EUDI — without managing multiple passwords. The process becomes faster, safer, and more user-friendly.
The Benefits of Early EUDI Adoption
Although the 2026 deadline may seem distant, early adopters will gain a clear strategic edge.
Beyond technical readiness, this approach signals a strong message:
“We put trust, privacy, and user experience at the center of our digital services.”
Reduced Fraud Risk
EUDI uses advanced encryption, multi-factor authentication, and state-level verification. This reduces the risk of identity theft, deepfakes, and document forgery — a growing concern for regulated industries.
Higher Conversion Rates
By removing onboarding friction (long forms, manual checks, data errors), organizations see more users completing the process — directly improving revenue and customer acquisition.
Lower Operational Costs
Manual verification consumes time and compliance resources.
EUDI automates and standardizes onboarding, freeing teams to focus on higher-value tasks.
Seamless Cross-Border Operations
Companies operating across multiple EU countries will benefit from a harmonized identity standard, eliminating separate verification flows in each market.
Customer Trust and Brand Differentiation
EUDI is built on explicit consent — users control what to share and when.
Organizations embracing these values earn long-term trust and strengthen brand reputation.
EUDI as a Strategic Lever for Digital Trust
EUDI is not just a compliance tool — it’s a gateway to high-quality digital experiences.
Imagine a multi-utility using EUDI for onboarding, service updates, and contract renewals — or a healthcare system enabling patients to access lab results, prescriptions, and insurance data through a single, secure wallet.
EUDI is more than a government-driven technology project. It is a cornerstone of Europe’s digital transformation, building the foundation of trust that powers the digital economy.
For regulated sectors, it represents the opportunity to fix inefficient onboarding, reduce fraud, automate compliance, and strengthen long-term relationships with customers and citizens.
With solutions like the Doxee Platform®, organizations can seamlessly integrate EUDI-based onboarding into personalized, compliant, and automated communication workflows — turning regulatory complexity into a strategic advantage.
Frequently Asked Questions
What is EUDI and what benefits does it offer?
It is a European digital identity wallet that allows citizens to manage and use their verified identity securely and in compliance with EU regulations. It enhances security, interoperability, and onboarding efficiency.
How can organizations prepare for adoption?
They should begin aligning their verification and authentication processes with EUDI standards, ensuring technical readiness and data protection compliance.
How does EUDI reduce fraud risk?
Through advanced encryption and state-level identity verification, EUDI makes it harder to exploit fake identities or documents.
Which sectors will benefit the most from EUDI?
Regulated industries such as banking, insurance, utilities, and public administration, where identity verification is a key compliance step.
